Uninterruptible Power Supply (UPS) Market Research Report-Global Forecast till 2027

Uninterruptible Power Supply (UPS) Market Research Report By Product Type (Off-line/standby, Line-interactive, Online/double-conversion and Others), By Application (Telecommunication, Data Centre, Data Center, Medical, Industrial and Others) - Forecast to 2027

ID: MRFR/SEM/5160-CR | February 2020 | Region: Global | 150 pages

Uninterruptible Power Supply Market Analysis

Uninterruptible Power Supply Market is predicted to touch USD 14,180.2 Million at an 8.25% CAGR between 2018- 2025, reveals the latest Market Research Future (MRFR) report. The strong growth of the Uninterruptible Power Supply Market can be accredited to the growing demand for constant power supply.

COVID-19 Analysis 

The COVID-19 pandemic has already cast its shadow on various industries, with the Uninterruptible Power Supply Market being no exception. This outbreak has impacted the sales and operations of a good number of UPS manufacturers, with these manufacturers having shut down manufacturing plants. There has been a ban on exports by Asia Pacific countries due to which a couple of market players across the world are facing disruptions in the supply chain.

In the data center, logistic processes and construction have been affected following the outbreak of the pandemic. In fact, construction contractors have put their infrastructure and structural construction to a halt. There has also been a halt in non-essential construction projects. Besides, there has already been a delay in the construction of a few new facilities. Ireland data center of Facebook, which is at the last development phase, has identified workers having flu-like symptoms due to which there has been a delay in the work, which may have a negative impact on the Uninterruptible Power Supply Market growth.

Market Dynamics

  • Uninterruptible Power Supply Market Drivers

Need for Constant Power Supply to Bolster Market Growth 

The burgeoning need for smooth and constant power supply in different end-use sectors such as industrial, commercial, and residential may bolster market growth.

Other factors adding to the UPS market size include growing demand for UPS from new businesses in Tier 3 and Tier 2 cities, rising trend of internet of things and smart buildings, a growing number of data centers worldwide, the growing trend of virtualization and cloud computing, new data centers being constructed by tech giants like Facebook, Microsoft, Amazon, and Google, and growing adoption of multi-cloud & network upgrades. Besides, the increasing use of industrial UPS in the oil and gas industry, and the growing adoption of online services, remote access services, and mobile computing are also adding to the UPS market share.

  • Uninterruptible Power Supply Market Opportunities

Shift to Edge Computing to offer Robust Opportunities 

Data centers have started to move to edge computing to keep the processing and traffic local to cut down latency and allow greater autonomy at the edge. This may offer robust opportunities to key players in the future.

  • Uninterruptible Power Supply Market Restraints

Technical Hindrance to Act as Market Restraint 

Technical hindrances, coupled with a slowdown in the semiconductor sector, may act as Uninterruptible Power Supply Market restraints over the forecast period.

  • Uninterruptible Power Supply Market Challenges 

Rising Raw Material Cost to Act as Market Challenge 

The surging price of raw materials and the rising price of skilled labor may act as Uninterruptible Power Supply Market challenges over the forecast period. 

Uninterruptible Power Supply Market Segmentation 

Global Uninterruptible Power Supply Market, according to the MRFR’s uninterruptible power supply market forecast report, has been segmented into Application and Product Type.

Offline/Standby Segment to Lead the USP Market 

By product type, the uninterruptible power supply market is segmented into online/double-conversion, line-interactive, and off-line/standby. Of these, the offline/standby segment will lead the market over the forecast period. Meanwhile, the online/double conversion segment is predicted to grow at the highest CAGR. The online/double conversion uninterruptible power supply systems are overcoming different power supply challenges that currently exist. This, in turn, is boosting their growth and popularity in different business verticals. 

Data Center Segment to Dominate the UPS Market  

By applications, the uninterruptible power supply market is segmented into marine, industrial, medical, telecommunication, data center, and others. Of these, the data center segment is predicted to dominate the uninterruptible power supply market over the forecast period. In 2017, this segment had been valued at USD 1,790 million. This will be followed by the telecommunication segment that is predicted to grow at an 8.66% CAGR over the forecast period.

Regional Analysis

North America to Dominate the Uninterruptible Power Supply Market

By region, the uninterruptible power supply market report covers the opportunities and recent trends across Europe, North America, the Asia Pacific (APAC), South America, and the Middle East and Africa (MEA). Of these, North America will dominate the UPS market over the forecast period. uninterruptible power supply market is predicted to touch USD 5,160 million by 2025. Growing demand for UPS from insurance, healthcare and financial services, growing demand for modular UPS from the manufacturing, healthcare, and telecommunication sectors, the presence of a huge operation base, and increasing investments of companies are adding to the UPS market growth in the region. Besides, growing investments by hyperscale cloud providers and the proliferation of data centers are also adding uninterruptible power supply market growth.

