Data Center Microgrid Market Size, Share & Forecast to 2035

The Data Center Microgrid Market is valued at USD 1.17 billion in 2026 and is projected to reach USD 3.12 billion by 2035, up from USD 648.05 million in 2025, a compound annual growth rate (CAGR) of 17.01% from 2025 to 2035 (DC Market Insights estimate). What a buyer pays for here is not the generator but the layer that lets a campus run without the utility: the microgrid controller, the islanding switchgear and protection, and the engineering that ties engines, turbines, fuel cells and batteries into one plant. That layer became a purchase decision of its own in 2025 and 2026, when sites such as the 350 megawatt (MW) grid-independent campus in New Albany, Ohio, that Veolia was hired to operate in July 2026 and the 110 MW Pure DC campus in Dublin, which started as a fully islanded microgrid in March 2026, were designed from day one to run with no grid connection. DC Market Insights counts 2,000 MW of islanded and bridge-to-grid microgrid capacity commissioned at data centers in 2025 at USD 260 per kilowatt (kW) for the microgrid layer, rising to 3,600 MW in 2026. Operations and optimisation services are the fastest-growing component at 34.84% a year, and Asia Pacific is the fastest-growing region at 26.18% a year.

Key Market Statistics: How Big Is the Data Center Microgrid Market in 2026?

DC Market Insights values the Data Center Microgrid Market at USD 1.17 billion in 2026, 80.4% above 2025, as islanded campuses ordered in 2025 reach commissioning.

• Market size 2025: USD 648.05 million
• Market size 2026: USD 1.17 billion
• Market size 2030: USD 2.14 billion
• Market size 2035: USD 3.12 billion
• CAGR 2025-2035: 17.01% in the base case, 13.70% in the low case and 19.52% in the high case
• Islanded and bridge-to-grid microgrid capacity commissioned at data centers: 2,000 MW in 2025, 5,300 MW in 2030 and 6,300 MW in 2035
• Largest component: switchgear, protection and islanding equipment, 41.6% of 2025 value (USD 269.64 million)
• Fastest-growing component: operations and optimisation services, 34.84% a year
• Leading region: North America, 74.0% of 2025 value (USD 479.56 million)
• Fastest-growing region: Asia Pacific, 26.18% a year
• Largest country: the United States, USD 453.63 million in 2025 (70.0% of global value)
• Market leader: Schneider Electric, about 12% of 2025 value (DC Market Insights assessment)

Executive Summary

The Global Data Center Microgrid Market size was valued at USD 42.75 million in 2020, reached USD 648.05 million in 2025, and is anticipated to reach USD 3.12 billion by 2035, at a CAGR of 17.01% during the forecast period.

Report attribute	Details
Historical Period	2020-2024
Base Year	2025
Forecast Period	2026-2035
Data Center Microgrid Market Size 2025	USD 648.05 Million
Data Center Microgrid Market Size 2026	USD 1.17 Billion
Data Center Microgrid Market, CAGR	17.01%
Data Center Microgrid Market Size 2035	USD 3.12 Billion

Data center microgrid spending grew 72.24% a year from 2020 to 2025, because the work moved from a few resilience projects of 10 to 100 MW, such as the 100 MW renewable natural gas microgrid planned for a Microsoft data center in San Jose in 2022, to multi-gigawatt campuses that must island from the first day. Growth of 17.01% a year to 2035 rests on three model inputs: islanded and bridge-to-grid capacity commissioned each year rises from 2,000 MW to 6,300 MW; grid-parallel resilience microgrids grow from 6% to 20% of new data center IT capacity, or from 720 MW to 5,400 MW a year; and the installed microgrid base grows from 6,709 MW at the end of 2025 to 84,844 MW in 2035, which lifts operations and optimisation services from 7.5% to 31.1% of the market.

