APAC DATA CENTER POWER MARKET OUTLOOK

The APAC data center power market was valued at USD 4,187.9 million in 2020 and is expected to reach USD 5,772.7 million by 2026, growing at a compound annual growth rate (CAGR) of 5.49%.

In the APAC region, countries with high population growth such as India and Indonesia are witnessing high demand for data storage. The major contributors in terms of power capacity are China, Hong Kong, India, Japan, Singapore, and Australia.  The upcoming 5G technology installations in various countries will lead to higher demand for data center power, mostly in technology-driven countries in APAC. The data center market in APAC is mainly dominated by colocation providers, followed by internet and cloud service providers.

The APAC region is among the fastest-growing regions with increased investments from global and local facilities operators. Government agencies in the APAC region across several countries are actively engaged in growth to digitize their operations. In APAC, the implementation of edge computing across various territories, particularly in China and India, accommodates the region's data growth.

SNIPPETS

• In May 2020, AWS announced utility-scale solar projects of around 100 MW to power its operations in China and around 105 MW in Australia.
• The China & Hong Kong data center power market investment is expected to reach USD 2,533.1 million by 2026.
• The APAC data center power industry is witnessing significant growth in the procurement of lithium-ion UPS systems.
• The APAC data center power industry by
• In October 2020, Keppel Data Centres signed an MOU with City Gas and City-OG Gas Energy Services to develop the hydrogen floating data center project. Commercial deployment of these innovative concepts will revolutionize the APAC data center power industry.
• Korea Southern Power (KOSPO) is reviewing a feasibility study to develop a 230 MW hydropower plant, Maung, in Central Java, with investments of around $650 million.

APAC DATA CENTER POWER MARKET SEGMENTATION

This research report includes a detailed segmentation by

• Electrical Infrastructure
• UPS Systems
• Generators
• Tier Standards
• Geography

APAC DATA CENTER POWER MARKET SHARES AND SEGMENTS

• UPS systems are being widely adopted to provide backup power for cooling systems installed in the facility. The APAC market by UPS systems is expected to reach USD 1,631.9 million by 2026.
• The continuous construction of large and mega facilities across the globe will drive the industry for generators in the data center environment. The APAC data center power market by generators will grow at a CAGR of 4.85% in the upcoming years.
• The industry is witnessing an increasing deployment of intelligent PDU solutions. This is due to more awareness of reducing power consumption and wastage.
• Schneider Electric is among the major vendors that offer automatic transfer switches for data centers. With the increased construction of facilities across the region, the transfer switches & switchgear industry is expected to grow during the forecast period.
• Facilities with a power capacity of

GEOGRAPHICAL ANALYSIS

Baidu, in China, had purchased 550 GWh of wind power to power its facilities in the Shangxi province.

China & Hong Kong are the prominent markets for data center operations in APAC. Apple is investing more than USD 1 billion in its facilities in Guizhou and Ulanqab, which will accelerate the growth. The increasing demand for cryptocurrency data centers in China is boosting the development of high-performance computing infrastructure. Increasing the rack power density developed in the country will raise the demand for efficient power infrastructure.

The Australian government initiated 34 renewable energy projects to increase the generation of renewable energy, with solar energy as one of the major contributors. During the forecast period, installations of renewable energy sources such as solar are expected to grow, which would further reduce the power cost for data center operators.

In India, NTT Global Data Centers (Netmagic) has set up a 50 MW solar photovoltaic (PV) power plant in Solapur, Maharashtra, in collaboration with Poolawadi Windfarm, a subsidiary of Tata Power Renewable Energy Ltd (TPREL). It will increase the capacity to 100 MW in the future years and aims to meet over 80% of the power requirements of the company's Mumbai data centers.

VENDOR LANDSCAPE

The industry is witnessing growth in adoptions of generators with a power capacity of more than 2 MW. The revenue generation opportunity for the vendors is higher in the developed countries with the presence of major operators. The demand for software-defined power solutions by vendors is expected to drive growth in demand for automation and monitoring of power infrastructure. ABB, Caterpillar, Cummins, Eaton, Legrand, Schneider Electric, and Vertiv are some of the leading players in the region.

The APAC data center power market research report includes in-depth coverage of the industry analysis with revenue and forecast insights for the following segments:

Market Segmentation by Electrical Infrastructure

• UPS Systems
• Generators
• Transfer Switches & Switchgears
• Power Distribution Units
• Other Electrical Infrastructure

Market Segmentation by UPS System

• 500-1,000 kVA UPS Systems
• >1,000 kVA UPS Systems

Market Segmentation by Generators

• 1-2 MW Generators
• >2 MW Generators

Market Segmentation by Tier Standards

• Tier I & Tier II
• Tier III
• Tier IV

Market Segmentation by Geography

• China & Hong Kong
• Australia & New Zealand
• India
• Japan
• Rest Of APAC
• Southeast Asia