The Global Rack Mount UPS Market is estimated to be valued at US$ 2.98 Bn in 2023 and is expected to exhibit a CAGR of 6.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Rack Mount UPS systems provide backup power to servers, networking hardware and storage devices that are mounted in standard 19-inch server racks. They ensure continuous availability of power supply in case of power failures or fluctuations which helps in preventing data loss. The need for uninterrupted power supply has increased significantly for various data centers and industrial applications requiring high power backup for critical equipment.
Market key trends:
One of the key trends in the rack mount UPS market is the increasing adoption of lithium-ion batteries. Lithium-ion batteries are gaining popularity as they offer higher energy density compared to traditional lead-acid batteries, which reduces the footprint and weight of rack mount UPS systems. The lifecycle of lithium-ion batteries is also significantly higher than lead-acid batteries leading to lower replacement and maintenance costs. Several rack mount UPS manufacturers are focusing on developing product ranges based on lithium-ion battery technology to meet the growing demand from data centers and industries.
Segment Analysis
The global rack mount UPS market can be segmented based on product type, application, power rating, phase, and geography. By product type, the market is divided into online and offline. The online segment dominates the market as it provides battery backup during power outages and offers voltage regulation. By application, the market is bifurcated into IT and telecom, healthcare, Energy & Utilities, Government and Defense, Manufacturing, and others. The IT and telecom segment accounts for the largest market share due to growing data centers and increasing demand for data backup. By power rating, the market is categorized into less than or equal to 10000 VA,10001-15000 VA, 15001-20000 VA, and above 20000 VA. The 15001-20000 VA segment dominates as rack mount UPS systems in this power range are ideal for medium capacity applications. By phase, the market is classified into single-phase and three-phase. The three-phase segment accounts for the largest share due to the requirement of three-phase power supply for medium to high power equipment.
Key Takeaways
The Global Rack Mount UPS Market size was valued at US$ 2.98 Bn in 2023. It is expected to reach US$ 4.88 Bn by 2030, exhibiting a CAGR of 6.6% during the forecast period. This growth can be attributed to the increasing demand for data centers around the world and the need to provide uninterrupted power to critical systems and equipment.
Regional analysis - North America dominated the market with a share of around 35% in 2023 due to heavy investments in data centers in the region. Asia Pacific is expected to witness the highest growth over the forecast period, growing at a CAGR of 8.2%. This growth can be attributed to increasing installation of data centers, increasing digitization in countries such as India and China and rising investments by cloud service providers.
Key players analysis - Key players operating in the rack mount UPS market are Schneider Electric, Eaton, Emerson Electric, Toshiba, Siemens, General Electric, Delta Electronics, Huawei, ABB, and Vertiv. Schneider Electric leads the market with over 15% market share owing to its broad product portfolio and global presence.