APAC to Have Fastest Growth in the UPS Market 

The uninterruptible power supply market in the Asia Pacific region is predicted to grow at the fastest pace over the forecast period. A rise in collaborative data centers in India and China, increasing per capita income, increased affordability, strong economic development, rise in the number of data centers, infrastructure developments, and growing small & medium scale enterprises are adding to the uninterrupted power supply market growth in the region. Japan, China, and India have the maximum share in the market. It is predicted to touch USD 3,718.3 million at 11.95% CAGR by 2025. 

Competitive Landscape

The uninterruptible power supply market is highly fragmented with the presence of several industry players. These key players are undertaking several strategies such as alliances, mergers, and acquisitions to increase their market share, access untapped markets, and enhance their presence worldwide. Manufacturers are laying emphasis on launching innovative and new UPS systems in order to widen their product portfolio.

Uninterruptible Power Supply Market Key Players

  • Baykee

  • Cyber Power Systems Inc.

  • Toshiba Corporation

  • Gamatronic

  • Active Power Inc.

  • Delta Electronics Inc.

  • HongBao Electric Co. Ltd.

  • S&C Electric Company

  • Guangdong Zhicheng Champion Group Co. Ltd

  • Sendon International Ltd.

  • Jiangsu EKSI Electrical Manufacturing Co. Ltd.

  • EAST Group Co. Ltd.

  • Eaton Corporation

  • Jeidar Electronics

  • AEG Power Solutions

  • KSTAR Corporation

  • Zhejiang SANKE Electrical Co. Ltd.

  • PowerMan

  • Guangdong Prostar New Energy Technology Co. Ltd.

  • Schneider Electric

  • Beijing Dynamic Power Co. Ltd.

  • Emerson Electric Co.

  • Xiamen Kehua Hengsheng Co. Ltd.

  • ABB

  • Socomec

  • SORO Electronics

Recent Developments

  • January 2021- MoU has been recently signed for making Jammu and Kashmir a power surplus region. This is a highly significant move made by the government for an uninterruptible power supply in J&K. 

  • December 2020- Punjab State Power Corporation Limited (PSPCL) has come up with a comprehensive plan to offer reliable, quality, and uninterrupted power supply (UPS) to consumers of every category for the upcoming paddy or summer season-2021. 

Report Scope 

Global Uninterruptible Power Supply (UPS) Market report by Market Research Future highlights the niches and latest trends in the industry. It also focuses on the drivers, opportunities, restraints, challenges, and insights for the forecast period. The report also throws light on the different market segments for a comprehensive understanding of the reader.

By Product Type

  • Online/Double-Conversion

  • Line-Interactive 

  • Off-line/Standby

By Application

  • Marine 

  • Industrial

  • Medical

  • Telecommunication

  • Data Center 

  • Others

By Region

  • North America 

  • Europe

  • Asia Pacific 

  • The Middle East and Africa (MEA)

  • South America 

Report Scope:
Report Attribute/Metric Details
  Market Size   USD 14,180.2 Million
  CAGR   8.25%
  Base Year   2019
  Forecast Period   2020-2027
  Historical Data   2018
  Forecast Units   Value (USD Million)
  Report Coverage   Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
  Segments Covered   Product Type, Application
  Geographies Covered   North America, Europe, Asia-Pacific, and Rest of the World (RoW)
  Key Vendors   Schneider Electric (France), Eaton Corporation (Ireland), Emerson Electric (US), ABB (Switzerland), Socomec (France), Toshiba Corporation (Japan), Xiamen Kehua Hengsheng Co. Ltd. (China), KStar Corporation (China), East Group (China), and Beijing Dynamic Power Co. Ltd. (China)
  Key Market Opportunities

  • Increasing applications due to the convenience in use presented by modular-based UPS systems are likely to support market expansion.
  • Growing investments by hyperscale cloud providers and the proliferation of data centers.
  •   Key Market Drivers

  • Growing demand for UPS from new businesses in Tier 3 and Tier 2 cities.
  • Rising trend of internet of things and smart buildings.

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    Frequently Asked Questions (FAQ) :

    As per Market Research Future (MRFR), the uninterruptible power supply market is anticipated to touch a valuation of USD 13,154.4 million by 2025.

    The market in Asia Pacific is expected to reach a valuation of USD 3,718.3 million by 2025 and expand at a 11.95%. CAGR during the forecast period (2018-2025). The uninterruptible power supply market in Europe can be touch a valuation of USD 3,300 Mn by 2025.