Key Takeaways

• The market almost quintuples, to USD 3.12 billion by 2035, because grid waits of three to ten years turn the controller and the islanding switchgear into the first package an AI campus buys.
• Switchgear, protection and islanding equipment stays the largest component at 41.6% of 2025 value, because every islanded plant needs medium-voltage breakers that can separate and resynchronise the campus.
• Operations and optimisation services grow 34.84% a year, because each grid-independent campus needs a round-the-clock crew, such as the 35 to 40 staff Veolia plans in Ohio.
• Grid-parallel resilience microgrids rise from 16.1% to 30.8% of value, because rules in Ireland and Texas now ask large data centers to bring dispatchable onsite capacity even when they are grid-connected.

What Is a Data Center Microgrid, and Which Spending Does This Market Count?

A data center microgrid is a set of onsite generators, batteries and loads that one controller can run as a single system, with or without the utility grid, and DC Market Insights values its control, protection, integration and operating layer at USD 648.05 million in 2025.

Included. Microgrid controllers and energy management software (dispatch, load sharing, black start and grid-services logic); switchgear, protection and islanding equipment (point-of-common-coupling breakers, paralleling and generator switchgear, protective relays and synchronising equipment); engineering, integration and commissioning of the microgrid as one plant; and operations and optimisation services for the microgrid, including microgrid-as-a-service operating fees net of the generation assets. Both islanded and bridge-to-grid microgrids for off-grid AI campuses and grid-parallel resilience microgrids that can island during an outage are covered, at hyperscale, colocation, enterprise and edge data centers.

Excluded. The generation assets themselves (covered in the Data Center Gas Turbine Market, the Data Center Fuel Cell Market and the Data Center Generator Market), battery cells and their power conversion systems (covered in the Data Center Energy Storage Market), uninterruptible power supply (UPS) systems inside the data hall, fuel, electricity sold under power purchase agreements, and utility grid works outside the campus fence.

How the segments fit together. Every segment table splits the same USD 648.05 million of 2025 value: by component, by grid mode, by primary power source and by data center type, plus five regions and 12 countries. Each split sums to the total in every year from 2020 to 2035.

Why Do Data Center Microgrid Market Estimates Differ?

Data center microgrid estimates differ mainly because some count the generators and batteries inside the microgrid, while DC Market Insights counts USD 1.17 billion of 2026 spending on the microgrid layer that ties those assets together.

Broader definitions add three things. First, the full installed cost of gas engines, gas turbines, fuel cells, solar and batteries, which a National Renewable Energy Laboratory (NREL) cost study puts at a mean of USD 3.34 million per MW for campus microgrids and USD 4.08 million per MW for commercial and industrial microgrids; adding these assets would multiply the figure about eight to fifteen times and count the same equipment twice across the sibling reports. Second, standby diesel generators and UPS systems that never run in island mode with a controller. Third, the value of electricity and fuel over the life of a microgrid-as-a-service contract. DC Market Insights keeps these out so that the figure measures what a data center operator spends to turn separate power assets into a controllable microgrid.

Element	In this market?	Why
Microgrid controllers and energy management software	Yes (USD 119.84 million in 2025)	Runs the assets as one plant
Switchgear, protection and islanding equipment	Yes (USD 269.64 million in 2025)	Separates and reconnects the campus
Engineering, integration and commissioning	Yes (USD 209.72 million in 2025)	Builds the microgrid as a system
Operations and optimisation services	Yes (USD 48.85 million in 2025)	Operates the microgrid
Gas engines, turbines, fuel cells and batteries	No	Sized in sibling reports
Fuel and electricity sales	No	Operating cost, not microgrid equipment

Buyers inside the scope include hyperscale cloud operators, AI cloud developers, colocation providers, enterprise and edge operators, and independent power producers that build and operate a microgrid for one campus under a microgrid-as-a-service contract. Generation hardware, battery cells, standby diesel generators, fuel supply and power purchase agreements stay outside the scope in every table.

What Is Pushing Data Centers to Build Their Own Microgrids?

Grid connection limits push data centers toward microgrids, and DC Market Insights expects 25,600 MW of islanded and bridge-to-grid data center microgrid capacity to be commissioned from 2025 to 2030 as a result.

