By 2030, more than 8,370 data centers will be in operation worldwide. To put that in perspective, in 2023 there were 5,306. And not only that, they’re getting bigger. Large and mega-sized data centerswill account for 43 percent of all sites by the end of the decade, up from 28 percent in 2025. Companies are investing billions. Decisions about how best to do so have big consequences.
In a young, highly competitive industry with tremendous potential, it can be tempting to over-rotate on the proprietary at the expense of the expedient to gain a longer-term market advantage. While there is merit in fending off fast followers who would usurp groundbreaking intellectual property, for data center operators, the money’s in the compute — and the longer it takes to fully deploy a facility, the more distant profitability grows. They must weigh the potential gains of bespoke technologies against the opportunity lost waiting for uptime. Modular systems get them from build to compute a lot faster.
Keeping pace with demand requires data center operators to streamline and expedite infrastructure deployment wherever possible. Forging collaborative, mutually beneficial relationships has taken on a new sense of urgency as industry players compete for relevance, dominance, and revenue in a rapidly evolving market. Often, these collaborations are aimed at developing prefabricated, modular solutions that integrate an array of products into scalable units that make it much easier to stand up, retrofit, reconfigure, and maintain data center infrastructure, from power and cooling systems to the megawatt racks running AI workloads.
The benefits include:
• Quality and reliability — Modular systems that integrate equipment into factory built, tested, and validated solutions can significantly improve quality and reliability as compared with systems assembled on-site.
• Risk mitigation — Prefabrication reduces the risk of supply chain complications, on-site laborconstraints, and construction delays, all of which translate into more consistent, dependable deployment.
• Bespoke configuration — Modular solutions can be configured to address specific circumstances, from power requirements and cooling capacities to workload characteristics and square footage constraints.
• Capex alignment — Flexible deployment enables data center operators to align capex spending with demand and provides options for those seeking to retrofit an existing facility.
• Optimization — Modular designs can be optimized to improve energy efficiency, accommodate preferred suppliers, maximize space within the electrical room or data hall, and meet other high-priority needs.
As standards emerge, modular designs become even more attractive. For instance, the Open Rack Version 3 (ORv3) developed under the Open Compute Project (OCP) was intentionally designed for compatibility and scalability, from its physical dimensions and mounting options to its power distribution and cooling system specs. The Mount Diablo specification, a new data center rack and power architecture, targets the evolution to high-voltage DC (HVDC) power infrastructures and 1 MW racks for ultra-high-density computing. Both support interoperability across the technology ecosystem, the stage upon which modular approaches thrive.
Companies must collaborate with hyperscalers and chipmakers years in advance of new infrastructure paradigms and next-generation product launches to develop modular solutions that support innovation, accelerate time to revenue, and help them solve their most complex power, heat, and scale challenges.
Solutions for complex power, heat, and scale challenges
AI infrastructure platform
An AI infrastructure platform integrates power, cooling, and compute into pre-engineered, modular solutions that feature technologies such as 1 MW racks, capacitive energy storage systems (CESS), rack-level coolant distribution units (CDU), prefabricated power pods/skids, and lifecycle intelligence tools. The platform is designed for next-generation gigawatt data centers and enables operators to accelerate deployment up to 30 percent.
Power pods/skid
Prefabricated, factory built, and fully tested power pods (exterior placement) and skids (interior placement) incorporate interconnected transformers, package substations, UPS systems/batteries, cooling systems, and UPS switchgear into secure units with interconnection busbar systems. Off-site manufacturing improves quality and reliability while accelerating delivery, installation, and deployment.
In-row CDU and PDU
Adoption of the Mount Diablo specification will disaggregate power, cooling, and compute in AI and high-performance computing (HPC) environments with megawatt-scale racks. Fully self-contained, next-generation coolant distribution units (CDUs) and power distribution units (PDUs) support high-density compute and are inherently modular for seamless scalability.
Capacitive Energy Storage System
The spiky nature of AI workloads can erode power quality. A capacitive energy storage system (CESS) reduces electrical disturbances, supporting and balancing power supply systems during large power transients.
1 MW power rack
With AI workloads drawing immense energy, DC power distribution units capable of delivering 1+ MW within HVDC architectures are essential. Disaggregating power into its own unit frees the entire IT rack for compute while delivering energy efficiency gains and making it easier to scale and upgrade the power architecture independently.
Today’s modular data center offerings are far more than lab concepts or conveniently packaged collections of components. They are optimized, fully integrated systems that make the deployment of high-performance data center infrastructure easier, faster, and more predictable. Configurable and scalable by design, modular solutions give data center operators the ultimate flexibility to build capacity at the speed of AI.
