Press Release

A USD 175 Million Global Fuel Cell for Data Center Market to Grow at a CAGR of Around 16% During the Forecast Period

The Global Fuel Cell for Data Center Market size was valued at around USD 175 million in 2024 and is projected to reach USD 400 million by 2030. Along with this, the market is estimated to grow at a CAGR of around 16% during the forecast period, i.e., 2025-30, cites MarkNtel Advisors in the recent research report. This growth in the market is attributed to the increasing focus on sustainability and lowering of emission levels by data center companies across the globe. This is mainly because data centers consume a huge amount of electricity due to their prolonged operations. The International Energy Agency (IEA) highlighted that the data centers consume around 1.5% of global electricity usage. In 2022, the energy consumption of data centers stood at 460TWh which according to the IEA will be more than double by 2026.

Moreover, these data centers rise in number due to the requirement of greater computing power and storage spaces. This development is primarily attributed to the increasing adoption of artificial intelligence and the rising global migration towards the cloud. Goldman Sachs estimates the growing adoption of AI will increase the power demand of data centers by 160% by 2030. This increasing electricity consumption would result in increasing levels of emissions from the data centers. This will result in the rising demand for fuel cells in the data centers as backup power and in some cases a primary source of power as well because the adoption of fuel cells offers data centers a reliable source of power that is emission-free. These developments will fuel the market growth, further states the research report, “Global Fuel Cell for Data Center Market Analysis, 2025.”

Segmentation Analysis

IT and Telecommunications Sector Holds the Largest Market Share

Based on the end-users, the market is further bifurcated into, IT and Telecommunications, Government, Healthcare, and Others. The IT and Telecommunications sector holds the largest share of more than 60% in the Fuel Cell for Data Center Market Worldwide. This is primarily due to the rapid digitalization across the globe, which has boosted data consumption worldwide. The increase in global data consumption is expected to reach around 10 million petabytes in 2027, as per the PWC. This would lead to the accelerating demand for high-speed internet and greater computing power as businesses migrate to cloud-based systems. These developments would result in the proliferation of data centers in the sector. Such scenarios would raise the demand for fuel cells with the increasing number of data centers leading to market growth.

Market Leadership Rooted in North America

In 2024, North America has the market share of more than 50%. This is mainly due to the major technology companies who hold the majority of the data center capacities globally have built a significant capacity in the region. This has resulted in the region holding around 54% of the hyperscale data center, and more than 50% of the data center capacity globally. Moreover, these big technology companies are planning to invest significantly to grow their regional data center capacity. For example, Google announced in 2024, its commitment to expand its data center capacity in the USA with an investment of USD 6 billion.

Apart from this, the region has shown significant growth in the supply of data centers to the primary market. As per CBRE, the primary market of North America has seen a 24% YoY basis in the first half of 2024. This development resulted in the data center supply to 1,100.5 MW in the first half of 2024. The expansion of these data centers is the result of the rapid adoption of artificial intelligence and migration toward the cloud. These developments would fuel the demand for fuel cells in the data center thereby boosting the market growth.

Competitive Landscape

With strategic initiatives such as mergers, collaborations, and acquisitions, the leading market companies, including Hitachi Energy, Bosch Hydrogen Energy, PowerCell Group, ESB Group, Panasonic, AFC Energy, Bloom Energy, FuelCell Energy, Inc., Ballard Power Systems, Plug Power Inc., Doosan Fuel Cell, Ceres Power, Rolls-Royce plc, ECL, Nedstack Fuel Cell Technology, and others are looking forward to strengthening their market positions.

Key Questions Answered in the Research Report

1. What are the industry’s overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares)?
2. What are the trends influencing the current scenario of the market?
3. What key factors would propel and impede the industry across the globe?
4. How has the industry been evolving in terms of geography & product adoption?
5. How has the competition been shaping up across various regions?
6. How have buying behavior, customer inclination, and expectations from product manufacturers been evolving during 2020-30?
7. Who are the key competitors, and what strategic partnerships or ventures are they coming up with to stay afloat during the projected time frame?