Data Center Rack Power Distribution Unit Market (By Rack Type: Non-intelligent PDU, Intelligent PDU (Metered, Switched)) - Global Industry Analysis, Size, Share, Growth, Trends, Revenue, Regional Outlook and Forecast 2024-2033

The global data center rack power distribution unit market size was estimated at around USD 1.81 billion in 2023 and it is projected to hit around USD 4.64 billion by 2033, growing at a CAGR of 9.86% from 2024 to 2033.

Key Pointers

• North America led the market with the largest revenue share of 38% in 2023.
• Asia Pacific is expected to grow at the fastest CAGR of 11.65% from 2024 to 2033.
• By Rack Type, the non-intelligent segment contributed the largest market share of 54% in 2023.
• By Rack Type, the intelligent segment is anticipated to grow at the fastest CAGR of 10.75% between 2024 to 2033.

Data Center Rack Power Distribution Unit Market Overview

The data center rack power distribution unit (PDU) market serves as a cornerstone in the realm of data center infrastructure, offering indispensable solutions for the efficient distribution of electrical power within server racks. As the demand for robust and scalable data center architectures continues to surge, the PDU market has witnessed substantial growth, driven by a confluence of technological advancements, evolving energy efficiency imperatives, and the ever-increasing complexity of modern data center setups.

Data Center Rack Power Distribution Unit Market Growth

The data center rack power distribution unit (PDU) market is experiencing robust growth, fueled by several key factors. Firstly, the escalating demand for scalable power solutions, particularly in the context of data-intensive technologies such as cloud computing and artificial intelligence, has propelled the adoption of PDUs designed to meet the dynamic power requirements of high-density computing environments. Secondly, there is a pronounced industry-wide emphasis on energy efficiency and sustainability, driving the development of intelligent PDUs equipped with features like power monitoring and management. These solutions align with the growing global commitment to eco-friendly practices in data center operations. Additionally, ongoing technological innovations, including the integration of IoT capabilities in smart PDUs, facilitate real-time monitoring and predictive maintenance, addressing the need for intelligent, adaptive power distribution. The increasing complexity of data center architectures, such as hyper-converged and modular designs, further contributes to market growth, with a rising demand for customized PDUs capable of seamless integration. Lastly, stringent compliance with regulatory standards, such as TIA-942 and Uptime Institute's Tier Standards, underscores the importance of PDUs in ensuring data center adherence to industry guidelines. In navigating these dynamics, the Data Center Rack PDU market is poised for sustained expansion, playing a pivotal role in shaping the future of efficient and resilient data center infrastructure.

Report Scope of the Data Center Rack Power Distribution Unit Market

Data Center Rack Power Distribution Unit Market Dynamics

Data Center Rack Power Distribution Unit Market Drivers

• Increasing Demand for Scalable Power Solutions: The market for data center rack power distribution unit (PDUs) is being driven by a growing need for scalable power solutions. With the rise of data-intensive technologies like cloud computing and artificial intelligence, there is an increased demand for PDUs that can efficiently distribute power in high-density computing environments.
• Focus on Energy Efficiency and Sustainability: Energy efficiency has become a pivotal driver in the data center industry. The demand for PDUs equipped with intelligent features, such as power monitoring and management, reflects a broader industry trend toward sustainable practices. PDUs play a crucial role in optimizing energy consumption and aligning with eco-friendly data center operations.

Data Center Rack Power Distribution Unit Market Restraints

• Limited Awareness and Education: Another restraint is the limited awareness and education within the industry regarding the benefits and functionalities of advanced PDUs. Some organizations may not fully understand the advantages of upgrading to intelligent PDUs, leading to slower adoption rates. Educating stakeholders about the long-term benefits and efficiency gains is crucial to overcoming this restraint.
• Security Concerns in Smart PDUs: The integration of Internet of Things (IoT) capabilities in smart PDUs introduces potential security vulnerabilities. Security concerns, including the risk of unauthorized access or cyber threats, may hinder the widespread adoption of smart PDUs. Addressing these concerns through robust cybersecurity measures is essential to mitigate potential risks.

