NEW YORK, July 29, 2024 /PRNewswire/ -- The global UPS
battery for data center market size is estimated to grow by
USD 2.12 billion from 2024-2028,
according to Technavio. The market is estimated to grow at a CAGR
of 6.59% during the forecast period. Increase in adoption of
modular ups systems is driving market growth, with a trend towards
growth in data center construction. However, consolidation of data
centers poses a challenge. Key market players include Amara
Raja Group, C and D Technologies Inc., Chaowei Power Holdings Ltd.,
Delta Electronics Inc., EaglePicher Technologies LLC, East Penn
Manufacturing Co. Inc., Eaton Corp. Plc, EnerSys, ETERNITY
TECHNOLOGIES FZ LLC, EverExceed Corp., Exide Industries Ltd., FIAMM
Energy Technology Spa, First National Battery, Fullriver Battery,
GS Yuasa International Ltd., HBL Power Systems Ltd., Kokam Co.
Ltd., Schneider Electric SE, TotalEnergies SE, and Vertiv Holdings
Co..
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UPS Battery For Data
Center Market Scope
|
Report
Coverage
|
Details
|
Base year
|
2023
|
Historic
period
|
2018 - 2022
|
Forecast
period
|
2024-2028
|
Growth momentum &
CAGR
|
Accelerate at a CAGR of
6.59%
|
Market growth
2024-2028
|
USD 2125.5
million
|
Market
structure
|
Fragmented
|
YoY growth 2022-2023
(%)
|
6.18
|
Regional
analysis
|
North America, Europe,
APAC, South America, and Middle East and Africa
|
Performing market
contribution
|
North America at
34%
|
Key
countries
|
US, UK, Germany,
France, and India
|
Key companies
profiled
|
Amara Raja Group, C and
D Technologies Inc., Chaowei Power Holdings Ltd., Delta Electronics
Inc., EaglePicher Technologies LLC, East Penn Manufacturing Co.
Inc., Eaton Corp. Plc, EnerSys, ETERNITY TECHNOLOGIES FZ LLC,
EverExceed Corp., Exide Industries Ltd., FIAMM Energy Technology
Spa, First National Battery, Fullriver Battery, GS Yuasa
International Ltd., HBL Power Systems Ltd., Kokam Co. Ltd.,
Schneider Electric SE, TotalEnergies SE, and Vertiv Holdings
Co.
|
Market Driver
The global shift towards digitalization and the resulting surge
in IT infrastructure demand, driven by factors such as increased
internet usage, online banking transactions, connected devices,
digitization of services, and cloud computing, have led to a boom
in data center construction. Notable investments include Bulk
Infrastructure Holding AS's expansion projects in Norway, T5 Data Centers' 54 MW+ expansion in
Oregon for Flexential, and Kao
Data's new 10MW facility in the UK. These projects highlight the
growing importance of reliable power infrastructure, such as UPS
systems, which are being adopted with N+1 and 2N redundancy. This
trend is expected to fuel market growth, as data center expansion
continues and the demand for cloud-based services increases. UPS
systems, a crucial component of data center infrastructure, will
therefore experience significant demand and revenue growth during
the forecast period.
The Ups Battery market for Data Centers is witnessing
significant trends with key players like Archer Data Center,
AQ Compute, Scala Data Centers,
Echelon Data Centres, Cirrus Data Services, and Amazon Web Services
adopting advanced Rack-level UPS solutions. Rack power density is
increasing, leading to the demand for electrical inputs and Rack
PDU solutions. HPC data centers and colocation service providers
require 2N power redundancy and DRUPS systems for uninterrupted
power supply. Lithium-ion UPS systems, Flywheel, VRLA, and Gel Cell
batteries are popular due to their efficiency and low-technical
components. Modular UPS systems, such as 20 kVA modular systems,
are preferred for their scalability and emergency power system
support. Data hall operators face challenges like power outages,
unplanned outages, and severe damage due to inconsistent ambient
temperatures. Cloud-based services, remote working, and 5G
technology are driving the need for reliable power systems.
Electricity prices and green facilities are also factors
influencing the market. Stand-alone UPS systems and grid power are
essential for emergency power backup.
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Market Challenges
- Data center consolidation is a prevalent trend in the IT
sector, with companies prioritizing the reduction of facility size
or merging multiple facilities. The primary motivators behind this
trend include cost savings through reduced capital expenditures
(CAPEX) and operating expenses (OPEX), enhanced security, improved
data resiliency and scalability, and increased data recovery
efforts and protective measures. Consolidation and workload
migration to the cloud result in a smaller data center footprint,
posing a challenge to the UPS battery market for data centers. This
market contraction may negatively impact growth during the forecast
period.
- Data centers require reliable and efficient power backup
solutions to ensure business continuity. Traditional VRLA-based UPS
systems, such as Lead Acid and Nickel Cadmium, have been the go-to
choice for many data center operators. However, challenges like
unplanned outages, severe damage from frequent discharge cycles,
and excessive charge current have led to the adoption of modern UPS
systems. Modular UPS systems, including 20 kVA modular systems,
offer advantages like 2N power redundancy and lower technical
components. Lithium-ion UPS systems are gaining popularity due to
their longer life cycle, higher efficiency, and lower environmental
impact. Data center operators face challenges with electricity
prices, especially in colocation facilities. Green facilities and
renewable energy sources are becoming essential to reduce
operational costs and carbon footprint. Power outages, inconsistent
ambient temperatures, and overcharging are common issues in data
centers. Cloud computing technologies, network services,
automation, and other IT infrastructures rely on UPS systems, PDUs,
generators, transfer switches, and switchgear to ensure business
continuity. Emergency power systems, fiber optic lines, satellites,
telecom broadband, servers, storage, and network equipment all
require reliable power backup. UPS systems play a crucial role in
maintaining the availability of these critical systems. Major data
center providers like Digital Realty, Switch, Colt DCS, CoreSite
Realty, and Iron Mountain invest in advanced UPS systems to ensure
business continuity and mitigate risks. The future of UPS systems
lies in lithium-ion-based technologies, offering higher efficiency,
longer life cycle, and lower environmental impact.
