Data Center Energy Storage Market Size, Share & Trends Analysis growing at a CAGR of 9.5% from 2025 to 2030
The global data center energy storage market size was estimated at USD 1.58 billion in 2024 and is projected to reach USD 2.67 billion by 2030, growing at a CAGR of 9.5% from 2025 to 2030, driven by the exponential increase in data generation and digital transformation across industries.
Key Market Trends & Insights
- The North America data center energy storage market dominated the global industry with a share of 39.0% in 2024.
- The data center energy storage market in the U.S. is expected to grow at a CAGR of 7.1% over the forecast period.
- By type, the Tier 3 segment dominated the market and accounted for the revenue share of over 45.0% in 2024.
- By technology, the lithium-ion batteries segment dominated the market and accounted for the highest share in 2024.
- By capacity range, the 1 MW to 10 MW segment dominated the market and accounted for revenue share of 36.0% in 2024.
Market Size & Forecast
- 2024 Market Size: USD 1.58 Billion
- 2030 Projected Market Size: USD 2.67 Billion
- CAGR (2025-2030): 9.5%
- North America: Largest market in 2024
- Asia Pacific: Fastest growing market
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With the rapid adoption of cloud computing, artificial intelligence, Internet of Things (IoT), and big data analytics, there is a growing demand for reliable and uninterrupted power supply in data centers. This surge fuels the need for advanced energy storage solutions to support backup power systems, maintain uptime, and ensure operational continuity during grid failures or power fluctuations. The rising emphasis on sustainability and energy efficiency also contributes to the growth of the data center energy storage industry. As governments and corporations strive to reduce carbon footprints and comply with stringent environmental regulations, data centers increasingly integrate renewable energy sources such as solar and wind into their power infrastructure. Energy storage systems play a critical role in balancing the intermittent nature of these renewable sources, enabling data centers to maintain stable power delivery and reduce dependence on diesel generators or fossil fuels.
Moreover, technological advancements in battery technologies, such as lithium-ion, flow batteries, and solid-state storage, enhance energy density, efficiency, and lifespan while reducing operational costs. These innovations make energy storage more economically viable and scalable for data center applications. Edge computing is driving the growth of micro and modular data centers in remote or distributed locations. This trend increases the demand for localized energy storage to enhance resiliency and reduce latency requirements. For instance, in January 2025, the General Authority for Statistics (GASTAT) in Saudi Arabia officially launched its new Micro Data Center, a strategic initiative to enhance access to accurate and detailed statistical information. This advanced platform is designed to support decision-makers, policymakers across the public and private sectors, researchers, and individuals interested in data and analytics.
