The data center generator market has witnessed consistent growth in recent years. It expanded from $6.42 billion in 2024 to $6.74 billion in 2025 at a compound annual growth rate (CAGR) of 5.0%. The growth in the historic period can generally be ascribed to more considerable data consumption, increased data center growth, rising reliability requirements, ongoing digital transformation, power outage risks, and enhanced energy efficiency.
The data center generator market is projected to experience robust growth in the forthcoming years. It is projected to increase to $8.99 billion in 2029 at a CAGR of 7.5%. Future growth can be tied to escalated data consumption, a strong focus on business continuity, increased integration of renewable energy, a shift toward edge computing, and stricter energy efficiency standards. Some of the major trends observed for the forecast period include a central focus on reliability and durability, a progressive move towards fuel efficiency technologies, rapid deployment solutions, predictive maintenance, and the development of remote and unmanned data centers.
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What is Driving the Growth of the Data Center Generator Market?
The surge in the number of data centers is one of the key growth drivers of the data center generator market. As remote processing, archiving, and transport of massive amounts of data become more common, the data center—a space that hosts an extensive array of linked computer servers—has become a business necessity. The increasing demand for data center capacity is due to digital transformation and the emergence of cloud services.
What are the Key Segments in the Data Center Generator Market
1) By Product: Diesel, Gas, Other Products
2) By Capacity: < 1 MW, 1 MW-2MW, >2MW
3) By Tier Standard: Tier I And II, Tier III, Tier IV
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Which Major Players are Operating in the Data Center Generator Market?
Significant companies currently operating in the data center generator market include Alphabet Inc., Amazon.com Inc., Equinix Inc., Microsoft Corp., Oracle Corp., SAP SE, International Business Machines Corp., Cisco Systems Inc., Huawei Investment & Holding Co. Ltd., Google LLC, Meta Platforms Inc., Digital Realty, CyrusOne, GDS Holdings Limited, KDDI’s Telehouse, Hewlett Packard Enterprise Company LP, Dell Technologies Inc., Fujitsu Limited, Schneider Electric SE, Eaton Corporation, Vertiv Co., Delta Electronics Inc., Rittal GmbH & Co. KG, ABB Ltd., Siemens AG, Hitachi Ltd., and NEC Corporation.
What are the Emerging Trends in the Data Center Generator Market?
Several significant companies operating in the data center generator market are forming strategic partnerships to investigate possible use of hydrogen as an eco-friendly fuel for critical data center infrastructure. The outcome of these technological investigations may enable data centers to reduce carbon emissions while still meeting the growing demand for data, colocation, and interconnection services.
Is there a Regional Disparity in the Data Center Generator Market?
North America made up the largest proportion of the data center generator market in 2024. Asia-Pacific, however, is expected to register the fastest growth in the coming years.
What Does The Data Center Generator Market Report 2025 Offer?
A data center generator is an electrical device that offers backup power when utility power fails. The Data Center Generator Market research report from The Business Research Company presents global market size, growth rate, regional shares, competitor analysis, detailed market segments, trends, and opportunities.
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