The U.S. is one of the most technologically advanced countries on earth, evident in the high usage of edge computing, the internet of things (IoT), and 5G connectivity. All these technologies are leading to the rising data traffic, which, in turn, is creating a high demand for additional storage space. As a result, data centers are being constructed around the country to help people cost-effectively store and manage their digital data.
P&S Intelligence says that due to the rising number of data centers, the United States diesel genset market will grow at a 7.2% CAGR between 2020 and 2030 (forecast period), to reach $3,797.6 million by 2030 from $2,187.4 million in 2019. This is because data centers have several systems, such as servers, internet routers, heating, ventilation, and air conditioning (HVAC) equipment, and security and backup devices, that cannot tolerate voltage spikes. Further, even a short power cut can disrupt data traffic, which is why a continuous power supply at a constant voltage is imperative at data centers.
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The major trend in the U.S. diesel genset market is the introduction of technologically enhanced variants. In 2015, the U.S. Environmental Protection Agency (EPA) implemented the Tier 4 exhaust emission standards for non-road engines, citing the carcinogenic nature of such machines and the greenhouse gases (GHGs) emitted by them. This move fueled the race among genset manufacturers, especially Cummins Inc., Caterpillar Inc., and Atlas Copco Construction Equipment North America, to unveil next-generation variants that, apart from complying with these standards, are also reliable and durable.
Therefore, with the increasing construction activities and instances of power outages, the sales of diesel gensets will rise in the U.S.
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