    Increase in need for power supply due to rapid industrialization and expansion of urban populace is identified as a major factor that can propel the uninterruptible power supply market growth.

    Market Research Future (MRFR), states that the global uninterruptible power supply (UPS) market can thrive at a 8.3% CAGR during the forecast period (2018-2025). By 2025, the worldwide uninterruptible power supply market is expected to touch a valuation of USD 13,154 Mn.

    Data centers, followed by the telecommunication industry, are the high end-users of uninterruptible power supply. As per MRFR, the data centers segment is expected to surpass a valuation of USD 1,790 Mn by 2025. The telecommunication segment is can expand at 8.66% CAGR in the forecast period.

    The Global Uninterruptible Power Supply Market was observed to have generated a value of USD 7,225.7 Mn in 2017 and is predicted to appreciate at a CAGR of 8.3% during the forecast period from 2018 to 2025. This projects an optimistic outlook for the global market. The growing demand for continuous power supply is expected to lead to a market value of USD 13,154.4 Mn by the end of 2025.

    Power consumption is at an all-time high due to several reasons, including urbanization, expansion of the retail & commercial sector and a rapid increase in industrial activities. Businesses organizations of all sizes are investing in IT infrastructure which consumes a lot of power. Deployment of UPS systems minimizes the damage that occurs during power fluctuations. UPS can also be connected to generators to provide electricity in situations where there are electrical outages.  In some parts of the world, countries struggle with a consistent power supply. As a result, the maintenance of constant power supply, particularly during peak hours, has prompted the adoption of UPS systems. Use of uninterruptible power supply systems can help minimize long-term damage which supports uninterruptible power supply market growth. Additionally, in regions which are prone to natural calamities or heavy rainfall, have a high adoption rate to maintain adequate power supply. Moreover, ongoing development of technology has led to advancements in UPS technology. Market players offer reliable systems which self-diagnosis capabilities. This allows users to ensure power supply during downtime as well as maintain functionality.

    High installation and maintenance costs associated with UPS systems pose a challenge to the growth of the uninterruptible power supply market. Batteries require replacing, and other critical components must be updated which results in exorbitant operational costs. Trends in the uninterruptible power supply market include the growing use of modular technology-based UPS for data centers. Increasing applications due to the convenience in use presented by modular-based UPS systems are likely to support market expansion.

    The global uninterruptible power supply market has been segmented in the report to represent the parts that make up the market accurately. Segmentation has been performed on the basis of product type, application, and region. Product types in the UPS market are segmented into offline/standby, line interactive, and online/double conversion. The offline/standby segment has captured the largest share of the uninterruptible power supply market and has the most significant revenue of USD 5383.62 Mn. This type of UPS system is cost-efficient, compact making it highly popular in residential use.  Meanwhile, the online/double conversion segment is expected to grow at the highest CAGR of more than 10% during the assessment period. Online UPS systems are highly advanced as they offer superior voltage regulation capabilities and have a wide scope of applications

    Applications of UPS have been segmented into telecommunication, data center, medical, industrial, marine, and others. Data center applications have a 25% majority share of the global uninterruptible power supply market which is also predicted to grow at the highest CAGR of 9.97% during the forecast period. Data centers generate large volumes of data, and the use of UPS systems is deemed necessary as it offers vital data protection and backup power supply options in cases of outages or fluctuations of power.

    Regional Analysis

    Led by the U.S, the North American uninterruptible power supply market generated the highest revenue in 2017 of USD 2794.1 Mn and has secured a leadership position in the global market. The market is driven by the increasing demand for UPS systems in healthcare and pharmaceutical sectors. The regions advanced healthcare sector utilizes a number of advanced medical technology whose power supply must be maintained to ensure optimal function of the devices and their readings, thus increasing the use of UPS systems. Industrial applications and the growing telecommunication industry are also placing a high demand for UPS technology. Europe is another significant market, and the region displays similar growth patterns as those of North America. Growing telecommunication industry and an increasing number of data centers have influenced demand in the region.

    Meanwhile, the Asia Pacific is anticipated to register a CAGR of 12.9% during the forecast period. Led by China, the region includes several country-level markets of note such as India and Japan. These regions have high power fluctuation and a huge demand for continuous power supply. The APAC region has established itself as an industrial hub which requires a consistent power supply. Moreover, the presence of a massive population of which, many consumers invest in UPS systems to ensure a constant supply of power. The region has a number of prominent market players, and UPS products are available through retail formats as well which is expected result in increased sales.

    Competitive Tracking

    Schneider Electric, Eaton Corporation, Emerson Electric Co., and ABB are among the leading market players in the global uninterruptible power system market. Other players profiled in the market report include Socomec, SORO Electronics, EAST Group Co. Ltd., Xiamen Kehua Hengsheng Co. Ltd., Jiangsu EKSI Electrical Manufacturing Co. Ltd., Guangdong Prostar New Energy Technology Co. Ltd., HongBao Electric Co. Ltd., Active Power Inc., KSTAR Corporation, Gamatronic, AEG Power Solutions, Toshiba Corporation, Jeidar Electronics, Cyber Power Systems Inc., and Baykee among others.

    Uninterruptible Power Supply Market Competitive Landscape:

    The uninterrupted power supply market consists of various major as well as privately held vendors. Intense market competition, decreasing cost of electronic components, continuous fluctuations in currency, and development of cost-efficient UPS systems for high power applications are likely to be some of the factors that influence the dynamics of uninterruptible power supply market market. The vendors compete for providing cost-efficient UPS systems for small and high-power applications. The UPS manufacturers offer a different range of UPS ranging from 5kVA to 200 kVA. However, according to MRFR analysis, the growth of the market vendors is dependent on the market conditions and industry development. Companies such as Schneider Electric (France), Eaton Corporation (Ireland), Emerson Electric (US), ABB (Switzerland), Socomec (France), Toshiba Corporation (Japan), Xiamen Kehua Hengsheng Co. Ltd. (China), KStar Corporation (China), East Group (China), and Beijing Dynamic Power Co. Ltd. (China) are some of the key players in the uninterruptible power supply market, competing regarding pricing, geographical presence, and industrial experience.

    These companies are likely to adopt an organic as well as inorganic growth approach through partnerships and collaborations to manufacture secure and cost-efficient systems. They are highly focused on the development of reliable UPS systems that contain transformer-less as well as transformer-based UPS systems. It has also been forecasted that the improvement of the global economic scenario combined with an increase in a number of data centers is fueling the uninterruptible power supply market growth, thereby making it an ideal time to launch modular technology-based UPS systems and increase the global market share. The competitive environment in the market is likely to intensify further due to the increase in product/service extensions, technological innovations, and mergers and acquisitions.

    Schneider Electric is one of the leading providers of electrical distribution and manufacturer of industrial engineering equipment. The company operates through four business segments namely IT, building, Industry, and Infrastructure. The company's IT segment is specialized in critical power products and solutions for data centers and other applications, including single phase and three-phase uninterruptable power supplies (UPS), plug-in surge protection, IT enclosures, power distribution units, security, cooling systems, services and software management. It focuses on providing enhanced technological solution for its customers and aims to strengthen its market presence across the globe. Additionally, the company focuses on boosting its energy management and automation technologies by increasing its R& D investments and evolving innovative products such as EcoStruxure that leverages its automation and connected technologies.

    Eaton Corporation is a multinational power management company. The company provides energy-efficient solutions that help its customers effectively manage electrical, hydraulic, and mechanical power with safely and sustainably. Eaton operates through five operating segments namely electrical products, electrical systems and services, hydraulics, aerospace, and vehicle. It aims to increase its investment in research and development to strengthen its product portfolio through innovation and offer superior quality of products to its customer. The company is increasingly investing in its operating segments such as electrical, aerospace, hydraulics and vehicles.

    Emerson Electric Co. (Emerson Electric) is a leading manufacturer of process control systems, measurement and analytical instrumentation tools, industrial, commercial and consumer tools, and appliances. The company operates through the automation solutions, climate technologies and tools and home products segments. It follows organic as well as inorganic growth strategies. With its strong research and development team, the company has a significant market presence through developments and expansion of its product portfolio, thereby increasing its customer base globally. The company aims to enrich its key business models to provide seamless products and service offerings.

    ABB Ltd (ABB) is one of the multinational companies engaged in development and providing power and automation technologies. ABB operates through four business division namely power grids, electrification products, robotics and motion, and industrial automation. The company adopts organic as well as inorganic growth strategy. It focusses on strengthening product portfolio and streamlining operations through innovations.

    SOCOMEC Group S.A. (Socomec) is a privately listed company that manufactures products for the control and safety of low voltage electrical networks. Socomec offers products in the areas of metering, monitoring and power quality, uninterruptible power supplies, power factor correction, load break switches, IT application solutions, non-IT application solutions, static transfer systems, backup and power storage solutions, solutions for specific environments, customized solutions, and communication and connectivity solutions among others. The company has diverse presence across the globe and mainly focuses on enhancing product portfolio through innovations. It aims to strengthen its product portfolio through increased investment in research and development.

    Intended Audience

    • Technology Investors

    • Technology Providers

    • Research/Consultancy Firms

    • Infrastructure Providers

    • Original equipment manufacturers (OEMs)

    • OEM technology solution providers