Asia Pacific Data Center Power Market size was over USD 2 billion in 2019 and is projected to register exponential growth of 10% between 2020 and 2026.
The growing popularity of OTT platforms, such as Netflix, YouTube, and Amazon, in the region will boost the demand for robust data center infrastructures for effective data management. The increasing internet penetration has enabled seamless online video streaming, in turn, leading to huge data storage requirements. The advent of 5G technology that ensures fast connectivity and seamless video streaming has further accelerated the demand for on-demand video streaming platforms. Surging amounts of data from online streaming services will contribute to the rise in the number of data center construction projects.
Get more details on this report - Request Free Sample PDF
COVID-19 pandemic has severely impacted the Asia Pacific market in 2020 due to the stringent lockdown measures imposed in several countries. Manufacturers in the data center power market faced risks of supply chain disruption with the shortage of raw materials and electronic components. The component manufacturers witnessed delays in product shipments due to stringent travel restrictions imposed by government authorities.
Power outages cause huge losses to data centers as they may result in the loss of critical data stored. While data recovery is a critical task, power outage may also incur huge financial losses to businesses. This has boosted the demand for high-performance UPS solutions. It is extremely vital to protect the loads from electricity disturbances and blackouts. Efficient UPS systems are required to keep the data center functioning smoothly. Increasing power consumption in data centers is encouraging operators to invest in sustainable & energy-efficient UPS solutions. The developing industrial sector in the region will also support the demand for advanced UPS systems that ensure constant and reliable power supply.
The growing penetration of digitalization across the banking and financial industry will propel the demand for high-quality data center infrastructure solutions that ensure reliable and consistent power supply. With the growing penetration of digital payment techniques, there is a sharp rise in the demand for efficient data management solutions to store the mounting amounts of digital data. Since the outbreak of the pandemic, several countries, such as India, South Korea, Singapore, and China, have witnessed a rise in the number of contactless payments. The sharp rise in the amount of data accumulated due to digital payments will fuel the demand for data center power solutions that ensure uninterrupted digital banking experience.
Prominent companies operating in the market include ABB Ltd., Caterpillar Inc., Cyber Power Systems, Inc., Toshiba Corporation, Delta Electronic Inc., Rittal Gmbh & Co. Kg, Siemens AG, Hewlett-Packard Company, Legrand, Mitsubishi Electric Corporation, Huawei Technologies Co., Ltd., Tripp Lite, Eaton Corporation, Schneider Electric SE, and Vertiv Group Co.
These industry participants are launching new solutions to sustain the market competition. For instance, in March 2020, ABB Group launched its new Megaflex solution that offers a compact & resilient UPS system and features a reduced footprint of up to 45%. The Megaflex range offers solutions for UL and IEC markets with power ranges of 1.6 and 1.5 MW, respectively.