Always On: Scaling the Future of Data Centers
Data centers are the silent backbone of our digital lives—powering everything from cloud computing to artificial intelligence (AI), streaming, and smart cities. But behind the scenes, they are also among the world’s fastest-growing energy consumers. As demand for digital services accelerates, so does the urgency to rethink how we power and operate these facilities.
Web Story
4min
2025-06-11
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AI is projected to drive a 160 percent increase in data center demand over the next five years, spurring a transformative industry shift.02
Data centers face mounting challenges, including soaring energy consumption from AI, aging infrastructure, and environmental regulations.03
ABB is helping global data center service operators outperform with a portfolio of innovative and digital technologies, enabling reliability, scalability, sustainability and energy efficiency.How AI and sustainability are redefining data centers
As artificial intelligence, sustainability, and edge computing reshape the digital landscape, data centers are undergoing a profound transformation. From AI-optimized infrastructure to modular design and renewable integration, the latest trends reveal a future built on intelligence, efficiency, and scalability.
AI-Driven Infrastructure
Artificial intelligence is poised to drive a 160 percent increase in data center power demand by 2030 [1]. AI workloads demand higher power densities and faster data throughput, leading to facility updates and redesigns to support AI at scale—efficiently and sustainably.Colocation and Hyperscale growth
There is significant growth in the data center service market with an increasing focus on colocation and global hyperscale accounts. Sizes are increasing to reach capacities of 300 to 500 MW – a trend expected to continue with the rise of AI and ongoing growth of cloud services.Energy Efficiency as a Strategic Priority
Energy efficiency improvements are essential to meet the 99.999% target for service availability. Reliable power and cooling systems lead to fewer downtime disruptions, helping ensure continuous data center services.Renewable Energy Integration
The push toward net zero is accelerating adoption of renewable energy. Solar, wind and geothermal sources are increasingly being integrated into data center energy strategies.Modular and Prefabricated Design
Speed and scalability are driving adoption of modular and prefabricated data center equipment. These solutions accelerate deployment from ordering to testing and installation.On-site microgrids
For data centers, a microgrid, with integrated renewable energy sources and BESS (Battery energy storage system) diversifies energy supply, reduces grid dependency, and lowers carbon footprint.What keeps our data center customers awake at night
1. Power and energy intensity of AI
As AI and cloud workloads surge, data center services are hitting a roadblock: access to reliable power. Data centers are among the highest consumers of electric power in the world. A recent IEA report projects that electricity demand from data centres worldwide is set to more than double by 2030 to around 945 terawatt-hours (TWh), slightly more than the entire electricity consumption of Japan today.
2. Reliability challenges
With approximately 11,000 data centers worldwide, business continuity is imperative. Even a few seconds of unscheduled outages can be costly, disrupting operations and jeopardizing the continuity of countless services and applications. Aging data center infrastructure and technologies remains a concern for ensuring reliable and energy efficient operations as demands continue to increase.
3. Environmental and Regulatory Pressure
Data centers are undergoing scrutiny from regulators, communities and environmental groups. Concerns over carbon emissions, water usage and land impact are prompting stricter regulations and higher expectations for transparency.
4. Aging Infrastructure and Land Constraints
Building new data centers isn’t just about demand—it’s about space and infrastructure. In many regions, suitable land is scarce, and construction timelines are lengthening due to permit delays and supply chain disruptions. For example, 37 percent of worldwide data center capacity is in hyperscalers; half of which is in owned facilities and half is leased2.
5. Integration of Renewable Energy
Given the increasing power needs for data center services, it is of vital importance that many sources of energy be considered as part of their supply – including the integration of renewables, which adds greater complexity. Solar and wind are intermittent, requiring robust energy storage and smart grid integration. Legacy systems often aren’t designed for this level of flexibility.
ABB Solutions
As data centers face mounting pressure to deliver more capacity with fewer resources, ABB is helping operators overcome today’s most urgent challenges with a portfolio of innovative and digital technologies.
We ensure we support data centers in three key areas:
Reliability & Uptime
High reliability and uptime in data centers are essential to support the growing number of IoT devices and the increasing demand for uninterrupted digital services. By minimizing service interruptions and enabling proactive maintenance through digital monitoring and remote support, data centers can ensure continuous operations and avoid costly outages.
ABB MNS® Low Voltage Switchgear
ABB’s reliable power distribution solutions, such as high-efficiency switchgear are engineered to deliver consistent and stable power, minimizing energy loss, and enhancing reliability.
