Sunday, 24th January 2021

Data centre power market to reach $15 billion

According to a recent study from market research firm Global Market Insights, the growing deployment of IoT and cloud computing technologies across various businesses will significantly expand the data center power market share. Cisco Systems had estimated that the number of hyperscale data centers will see a rise from 338 in 2016 to 628 by 2021. It has also been found that these data centers will contribute to 53% of the total data centers across the globe.

Data center power management can be touted as a broad process that deals with the management, measurement as well as monitoring of power generation in data centers. It also looks after the consumption and optimization of power within a data center facility. The construction of mega-facilities across different regions in the world by some of the global enterprises has added impetus to data center power consumption over the coming years.


The rising requirement for data centers and power backup has urged several firms to opt for modular data centers in order to add multiple modules. These data centers ensure that the load operates at an optimal level owing to their modular Uninterruptible Power Supply (UPS) architectures.

Furthermore, these systems are highly preferred in comparison to conventional UPS as they can be easily accessed and installed. They also offer maximum reliability and reduce the total cost of ownership. The smaller design or size of modular UPS makes it effective for use in micro and edge data center facilities that are distributed across crowded urban areas.

Data center power market distribution from colocation applications will gain significant momentum through 2026. This is due to the numerous benefits rendered by colocation providers, in conjunction with narrowing down the need for companies to establish newer facilities that can drain their vital resources like time, labor, and money. Owing to this, colocation data centers are highly preferred by several businesses that have monetary constraints and limited data storage requirements.

Furthermore, the influx of IoT and cloud services has augmented the need for data storage across large enterprises. This has pushed colocation providers to deliver enhanced services to operators in the form of power, cooling, and maintenance of the infrastructure.

Regionally, Data Center Power market in MEA is estimated to grow commendably over the forthcoming years attributing to the thriving telecommunication industry in the region. This has increased the demand for cloud computing which in turn has urged service providers to extend their IT facility across several economies in the region. As a result, various telecom operators are focusing on establishing large-scale facilities for improving their data transmission rate and meanwhile gaining a competitive edge in the market.

For instance, in 2019, renowned Palestinian telecommunication company Paltel Group announced the completion of the construction of its second data center in Ramallah which is a 65,000 square foot (6,000 sq m)-facility certified with Uptime Tier III Design. Such tremendous expansions of IT facilities will certainly instigate the adoption of intelligent power managing solutions for effective energy consumption in these facilities.

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