Data centers are the bustling nerve centers of the digital economy. These hubs power everything from search engines to e-commerce platforms to credit card processing in an increasingly interconnected and electrified world.
The data center market is booming thanks to sustained growth of cloud services providers (CSPs) and the Artificial Intelligence (AI) revolution, with the size, scale and capacity of these operations expanding exponentially to keep pace with demand.
AI requires far more computing power than traditional cloud computing functions, placing significant pressure on servers and local utility grids. Processing the average ChatGPT query, for example, demands more than 10 times as much electricity than a Google search.1
“A decade ago, a 30-megawatt data center was considered huge. Now when a company announces plans to build a 300-megawatt data center, no one blinks an eye,” said Harry Handlin, U.S. Data Segment Leader, ABB. “And with AI, 1-gigawatt data centers are the norm.”
The world’s biggest tech companies are projected to invest $1 trillion in new data centers over the next five years. This aggressive expansion is fueling an unprecedented surge in demand for electricity.
Data centers account for just over 1% of the world’s electricity consumption, with digitization expected to double this figure by 2030. Energy consumption in a 50-megawatt data center is comparable to a small town. Reliable access to high-quality power is critical to ensuring 24/7 uptime.
This means data center operators must upgrade their infrastructures to maintain a continuous, reliable and resilient power supply and meet surging data demand.
“What we’re seeing with AI is similar to the Space Race,” Handlin added. “It’s a sprint and a scramble to get the most electrical assets up and running to set the standard.”
ABB Electrification’s industry-leading portfolio of solutions helps data center customers around the world meet the energy challenges of today and tomorrow: from uptime to energy efficiency.
“Our ABB-wide portfolio can assist with all critical power elements — from substations to power protection to cabling — to keep data centers running 24/7 in a sustainable way,” said Danel Turk, Data Center Solution Portfolio Manager, ABB.
One example is ABB’s HiPerGuard medium voltage Uninterruptible Power Supply (UPS) solution, which provides a continuous and reliable power supply. AI data centers are early adopters of this first-to-market power protection technology, which can be used as a battery storage solution to stabilize and secure networks by tapping into unused power reserves.
The increasing focus on data center sustainability and efficiency also factor into how ABB Electrification is supporting evolving customer needs. Microgrid solutions offer opportunities for data centers to leverage on-site generation such as solar panels coupled with a battery energy storage system as part of their energy mix.
The ABB Ability™ Data Center Automation platform allows operators to optimize energy usage and lower costs by automating cooling systems — which account for ~40% of a data center’s power consumption.
With a global footprint and more than 100 years of electrification experience, ABB Electrification delivers solutions with speed and at scale.
“From the UK to China to the U.S., we have boots on the ground, longstanding relationships and a deep knowledge of what’s required to navigate this rapidly changing environment,” Turk said.
