Market Size of United States Data Center Power Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 14.28 Billion |
| Market Size (2029) | USD 19.01 Billion |
| CAGR (2024 - 2029) | 6.60 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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United States Data Center Power Market Analysis
The United States Data Center Power Market size is estimated at USD 14.28 billion in 2024, and is expected to reach USD 19.01 billion by 2029, growing at a CAGR of 6.60% 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 United States data center rack market is expected to reach 24,000 MW by 2029. Data centers in the United States use more than 90 billion kWh of electricity each year. Most of this power is provided via the grid, but all data centers also have long-term backup generators.
- Under Construction Raised Floor Space: The country's construction of raised floor area is expected to increase to 80 million sq. ft by 2029.
- Planned Racks: The country's total number of racks to be installed is expected to reach 4,035,000 units by 2029. Northern Virginia is expected to house the maximum number of racks by 2029.
- Planned Submarine Cables: There are more than 80 submarine cable systems connecting the United States, and many are under construction.
United States 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 the 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 US data center power market is segmented by power infrastructure (electrical solution {UPS system, generators, power distribution solutions [PDU, switchgear, critical power distribution, transfer switches, remote power panels, other power distribution solutions]}, and service) and end user (IT and telecommunication, BFSI, government, media and entertainment, and other end users). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
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| By End User | |
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| Government | |
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| Other End Users |
United States Data Center Power Market Size Summary
The United States data center power market is poised for significant growth, driven by the increasing demand for cloud computing, stringent government regulations on data security, and substantial investments from domestic players. The market is characterized by the expansion of IT load capacity, raised floor space, and the installation of numerous racks, particularly in Northern Virginia, which is expected to become a hub for data center infrastructure. The adoption of advanced technologies such as switched PDUs is enhancing operational efficiency, allowing for remote management and energy savings, which are crucial as data traffic continues to rise with the proliferation of 5G connections. The market's growth is further supported by economic incentives and tax benefits that encourage the development of mega data centers across the country.
The United States remains a global leader in the technology sector, with its information and communication technology market playing a pivotal role in economic development. The country's data centers, especially hyperscale facilities, are significant energy consumers, reflecting the rapid expansion and increasing size of these infrastructures. The competitive landscape of the data center power market is marked by the presence of major players like ABB Ltd, Caterpillar Inc., Cummins Inc., Eaton Corporation, and Cisco Systems Inc., who are actively engaging in strategic partnerships and acquisitions to strengthen their market position. Innovations in power management solutions, such as those announced by Enlogic and Eaton, underscore the industry's focus on enhancing security, flexibility, and business continuity in data center operations.
United States 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 Growing Rack Power Density
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1.2.2 Increase in the Demand for Energy-efficient and Cost-effective Data Centers
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1.3 Market Restraints
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1.3.1 Faster Refresh Life Cycle than Data Center Profitable Life Expectancy
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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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2.1.1.1.1 UPS Capacity
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2.1.1.1.1.1 <500 kVA
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2.1.1.1.1.2 500 - 1000 kVA
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2.1.1.1.1.3 > 1000 kVA
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2.1.1.2 Generators
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2.1.1.2.1 Generator Capacity
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2.1.1.2.1.1 < 1MW
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2.1.1.2.1.2 1 - 2 MW
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2.1.1.2.1.3 > 2 MW
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2.1.1.3 By Power Distribution Unit (PDU)
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2.1.1.3.1 PDU Type
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2.1.1.3.1.1 Basic PDU
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2.1.1.3.1.2 Metered PDU
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2.1.1.3.1.3 Monitored PDU
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2.1.1.3.1.4 Switched PDU
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2.1.1.4 Other Electrical Solutions
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2.1.2 By Service
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2.1.2.1 System Integration
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2.1.2.2 Training and Consulting
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2.1.2.3 Maintenance and Other Services
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2.2 By End User
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2.2.1 IT and 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 and Entertainment
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2.2.5 Other End Users
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United States Data Center Power Market Size FAQs
How big is the United States Data Center Power Market?
The United States Data Center Power Market size is expected to reach USD 14.28 billion in 2024 and grow at a CAGR of 6.60% to reach USD 19.01 billion by 2029.
What is the current United States Data Center Power Market size?
In 2024, the United States Data Center Power Market size is expected to reach USD 14.28 billion.