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Segment Overview
This ups battery for data center market report extensively
covers market segmentation by
- Application
- 1.1 Tier 3 data center
- 1.2 Tier 1 and 2 data center
- 1.3 Tier 4 data center
- Product
- 2.1 Lead acid battery
- 2.2 Lithium-ion battery
- Geography
- 3.1 North America
- 3.2 Europe
- 3.3 APAC
- 3.4 South America
- 3.5 Middle East and
Africa
1.1 Tier 3 data center- Tier 3 data centers are
crucial infrastructure for businesses seeking high availability and
reliability. These data centers feature redundant components and
multiple distribution paths, allowing for planned detachment of
redundant components without disrupting operations. Tier 3 data
centers require dual power inputs to ensure concurrent
maintainability, ensuring minimal downtime. However, they are
susceptible to unplanned disruptions, offering a 99.98% uptime and
1.6 hours of annual downtime. The market for UPS batteries in data
centers is poised for growth, particularly in the tier 3 segment.
As more organizations upgrade their facilities to tier 3 standards,
the demand for 2N redundant power systems and N+1 cooling
redundancy will increase. Notable developments include VNG Corp.'s
new carrier-neutral tier 3 data center in Ho Chi Minh City and Airtel Nigeria's tier 3
data center in Lagos State. These expansions and upgrades will
drive the demand for UPS batteries in the data center market.
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analysis including forecast (2024-2028) and historic data
(2017-2021) - Download a Sample Report
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The global Data Center UPS Market is experiencing rapid growth
due to increasing demand for uninterrupted power supply in data
centers. Similarly, the global Data Center Power Market is
expanding as data centers seek reliable power management solutions
to handle rising data volumes. Additionally, the global UPS Battery
Market is witnessing significant growth, driven by the need for
advanced battery technologies to support UPS systems in data
centers. These markets are essential for ensuring data center
efficiency, reliability, and uptime in an era of growing digital
transformation and data dependency.
Research Analysis
Modular UPS systems have gained significant traction in the data
center market due to their flexibility and scalability. These
systems allow data centers to efficiently manage power distribution
and ensure uninterrupted power supply, which is crucial for the
reliable operation of IT infrastructure. Green facilities, powered
by renewable energy sources, are increasingly adopting modular UPS
systems to minimize their carbon footprint and reduce electricity
costs. Colocation facilities and cloud computing technologies also
rely heavily on these systems to provide 2N power redundancy,
ensuring business continuity and data protection. Modular UPS
systems come in various sizes, including 20 kVA systems, and use
different battery technologies such as Lead Acid, Nickel Cadmium,
and Lithium-ion-based UPS systems. Automation and network services
are also essential components of modern data centers, and modular
UPS systems can be integrated with these technologies to optimize
energy usage and improve overall efficiency. Fiber optic lines and
satellites are used to connect data centers to the outside world,
and modular UPS systems help ensure uninterrupted connectivity by
providing backup power during power outages. Electricity prices
continue to rise, making the energy efficiency and cost savings
offered by modular UPS systems increasingly valuable for data
center operators.
Market Research Overview
Ups Battery for Data Center Market: Modular UPS systems are
gaining popularity in data centers due to their scalability and
efficiency. Green facilities prioritize electricity prices and
energy efficiency, making modular UPS systems an ideal solution for
colocation facilities. These systems offer 2N power redundancy,
ensuring uninterrupted power supply during power outages or severe
damage. Lithium-ion UPS systems, such as 20 kVA modular systems,
are increasingly used due to their high energy density and longer
lifespan. Emergency power systems rely on grid power as a primary
source but require backup power systems like UPS and generators
with transfer switches and switchgear for unplanned outages. Data
center operators face challenges like inconsistent ambient
temperatures, overcharging, frequent discharge cycles, and
excessive charge current. Cloud computing technologies, network
services, automation, and modular UPS systems help mitigate these
issues. Lead Acid, Nickel Cadmium, and Lithium-ion-based UPS
systems are commonly used. Fiber optic lines, satellites, telecom
broadband, IT infrastructures, servers, storage, network equipment,
PDUs, and generators are integral to data centers. VRLA-based UPS
systems are a low-technical component, while DRUPS systems offer
stand-alone power backup. Cloud-based services, remote working, 5G
technology, and various UPS system types like Flywheel, VRLA, Gel
Cell, and Plate types cater to diverse data center needs.
Table of Contents:
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation
- Application
-
- Tier 3 Data Center
- Tier 1 And 2 Data Center
- Tier 4 Data Center
- Product
-
- Lead Acid Battery
- Lithium-ion Battery
- Geography
-
- North America
- Europe
- APAC
- South America
- Middle East And Africa
7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix
About Technavio
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company. Their research and analysis focuses on emerging market
trends and provides actionable insights to help businesses identify
market opportunities and develop effective strategies to optimize
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Fortune 500 companies. This growing client base relies on
Technavio's comprehensive coverage, extensive research, and
actionable market insights to identify opportunities in existing
and potential markets and assess their competitive positions within
changing market scenarios.
Contacts
Technavio Research
Jesse Maida
Media & Marketing Executive
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UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/
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