Data Center UPS Market – Global Forecast to 2030: Modular Scalability, AI Power Management, and Edge Expansion Drive Demand

The global data center UPS market is anticipated to grow from USD 8.76 billion in 2025 to USD 12.47 billion by 2030, registering a CAGR of 7.3%. This growth is fueled by increasing demand for high-efficiency UPS systems driven by hyperscale AI workloads, rising rack power densities, and the need for uninterrupted operations. The transition to lithium-ion batteries and grid-interactive designs enhances system reliability and energy efficiency. North America leads due to substantial hyperscale expansions, while Asia Pacific shows rapid growth owing to cloud infrastructure investments. Key vendors like Schneider Electric, Vertiv, and Eaton are setting trends by enhancing their modular and sustainable UPS offerings to meet escalating power demands and regulatory compliance.

Data Center UPS Market

Dublin, Feb. 04, 2026 (GLOBE NEWSWIRE) — The “Data Center UPS Market by Capacity (201-500 KVA, 501-1,000 KVA, Above 2,000 KVA), Phase Type (Single-phase, Three-phase), Configuration Type (Online Double Conversion, Line-interactive, Offline), Design Type (Modular, Monolithic) – Global Forecast to 2030” has been added to ResearchAndMarkets.com’s offering.

The data center UPS market is projected to grow from USD 8.76 billion in 2025 to USD 12.47 billion by 2030, at a CAGR of 7.3%.

This rapid expansion is driven by hyperscale AI workload power demands, rising rack power densities, and the requirement for high-efficiency UPS systems in high-load environments. As AI and cloud-based applications increase power consumption per rack, operators are increasingly opting for scalable, modular, and energy-optimized UPS architectures. This transition includes the adoption of lithium-ion batteries, grid-interactive designs, and integrated battery energy storage solutions aimed at enhancing system reliability and sustainability.

These advancements ensure power continuity in data centers while aligning operations with corporate energy goals. However, the market faces challenges such as grid power availability constraints and supply chain disruptions, affecting expansion in high-demand regions. These challenges result in deployment delays and increased costs for hyperscale and colocation operators. Nonetheless, a consistent emphasis on power efficiency and sustainability underscores the critical importance of advanced UPS systems for stable power infrastructure globally.

By capacity, the 1,001-2,000 kVA segment is projected to grow the fastest during the forecast period.

This capacity range serves large-scale and hyperscale data centers that demand robust, high-capacity UPS systems. These units optimize redundancy, minimize string count, and deliver superior thermal performance, supporting seamless expansion and simplifying power distribution in mission-critical environments. In August 2025, Huawei launched its SUS2000G modular UPS platform within this capacity range for cloud data centers and colocation campuses in China. Meanwhile, in March 2024, ABB delivered multiple 1.5 MVA UPS systems for a power infrastructure upgrade in a Northern European hyperscale facility. These deployments showcase the growing demand in this segment, recommending vendors prioritize modularity, efficiency, and advanced battery management.

By form factor, the rack-mounted segment is predicted to hold the largest market share during the forecast period.

Rack-mounted UPS systems are crucial for modern data centers focusing on space optimization and high power density. They support loads of up to 50 kVA, offering localized power protection for critical equipment with reduced cabling complexity. These systems are ideal for edge, modular, and enterprise data centers with constrained footprints. Vendors have opportunities to deliver intelligent backup solutions integrating remote management, predictive maintenance, and scalable capacity expansion. Recent collaborations highlight this trend, with Eaton partnering with Fengsheng Electric in Singapore and Vertiv acquiring Great Lakes Data Racks & Cabinets, emphasizing the integration of power and enclosure ecosystems.

North America is expected to lead the market, driven by large-scale hyperscale developments, advanced power management infrastructure, and strong adoption of modular UPS systems. The region’s hyperscale growth and AI-driven workloads, combined with increasing rack power densities, are accelerating the demand for energy-efficient backup systems. Regional developments, including clean energy policies in Canada and major vendor investments, further bolster North America’s position as the leader in data center power management. These initiatives underscore the transition from traditional backup systems to high-performance, sustainable power assets.

Key insights:

• Analysis of drivers like hyperscale AI workload power demand, rise in rack power densities, and demand for high-efficiency systems.

• Challenges such as grid power availability constraints and supply chain disruptions are also discussed.

• Opportunities in modular UPS adoption and the integration of renewables with AI power management are highlighted.

• Insights into competitive landscapes and growth strategies of leading players such as Schneider Electric, Vertiv, and others.

Key Attributes:

Market Dynamics

Drivers

• Hyperscale AI Workload Power Demand

• Rising Rack Power Densities

• Demand for High-Efficiency Ups Systems

Restraints

Opportunities

• Modular and Scalable Ups Adoption

• Integration of Renewables with AI Power Management

• Growth in Colocation and Hyperscale Facilities

• Expansion of Edge Data Centers

Challenges

Company Profiles

• Schneider Electric

• Vertiv

• Eaton

• Huawei

• ABB

• Delta Electronics

• Legrand

• Hitachi

• Mitsubishi Electric

• Toshiba

For more information about this report visit https://www.researchandmarkets.com/r/xo4dvo

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