Data centers fueling demand for uninterruptible power supply devices, finds Frost & Sullivan

by Shane Henson — February 3, 2014—Increasing dependency on data centers for mission-critical applications is lending impetus to the global data center uninterruptible power supply (UPS) market, according to a new report from global growth consulting firm Frost & Sullivan.

The report, Analysis of the Global Data Center Uninterruptible Power Supplies Market, finds that the UPS market earned revenues of $1.61 billion in 2013 and is estimated to reach $2.34 billion in 2019 as a result of the demand for well-equipped data centers with fully functioning backup power.

According to Anu Elizabeth Cherian, a Frost & Sullivan energy and environmental research analyst, the trend toward virtualization and cloud computing as well as the need for data availability on the go is boosting the number of UPS installations.

“Organizations are veering towards a new generation of UPS systems that complement the virtual server design and significantly raise the total power usage effectiveness of data centers,” she explained.

However, the report notes that the price premium attached to UPS systems with higher efficiency is deterring cost-conscious end users from upgrading their current UPS equipment. Lack of product differentiation, market maturity, and intense price competitiveness are also limiting the development of the global data center UPS market.

UPS manufacturers must invest in product innovation and revamp their current technologies to sustain steady year-over-year growth. For instance, they could employ direct current backup power systems to meet the demand for energy efficiency in data centers, the report advises.