The Global Data Center UPS Market size accounted for USD 5,217 Million in 2021 and is estimated to reach the market value of USD 8,464 Million by 2030, with a significant CAGR of 5.6% from 2022 to 2030.
One of the key trends driving data center UPS market growth is raising demand for data and information exchange capacity. Furthermore, rising digitization and technology penetration such as IoT and 5G are expected to boost the data center UPS industry in the coming years.
An uninterruptible power supply (UPS) is an electrical system that provides backup power to the grid when the main power or input supply of electricity fails. A data center UPS is a backup power supply used in data centers in the event of a power outage. When utility power fails, a UPS serves as a battery backup in data centers, supplying power to the system for long enough to fully power down machinery. However, technological breakthroughs in cloud-based solutions, data management, and the growth of convenient data collection and storage systems are propelling the data center UPS market forward.
Data Center UPS Market Dynamics
Drivers
Restraints
Opportunity
Report Coverage
Market | Data Center UPS Market |
Market Size 2021 | USD 5,217 Million |
Market Forecast 2030 | USD 8,464 Million |
CAGR During 2022 - 2030 | 5.6% |
Analysis Period | 2018 - 2030 |
Base Year | 2021 |
Forecast Data | 2022 - 2030 |
Segments Covered | By Component, By Data Center Size, By Application, And By Geography |
Regional Scope | North America, Europe, Asia Pacific, Latin America, and Middle East & Africa |
Key Companies Profiled | General Electric Company, Mitsubishi Electric Corporation, Clary Corporation, Belkin International Inc., Eaton Corporation, AEG Power Solutions, Huawei Technologies Co., Ltd., Intellipower Inc., Delta Electronics Inc., ABB Ltd., Panduit Corporation, and Power Innovations International Inc. |
Report Coverage |
Market Trends, Drivers, Restraints, Competitive Analysis, Player Profiling, Regulation Analysis |
Customization Scope |
10 hrs of free customization and expert consultation |
The increasing use of digital platforms by large and small businesses is driving the growth of the data center UPS market because it provides data storage and reliability. Enterprise incorporation of services such as remote access services, mobile applications, and virtual infrastructure is another factor driving the market growth. One of the primary growth drivers for this market is the increasing implementation of configurable data center UPS systems in the IT, telecom, and banking industries. In addition, as they provide better productivity and efficiency, data center UPS systems are less expensive to install and maintain than complex network backup solutions. Furthermore, the modular data center UPS market trend is quickly gaining market traction due to their need for less space and higher efficiency, which is roughly half that of existing approaches.
However, the limited rate of technological progression and the implementation of novel products pose a challenge to market growth. In addition, regular inspections, aggressive price competition, and rising raw material and skilled labor costs are all impediments to the data center UPS market revenue.
Data Center UPS Market Segmentation
The global data center UPS market segmentation is based on Component, Data Center Size, Application, and Region.
Market by Component
Solution
Service
Based on the component, the solution segment is expected to have the largest data center UPS market share in 2021. The solution segment is further classified into three types: standby UPS, line interactive UPS, and online UPS. Standby UPS will become more popular in the market over the next few years. This growth can be attributed to its lower cost, seamless integration, and increased reliability. Due to their low cost and functionality, standby UPS solutions are an ideal choice for onsite power sources among small and medium-sized businesses. The UPS can detect electrical failures and switch to electric power automatically. UPS systems may enter aggressive mode during the complete release of the battery backup, resulting in extremely perilous utility or alternator power.
Market by Data Center Size
In terms of data center size, the small size segment is expected to dominate the market in the coming years. The data center and mobile communications centers have been early adopters of UPS systems to ensure continuous operation. Since many small and medium-sized data centers necessitate and use uninterrupted power supplies to avoid data loss in the event of a power failure caused by power outages or voltage variations, this segment accounts for a significant share of the market. Furthermore, this type of UPS system is widely used in enterprise data centers, industrial facilities, networking devices, industrial floors, and localized and mid-tier data centers. The growing number of small and medium-sized businesses and young tech firms drive the segment ahead.
Market by Application
Based on application, the telecom and IT segment are expected to grow at the fastest rate over the forecasted years. Data centers have grown in size from space to the size of a corporate tower, allowing for more storage to be added. Apart from storage, IT and telecom companies build data centers to meet the needs of their customers. Modern storage systems have evolved into a critical component of IT infrastructure. Any interruption in a data center can result in a massive loss for the foundation of an organization. However, in order to meet business objectives, IT and telecom companies implement data center UPS services to ensure consistent power supply. Google, Alibaba, and Microsoft are just a few of the large corporations that own the majority of major data centers and significantly contribute to data center UPS market growth.
Data Center UPS Market Regional Outlook
North America
Europe
Latin America
Asia-Pacific
The Middle East & Africa (MEA)
North America had the largest revenue share in 2021 and is expected to grow significantly over the forecast period. The expanding IT and telecommunications industries, as well as banking, health care, and financial services, are expected to be the primary drivers of the regional data center UPS market. Furthermore, as the demand for highly available computing grows, businesses are being forced to answer questions about their data center infrastructure and other challenges in order to improve their assets, which are driving the regional market. Due to increased technological development and adoption of 5G and IoT-based services, the United States has led the data center UPS market. Investment opportunities in modular data centers have increased in the United States and Canada, particularly for individual services, fueling the data center UPS market value.
Data Center UPS Market Players
Some of the prominent global data center UPS market companies are General Electric Company, Mitsubishi Electric Corporation, Clary Corporation, Belkin International Inc., Eaton Corporation, AEG Power Solutions, Huawei Technologies Co., Ltd., Intellipower Inc., Delta Electronics Inc., ABB Ltd., Panduit Corporation, and Power Innovations International Inc.
The global data center UPS market size in 2021 was accounted to be USD 5,217 Million.
The projected CAGR of data center UPS during the analysis period of 2022 to 2030 is 5.6%.
The prominent players of the global data center UPS market involve General Electric Company, Mitsubishi Electric Corporation, Clary Corporation, Belkin International Inc., Eaton Corporation, AEG Power Solutions, Huawei Technologies Co., Ltd., Intellipower Inc., Delta Electronics Inc., ABB Ltd., Panduit Corporation, and Power Innovations International Inc.
North America held the dominating share for data center UPS during the analysis period of 2022 to 2030.
Asia-Pacific region exhibited fastest growing CAGR for data center UPS during the analysis period of 2022 to 2030.
Increase adoption of 5G technology, widespread adoption of cloud technology and IoT, and proliferation of new data centers in emerging economies are the prominent factors that fuel the growth of global data center UPS market.
Based on component, solution segment held the maximum share for data center UPS market in 2021.
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