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Market Dynamics
Maximizing Energy Efficiency with ECO Mode in UPS Systems to Drive Market Growth
ECO mode also referred to as “Active Standby” or “Economy” mode offers the highest energy efficiency for uninterruptible power supply (UPS) systems, achieving efficiency levels of up to 99%. In this mode, the load is primarily powered via the bypass line (raw mains supply), while the inverter remains powered but inactive provided that the main power falls within acceptable thresholds.
The key benefit of this mode is the high efficiency of the bypass line, which typically operates at 98-99% compared to the 93-97% efficiency of standard online UPS systems. This 2-6% boost in efficiency can generate significant cost savings, where even a 1% improvement in large-scale facilities may result in annual savings amounting to tens or hundreds of thousands of dollars in energy expenses.
The market currently offers two variants of ECO mode: the traditional UPS Eco Mode and the more advanced Eco Mode. The advanced variant is favored, as it provides rapid delivery of clean energy to data center infrastructure. Continued advancements in UPS technology by leading vendors are propelling the movement towards greener data centers across multiple industry sectors.
Market Segments
By Component (Solution, Service)
By Enterprise Size (Large Enterprises, Small & Medium Enterprises (SMEs))
By End-use (BFSI, Media and Entertainment, Retail, IT & Telecom, Healthcare, Manufacturing, Government & Defense, Others)
By Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa)
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Market Regional Share
Sustainable Data Center Development Across Key Regions Through Green Strategies
The rapid growth of mobile broadband, big data analytics, and cloud computing is expected to further boost the North American green data center market. North American operators are looking to tackle regional challenges by emulating successful European practices. For example, in Norway, facility retrofits have enabled developers to integrate 3.5MW of excess heat into the Oslo heating network annually. Similarly, Facebook pioneered sustainability by launching the worlds first green data center in Luleå, Sweden, which harnesses cold ambient temperatures and nearby hydroelectric power for clean energy.
Increasing demands for data storage and processing continue to fuel the construction and expansion of data centers. Companies are either establishing new facilities or enhancing existing ones to manage growing data loads. One notable instance is United Airlines Chicago facility, which uses KyotoCooling® air-to-air heat transfer technology to extend free cooling hours, thereby saving 420 million kWh over a decade. Similarly, Switchs innovative approach to cooling technology eliminates chemicals, significantly boosting water conservation by over 400% and saving in excess of 155 million gallons of water within three years.
The Asia Pacific region (APAC) is emerging as one of the fastest-growing markets for data centers, driven by accelerated digitalization and an expanding demand for cloud-based services. Here, sustainability has become central as businesses face mounting pressure from customers, shareholders, and the public to be accountable for their environmental impact. Countries like Singapore are spearheading efforts to build low-carbon, climate-resilient economies by investing in renewable energy solutions.
In a notable advancement, Fujitsu Ltd. announced in February 2022 the development of energy-efficient photonics-based smart network interface cards (NICs) and CPUs. This breakthrough, part of the NEO program, aims to combat rising power consumption in data centers by improving energy efficiency, boosting capacity, and reducing latency, thereby underpinning the transition to next-generation green data centers and contributing to a more sustainable society.
Key Market Players
Key players are ABB Ltd., Asetek, Inc., Delta Electronics, Inc., Digital Realty Trust, Cisco Systems, Inc., Dell Technologies, Inc., Equinix, Inc., Fujitsu Ltd., General Electric, Hewlett Packard Enterprise Company, Huawei Technologies Co., Ltd., Hitachi, Ltd., International Business Machines Corporation, Schneider Electric and Siemens AG.
Recent Developments
In May 2023, Huawei introduced the Fan Wall Chilled Water Cooling Solution and PowerPOD 3.0 during the Huawei Green Data Center Summit. These AI-based power and cooling products were launched specifically for the Asia Pacific market, aiming to enhance the sustainability of regional data centers.
In June 2023, Cyberlink, an ICT infrastructure service provider, formed a partnership with Green, a data center provider, to expand its data center backbone. This collaboration enabled Cyberlink to extend its infrastructure services to three environmentally friendly data centers located in Lupfig, Dielsdorf, and Schlieren.
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