Market Size of Taiwan Data Center Power Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 391.10 Million |
| Market Size (2029) | USD 501.20 Million |
| CAGR (2024 - 2029) | 5.20 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Taiwan Data Center Power Market Analysis
The Taiwan Data Center Power Market size is estimated at USD 391.10 million in 2024, and is expected to reach USD 501.20 million by 2029, growing at a CAGR of 5.20% during the forecast period (2024-2029).
The increasing demand for cloud computing among SMEs, government regulations for local data security, and growing investment by domestic players are some of the major factors driving the demand for data centers in the country.
- Under Construction IT Load Capacity: The upcoming IT load capacity of the Taiwanese data center market is expected to reach 300 MW by 2029.
- Under Construction Raised Floor Space: The country’s construction of raised floor area is expected to increase to 1.5 million sq. ft by 2029.
- Planned Racks: The country’s total number of racks to be installed is expected to reach 76K units by 2029. Taipei City is expected to house the maximum number of racks.
- Planned Submarine Cables: There are close to 10 submarine cable systems connecting Taiwan, and many are under construction. One such submarine cable that is estimated to start service in 2024 is Apricot, which stretches over 11,972 kilometers with landing points from Toucheng, Taiwan.
- With the domestic production of electricity, Taiwan can be self-sufficient. With 104% of the demand accounted for, the overall production of all electric power plants is 279 billion kWh. Other domestic energy production is either exported to other countries or unused. The production, imports, and exports are crucial in addition to pure consumption.
- As per the Ministry and Taipower, electricity consumption is expected to grow by 2.5% per year over the next few years. The government considers power-saving measures such as subsidies to increase energy efficiency and productivity and moves toward a low-carbon system to solve the electricity problem and crisis. In support of the above policy and to reduce energy consumption, key market players are focusing on introducing efficient power management systems such as PDUs, busways, and UPS for the purpose of controlling unnecessary expenditures in data centers, which is expected to drive the market’s growth.
Taiwan Data Center Power Industry Segmentation
Data center power refers to the power infrastructure, including electrical components and electrical distribution systems, that provide the power necessary to operate and support the devices and servers within a data center. It includes various components and technologies designed to ensure a reliable, uninterruptible power supply for data center IT equipment, including uninterruptible power supplies (UPS), power distribution units (PDU), backup generators, and other power management solutions tailored to the specific needs of data centers. Data center operators achieve data center redundancy through duplicated components to maintain uninterrupted operations in the event of failure of some components and to maintain uptime during maintenance.
The Taiwanese data center power market is segmented by power infrastructure (electrical solutions (UPS systems, generators, power distribution solutions (PDU, switchgear, critical power distribution, transfer switches, remote power panels, others)), and service) and end user (IT & telecommunication, BFSI, government, media & entertainment, and other end users). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
| By Power Infrastructure | ||||||||||||
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| Service |
| By End User | |
| IT & Telecommunication | |
| BFSI | |
| Government | |
| Media & Entertainment | |
| Other End Users |
Taiwan Data Center Power Market Size Summary
The Taiwan data center power market is poised for significant growth, driven by the increasing demand for cloud computing and the government's push for digital transformation. The market is experiencing a surge in investment from domestic players, spurred by regulations mandating local data security and the need for efficient power management systems. As Taiwan positions itself as a regional hub for enterprises, the demand for data centers is escalating, particularly with the rise of cloud services and telecom infrastructure. The government's initiatives, such as Microsoft's "Reimagine Taiwan" program, aim to bolster local digital capabilities, further fueling the market's expansion. The adoption of 5G services and the burgeoning semiconductor sector also contribute to the growing need for robust data center power infrastructure.
The market is characterized by the introduction of advanced power management solutions, such as monitored rack PDUs and intelligent power distribution units, which optimize energy usage and enhance operational efficiency. Key players like Eaton, Legrand, and ABB are actively innovating to meet the diverse power requirements of data centers, aligning with the government's energy efficiency goals. The construction of new data centers and the expansion of existing facilities are expected to drive demand for data center power solutions. Additionally, partnerships and technological advancements, such as the use of hydrogen fuel cells for backup power, are anticipated to further propel market growth. The Taiwanese data center power market, though moderately consolidated, is witnessing strategic expansions and collaborations among major players to capture a larger share of the regional market.
Taiwan Data Center Power Market Size - Table of Contents
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1. Market Dynamics
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1.1 Market Overview
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1.2 Market Drivers
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1.2.1 Rising Adoption of Mega Data Centers and Cloud Computing
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1.2.2 Increasing Demand to Reduce Operational Costs
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1.3 Market Restraints
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1.3.1 High Cost of Installation and Maintenance
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1.4 Value Chain/Supply Chain Analysis
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1.5 Industry Attractiveness - Porter's Five Forces Analysis
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1.5.1 Threat of New Entrants
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1.5.2 Bargaining Power of Buyers/Consumers
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1.5.3 Bargaining Power of Suppliers
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1.5.4 Threat of Substitute Products
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1.5.5 Intensity of Competitive Rivalry
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1.6 Assessment of COVID-19 Impact
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2. MARKET SEGMENTATION
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2.1 By Power Infrastructure
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2.1.1 Electrical Solution
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2.1.1.1 UPS Systems
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2.1.1.2 Generators
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2.1.1.3 Power Distribution Solutions
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2.1.1.3.1 PDU
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2.1.1.3.2 Switchgear
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2.1.1.3.3 Critical Power Distribution
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2.1.1.3.4 Transfer Switches
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2.1.1.3.5 Remote Power Panels
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2.1.1.3.6 Other Power Distribution Solutions
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2.1.2 Service
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2.2 By End User
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2.2.1 IT & Telecommunication
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2.2.2 BFSI
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2.2.3 Government
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2.2.4 Media & Entertainment
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2.2.5 Other End Users
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Taiwan Data Center Power Market Size FAQs
How big is the Taiwan Data Center Power Market?
The Taiwan Data Center Power Market size is expected to reach USD 391.10 million in 2024 and grow at a CAGR of 5.20% to reach USD 501.20 million by 2029.
What is the current Taiwan Data Center Power Market size?
In 2024, the Taiwan Data Center Power Market size is expected to reach USD 391.10 million.