Data Center Rack Power Distribution Unit Market Opportunities

• Integration of Artificial Intelligence (AI): The integration of Artificial Intelligence (AI) in data center operations offers opportunities for advanced PDUs. AI-powered analytics can be utilized to optimize power distribution, predict maintenance needs, and enhance overall energy efficiency. Developing PDUs with AI capabilities positions the market to cater to the evolving needs of AI-driven data center environments.
• Focus on Modular and Prefabricated Data Centers: The trend towards modular and prefabricated data centers provides opportunities for PDUs designed to integrate seamlessly into these flexible and scalable environments. Customizing PDUs to fit the modular nature of data center construction allows for greater adaptability and efficiency in power distribution.

Rack Type Insights

The non-intelligent segment accounted for the largest revenue share of 54% in 2022. The non-intelligent rack power distribution units, which have only input load monitoring and power distribution functionalities, held the largest share of over 50.0% in 2019. Factors such as increased demand for power and load monitoring capabilities in data centers and cost-effectiveness are anticipated to boost the segment growth over the forecast period. Additionally, these power distribution units fulfill the requirements of various data centers as they accurately distribute current and voltage within the IT infrastructure.

The intelligent segment is expected to grow at the fastest CAGR of 10.75% during the forecast period. The intelligent rack PDU is further bifurcated into Metered PDU and Switched PDU. This is attributed to the shift of various organizations towards hyper-converged infrastructure. Additionally, features such as input metering, network connectivity, and output metering are expected to boost their demand.

Regional Insights

North America dominated the market with the largest revenue share of 38% in 2022. This is attributed to the presence of key players such as APC Corp; Hewlett Packard Enterprise Development LP; and Cyber Power Systems (USA), Inc. U.S. is considered to be a major contributor in terms of revenue owing to the increasing adoption of online shopping, which has led to retailers having data centers in their own premises or lease storage space from third-party service providers. Furthermore, colocation providers in this region are significantly investing in constructing additional data centers to enhance their global footprint, which is subsequently fueling the regional market growth.

Asia Pacific is expected to grow at the fastest CAGR of 11.65% during the forecast period. Growing preference for digitalization is anticipated to encourage the adoption of cloud-based services and in turn, necessitate the utilization of data centers during the forecast period. Companies such as Amazon Web Services, Inc.; Google LLC; and IBM Corporation are expanding their cloud-based services in this region. Furthermore, rising expenditure on IT infrastructure in countries, such as Japan, China, and India, is fueling the demand for power distribution units in the region.

Data Center Rack Power Distribution Unit Market Key Companies

• Data Center Rack Power Distribution Unit
• Schneider Electric
• Cyber Power Systems (USA), Inc.
• Eaton
• Enlogic,
• Hewlett Packard Enterprise Development LP
• Leviton Manufacturing Co., Inc.
• Raritan, Inc.
• Server Technology, Inc.
• Tripp Lite
• Vertiv Group Corp

Recent Developments

• In June 2022, Schneider Electric introduced the easy modular data center all-in-one solution in Europe. This innovative offering cooling, combines power and IT equipment into a single, pre-configured solution, catering to enterprises and IT organizations adopting edge computing strategies. The launch of this new line of data centers addresses consumer demands for predictability, faster deployment times, and lower total cost of ownership, providing significant value to businesses in the ever-evolving digital landscape.
• In January 2022, Equinix, Inc., collaborated with GIC, Singapore's sovereign wealth fund. The partnership aims to develop and manage two xScale data centers in Seoul, South Korea. Through this new joint venture, the global xScale data center portfolio will be expanded, enabling Equinix to further enhance its presence and offerings in the dynamic Korean market.
• In September 2021, Vantage Data Centers unveiled a significant expansion initiative into the APAC region with two strategic acquisitions. The company made headlines by announcing the purchase of Agile Data Centers and simultaneously taking over the data center portfolio of PCCW Ltd. These acquisitions marked Vantage Data Centers' strategic move to strengthen its presence and offerings in the rapidly growing APAC market.

Data Center Rack Power Distribution Unit Market Report Segmentations:

By Rack Type

• Non-intelligent
• Intelligent
  • Metered
  • Switched

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa