Data Center Power Market Exclusive Study with Outlook and Insights, 2019-2027

 

Data Center Power

A data centre is a physical location where businesses keep their computer systems and related components. In other words, data centres are storage facilities for computers that contain critical data for the growth of enterprises or firms. Data centre power is a power solution that helps data centres control their power use and optimise their efficiency.

To reduce power consumption rates, data centre manufacturers are creating power management systems such as smart UPS, intelligent rack PDU, and battery monitoring devices. The growing need for data centres, as well as the huge support required to sustain them, is a primary element driving the demand for data centre electricity. Thus, replacing traditional data centers with a new one, along with advanced technologies is propelling demand for data center power.

According to Coherent Market Insights, The global Data Center Power Market was valued at US$ 19.1 Bn in 2019 and is expected to reach US$ 31.3 Bn by 2027 at a CAGR of 7.1% between 2020 and 2027.

During the forecast period (2020–2027), the growing desire for businesses to minimise operating costs is likely to propel market expansion. Due to increased operating expenses such as electricity tariffs, server racks, and heating, ventilation, and air conditioning (HVAC) systems, data centre manufacturers are optimising data centre costs. The yearly operational expenditure of major data centres, for example, is over 8.3 percent of construction expenditures, according to the US Chamber Technology Engagement Center (CTEC). Power costs can range from 41 percent to 82 percent of the entire cost of running data centres, depending on data centre tiers. Data centre infrastructure costs and operational difficulties raise the level of reliability.

Data centre power is used to power computers and servers, as well as to keep data centres cool. As a result, typical data centres are strengthened by implementing energy-efficient and cost-effective power systems in order to satisfy operational expenditures. By utilising a contemporary data centre power system, data centre running costs may be reduced. Data centre power solutions are being offered by vendors in order to provide data centres with sustainable and dependable power systems. For example, Huawei Technologies Co., Ltd., a Chinese technology corporation, has released the Fusion DC 2.0 solution to improve data centre cooling.

Low installation and infrastructure costs limit energy losses and provide a permanent storage solution that does not require battery replacement, according to vendors. During the projected period, these factors are likely to fuel market expansion.

High investment is a key stumbling block to the global data centre power market growth. Traditional data centres are being replaced by new ones that include the latest and most up-to-date data centre components. This necessitates the purchase of new gear, software installation, infrastructure upgrades, and labour. Energy efficient power solutions require a larger initial investment than standard power solutions. As a result, the data centre power industry is likely to slow down.