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Data Center Energy Storage Market Witness an Outstanding Growth and Strong Demand, With New Technology and Innovation by 2027 | Schneider Electric, Eaton, and ABB Ltd | Grand View Research, Inc.

Data Center Energy Storage Market Witness an Outstanding Growth and Strong Demand, With New Technology and Innovation by 2027 | Schneider Electric, Eaton, and ABB Ltd | Grand View Research, Inc.
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According to a new report published by Grand View Research, data center energy storage help in providing optimal reliability, high power performance, and scalability to datacenter facilities, helping them to match the increasing power requirements. It also offers advanced power monitoring and metering for maximum efficiency and control.

The global data center energy storage market size is expected to reach USD 1.8 billion by 2027, expanding at a CAGR of 6.3% from 2020 to 2027, according to a study conducted by Grand View Research, Inc. The data center industry has been growing owing to the rise in the adoption of cloud computing and the high penetration of smart phones. The workload on the data centers has increased exponentially which has contributed to varying load demands, in turn, increasing the power consumption. The increased power consumption has created a necessity for deployment of Energy Storage Devices (ESDs), which can provide swift demand response to the changing loads and provide efficient power management.

The energy storage in the data center has been used as a backup method to handle power outages until diesel generators are brought online. This typically takes a few seconds or a couple of minutes. ESDs are capable of discharging energy whenever there is a requirement. The devices equipped with high energy density can provide power backup for longer durations as compared to super capacitors. UPS acts as a backup device that can sustain the load of the entire system for a short interval of time, acting as a backup solution during power cuts. As a result, several data center UPS manufacturers are focusing on improving the efficiency for maintaining the ideal power usage by using efficient ESDs. This, in turn, is anticipated to boost market growth during the forecast period.

Energy storage in data centers is usually made up of lead-acid batteries and is used as centralized uninterruptible power supply. Potential ESDs include li-ion batteries, flywheels, supercapacitors, and compressed air energy storage. Li-ion and lead-acid batteries are mostly implemented as ESDs owing to their high energy density and reliability. Particularly, Li-ion batteries have considerably high efficiency, high energy density, long cycle life, and environmental friendliness, and hence are one of the most promising ESDs.

Based on geography, North America was the leading revenue contributor in 2019 and is poised to witness remarkable market growth over the forecast period. The region is characterized by the presence of several data center clusters and provides plenty of colocation opportunities. The regional growth is mainly backed by U.S., as the country represents about 50.0% of the data centers worldwide. Also, the growing usage of cloud computing applications and services coupled with the rising popularity of the Internet of Things (IoT) further drives the market in the region.

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Data Center Energy Storage Market Report Highlights

  • The Tier 4 segment is expected to be the fastest growing type segment owing to increase in the construction of hyper scale data centers
  • Asia Pacific is anticipated to register a CAGR of more than 8.0% during the forecast period owing to construction and modernization of IT facilities
  • The market is characterized by intense competition among the established players that include Schneider Electric, Eaton, General Electric, and ABB Ltd; among others. The key market players are introducing technologically advanced products to cater the market demands.

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Data Center Energy Storage Market Segmentation

Grand View Research has segmented the global data center energy storage market based on data center type and region:

Data Center Energy Storage Data Center Type Outlook (Revenue, USD Million, 2016 - 2027)

  • Tier 1
  • Tier 2
  • Tier 3
  • Tier 4

Data Center Energy Storage Regional Outlook (Revenue, USD Million, 2016 - 2027)

  • North America
    • U.S.
    • Canada
  • Europe
    • U.K.
    • Germany
    • France
  • Asia Pacific
    • China
    • India
    • Japan
  • Latin America
    • Brazil
    • Mexico
  • Middle East & Africa

List of Key Players in the Data Center Energy Storage Market

  • ABB Ltd.
  • Delta Electronics, Inc.
  • Eaton Corporation
  • General Electric
  • Huawei Technologies Co., Ltd.
  • Legrand
  • Mitsubishi Electric Corporation
  • Saft
  • Schneider Electric
  • Vertiv Group Corp.

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About Grand View Research


Grand View Research is a market research and consulting company that offers market research reports, syndicated and customized reports. The company is headquartered in San Francisco, California. It offers client engagement for business consulting and market intelligence from various domains. The clientele is based across various countries with queries coming from more than 50 industries worldwide.

Grand View Research helps its clients to make informed decisions by helping them understand current trends and scenarios. Every year Grand View Research accomplishes more than 300 multi-country market studies to optimize consulting for clients.

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