The uninterruptible power supply (UPS) provides backup power from battery systems during power outages or power fluctuations, helping to protect critical loads. UPS devices are used extensively in data centers, telecommunication networks, and medical facilities to reduce downtime and ensure continuous power availability. UPS systems come in various sizes to meet the power backup needs of small home office setups to large industrial facilities. Modern online UPS have higher efficiency levels, advanced monitoring software, and enhanced battery technologies.
The global Uninterruptible Power Supply Market is estimated to be valued at US$ 9.95 Bn in 2024 and is expected to exhibit a CAGR of 13% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
The UPS market is witnessing growing adoption of lithium-ion batteries for backup applications across various end-use verticals. Lithium-ion batteries have higher energy density, longer life cycles, and better performance compared to lead-acid batteries. Major UPS manufacturers are shifting towards lithium-ion technologies to offer products with extended battery backup times. Another key trend gaining traction is the increased use of modular UPS systems that offer scalable and flexible solutions. Modular UPS allow for higher capacity through parallel operation of individual UPS modules. Their scalable design addresses the intermittent requirements of IT loads and enables pay-as-you-grow functionality.
Threat of new entrants: Low capital requirements and access to technology allow new players to enter the UPS market easily. However, established brands have strong brand value and economies of scale which act as entry barriers.
Bargaining power of buyers: Large buyers have more bargaining power due to their high purchasing capacity. They can negotiate on price and demand better services. Small buyers have limited bargaining power.
Bargaining power of suppliers: The UPS market has multiple component suppliers without major dependency on few vendors. This ensures competitive supply and limits suppliers’ bargaining power.
Threat of new substitutes: Solar generators and battery storage systems are gaining popularity as alternative backup power sources. However, UPS provides stable and reliable power more suitable for critical operations.
Competitive rivalry: The global UPS market is dominated by few large international brands. Intense competition exists on pricing, product differentiation, innovative offerings and expansions to new regions.
The Global Uninterruptible Power Supply Market Share is expected to witness high growth. It was valued at US$ 9.95 Bn in 2024 and is projected to reach US$ 16.58 Bn by 2031, expanding at a CAGR of 13% during the forecast period.
Regional analysis: North America dominated the UPS market in 2024 with over 30% share, followed by Europe and Asia Pacific. The USA and China are the largest country-level markets. Asia Pacific region is expected to witness fastest growth through 2031 led by rising demand from India, Japan and Southeast Asian countries with growing industrial and data center sectors.
Key players: Key players operating in the Uninterruptible Power Supply market are Inmarsat GHL (Connect Bidco Limited), Windward Limited, Amplify Mindware Private Limited, Spire Global, Inc., ProGen Business Solutions Private Limited, Spark Cognition Inc., Wartsila Oyj Abp, Prisma Electronics SA (Laros), U-Ming Marine Transport Corporation, and ABB Ltd. These leading brands are focusing on product innovations, mergers & acquisitions and geographical expansions to consolidate their presence.