ABB's first medium-voltage UPS designed for mission-critical facilities
ABB’s Uninterrupted Power Supply (UPS) solutions such as HiPerGuard MV UPS and MegaFlex offer robust backup power, ensuring that data centers remain operational during grid fluctuations or outages.
Energy Efficiency
Driving energy efficiency helps reduce data center power consumption and carbon emissions, while supporting long-term operational cost savings. By leveraging digital monitoring and high-efficiency technologies, data centers can drive more energy efficient operations without compromising performance or reliability.
Ultra-low harmonic (ULH) drives
Ultra-low harmonic (ULH) drives offer significant benefits for data centers including enhanced operational reliability and easier integration making them a sustainable and economical long-term cooling solution.
ABB’s circuit monitoring system
ABB’s circuit monitoring system, which helps ensure consistent power comes into data centers, can be added to pre-existing wired panels and immediately provide data collection, analysis, and energy optimization.
On-site microgrids with renewables and battery Energy storage systems (BESS)
On-site microgrids with renewables and battery energy storage systems (BESS) increases flexibility, enhances resilience and improves sustainability. ABB recently introduced Battery Energy Storage Systems-as-a-Service to simplify renewable energy adoption.
ABB's digital switchgear and ABB Ability™ Energy and Asset Manager
ABB’s digital switchgear and ABB Ability™ Energy and Asset Manager provide real-time insights into asset health and power metrics, enabling predictive maintenance and reducing unplanned outages.
Speed & Scalability
Data centers need speed and scalability to rapidly adapt to growing data demands while minimizing deployment time and operational costs. To support data center service owners and operators to scale with agility, ABB’s modular and prefabricated systems accelerate deployment by up to 50%, reduce on-site labor, and support a pay-as-you-grow model.
Key data center case studies around the world
From fuel monitoring to airflow management, ABB’s solutions help data centers operate with greater confidence, flexibility, and long-term resilience—meeting growing digital demands in a rapidly evolving energy landscape.
Philippines
The Philippines' Largest, AI-Ready Hyperscale Data Center
ABB has powered VITRO Santa Rosa, the Philippines’ largest and most advanced data center, with a complete electrification solution, enabling the country’s first AI-ready hyperscale data center. Located in Laguna, just south of Metro Manila, the 50MW site is setting new benchmarks for AI readiness, reliability and sustainability as the Philippines emerges as one of the world’s fastest-growing data center markets.
USA
ABB and Applied Digital accelerate AI-ready data centers
Applied Digital, a builder and operator of next-generation data centers, has launched an infrastructure partnership with ABB at the company’s greenfield 400 MW campus in North Dakota, United States. The collaboration will innovate fast, reliable, energy-efficient solutions to meet the needs of rapidly advancing artificial intelligence (AI) capabilities.
China
Supercomputing at Scale
The KCY Cloud Data Center - a new high-performance computing data center in Chengdu, China is designed to deliver 500 petaflops of computing power in its first phase. ABB provided a comprehensive data center power solution—from medium-voltage switchgear to low-voltage distribution systems—designed to scale with the customer’s growth plans.
Asia Pacific
Clean Power for Cool Performance
A leading social media platform selected ABB’s Ultra-Low Harmonic Drives to power the HVAC systems in its new Asia-Pacific data center. These drives ensure clean, stable power while optimizing cooling performance—critical for maintaining uptime in high-density environments. ABB’s solution supports reliable operations and energy-conscious performance at scale.
A global cloud and AI services provider, operating data centers worldwide, partnered with ABB to enhance the performance of its Southeast Asia facility. With increasing energy demands and strict data center power quality requirements, ABB’s Ultra-Low Harmonic (ULH) Drives were selected to meet harmonic distortion standards while optimizing the operation of pumps and fans.
Middle East
ABB’s Automation Backbone in a Global Co-location Hub
A multinational company specializing in internet connectivity and colocation centers, selected ABB’s PLC (programmable logic controller) automation solutions for its new data center in the Middle East to control fuel storage monitoring and help ensure operational reliability. ABB helped the data center with technical support, and an optimized solution with third party scalable communication and system configuration.
A connected future
ABB's product portfolio and business focus are well aligned to industry trends, especially digitalization, the energy transition and accelerating demand for clean energy. By enabling data centers to scale their energy needs with solutions in digitization, renewables integration, and energy efficient electrification and automation, we enable them to outrun leaner and cleaner.