Sources Drive Up Demand for Uninterrupted Power Sources

Photo: Corey Coyle
Photo: Corey Coyle
Published On
Nov 20, 2020

The digital and renewable power revolutions are changing energy consumption patterns in many ways. Now, the need for uninterrupted power sources (UPS) is expanding across multiple sectors of the economy, driven in large part by data centers and solar power.

Recent studies project the UPS market to expand dramatically in the near term. 

A study published this spring by Global Market Insights (GMI), Selbyville, Del., projects the market for UPS to grow at a combined annual rate of 5% for the next six years, from $11 billion in 2019 to $14 billion in 2026.

The study attributes this growth to a number of factors, including increased demand from new businesses, the expansion of the internet of things (IoT), smart buildings and the increasing number of data centers. The growth of solar power and the need to guard against power outages also are driving up demand. 

Uninterrupted power sources come in online and offline types. Online UPS is always on and provides instant backup in the event of a failure. Offline has to be switched on when there is an interruption in the main source of power. According to GMI, online UPS systems accounted for 65% of the global market share in 2019. 

Certain business trends are also contributing to the increasing demand for UPS systems. According to the GMI report, small and medium enterprises (SMEs) are adopting UPS systems at a greater rate than large enterprises. The SME market for UPS systems is projected to grow from about $2 billion in 2019 to $2.5 billion in 2026. In contrast, the large enterprise market is projected to grow from $1.4 billion to $1.75 billion in the same timeframe. 

Much of the demand for UPS systems is coming from the increasing use of data centers. As more companies migrate to online operations, the need for a reliable, safe, secure and constant source of power becomes widespread. According to a report published in September by Global Industry Analysts, the global market for data center UPS systems is projected to grow at a combined annual rate of nearly 6% to $7.6 billion by the year 2027.

About the Author

Rick Laezman

Freelance Writer

Rick Laezman is a Los Angeles-based freelance writer who has been covering renewable power for more than 10 years. He may be reached at

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