The global data center UPS market is projected to grow from USD 14.24 billion in 2025 to USD 30.74 billion by 2031, driv

The global data center uninterruptible power supply market was valued at USD 14.24 billion in 2025 and is expected to reach USD 30.74 billion by 2031, according to recent research by Arizton, representing a compound annual growth rate of 13.69% during the forecast period. The growth is being shaped by the expansion of hyperscale and AI-ready data centers, alongside rising rack power densities across cloud and colocation facilities, which is increasing demand for higher-capacity and more resilient UPS infrastructure.

Data center operators are increasingly combining UPS systems with onsite power systems, microgrids, and energy storage as they strengthen power resilience and improve energy efficiency across critical facilities. This shift is creating demand for more advanced battery technologies, with lithium-ion investment projected to increase from USD 5.98 billion in 2025 to USD 16.29 billion by 2031. Lithium-ion batteries are being chosen for their higher energy density, longer operating life, lower maintenance requirements, and smaller footprint compared to conventional batteries. This integrated power architecture approach is already evident in large-scale facilities such as STACK Infrastructure's ZUR02 data center in Zurich, where lithium-ion batteries are integrated with double-conversion UPS systems and N+1 redundancy to support critical operations and power resilience.

The rapid deployment of artificial intelligence and high-performance computing is fundamentally changing data center power requirements, with AI clusters creating higher and more variable loads than traditional cloud environments. As AI facilities increasingly move beyond 50 to 100 kilowatts per rack compared with around 5 to 15 kilowatts in conventional data centers, operators are adapting UPS architectures through modular designs, advanced batteries, and medium-voltage systems to manage higher power densities and dynamic loads. The growing complexity of AI environments is also increasing demand for intelligent UPS systems that use artificial intelligence, machine learning, and predictive analytics to monitor battery health, load patterns, thermal conditions, and equipment performance in real time. This shift is influencing product development, with Solidion Technology's Peak Series UPS, introduced in October 2025, designed specifically for AI data centers with a smaller footprint and longer battery life. Lithium-ion UPS systems represent the fastest-growing battery segment, while UPS configurations exceeding 1,000 kilovolt-amperes represent the fastest-growing capacity segment, reflecting the increasing scale of hyperscale campuses and AI infrastructure.