Ireland Ties New Grid Connections to Onsite Dispatchable Capacity

The Commission for Regulation of Utilities (CRU) published its final large energy users connection policy in December 2025, according to a William Fry summary of the decision: data centres above 10 megavolt-amperes (MVA) must bring new onsite or proximate dispatchable generation or storage, separately connected and metered, and must take part in the wholesale Single Electricity Market, while 80% of annual demand must be met by additional Irish renewable electricity within six years of energisation. Pure DC started its 110 MW Dublin campus as a fully islanded microgrid in March 2026, with three combined heat and power energy centres of up to 30 MW each and 20 MW of battery capacity, according to its announcement with AVK. DC Market Insights ranks Ireland second among countries, at USD 25.92 million in 2025, because of these rules.

Texas and Federal Rules Make Islanding Part of Large-Load Planning

Texas Senate Bill 6 set a 75 MW threshold for large loads and lets the Electric Reliability Council of Texas (ERCOT) direct them to run onsite backup generation or curtail during emergencies, according to the official Senate bill analysis of August 2025. The US Environmental Protection Agency (EPA) issued permitting guidance for islanded power generation facilities at data centers in July 2026, and the Federal Energy Regulatory Commission (FERC) found the co-location tariff of PJM Interconnection unjust and unreasonable in December 2025 and proposed two new transmission services for co-located loads. DC Market Insights links grid-parallel resilience microgrids, 16.1% of 2025 value or USD 104.28 million, to these rules.

Multi-Gigawatt Campuses Are Designed Around One Controller

Onsite plants for AI campuses are now ordered as integrated systems rather than as separate generators. Caterpillar said in August 2025 that it would supply 4 gigawatts (GW) of generation and 1.1 gigawatt-hours (GWh) of grid-forming batteries, with controls and switchgear, for Joule Capital Partners’ campus in central Utah. VoltaGrid agreed in October 2025 to deploy 2.3 GW of modular natural gas generation for Oracle Cloud Infrastructure in Texas, using INNIO Jenbacher engines with ABB automation, according to POWER magazine. DC Market Insights counts 9,310 MW of such named microgrid projects in its DC Exclusive teardown below.

How Are Data Center Microgrid Designs Changing?

Data center microgrids are moving from backup schemes to primary power plants, and DC Market Insights expects islanded and bridge-to-grid designs to hold 69.2% of value in 2035, down from 83.9% in 2025 as grid-parallel designs catch up.

Fully Grid-Independent Campuses Move from Pilot to Contract

Veolia said on 30 July 2026 that it would operate and maintain a 350 MW microgrid with 430 megawatt-hours (MWh) of batteries that provides 100% of the power for an AI data center campus in New Albany, Ohio, without relying on the grid, with a 99.9% availability target. Oracle and Bloom Energy said in April 2026 that they would install up to 2.45 GW of solid oxide fuel cells for a New Mexico campus, targeting 99.999% uptime. DC Market Insights models islanded and bridge-to-grid capacity at 3,600 MW in 2026, up from 2,000 MW in 2025.

Bridge-to-Grid Plants Become Flexible Grid Resources Later

Enchanted Rock described its bridge-to-grid model in May 2024: the microgrid supplies prime power while the grid connection is delayed, and once the connection arrives it provides flexible capacity at peak times, according to POWER Engineering. The International Energy Agency (IEA) said in April 2026 that onsite generation is typically overbuilt by 30% to 70% relative to demand, which leaves headroom for grid services. DC Market Insights therefore keeps operations and optimisation services rising after the islanded build peaks, from USD 48.85 million in 2025 to USD 970.27 million in 2035.

Microgrid Controllers Are Tested in Vendor Labs Before Site Work

Schneider Electric opened a microgrid testing lab at its research centre in Andover, Massachusetts, in February 2025, with four 90 kW grid simulators and three 45 kW solar simulators to test fully functioning microgrids, according to its company release. Factory and lab testing shortens commissioning, which is why DC Market Insights holds engineering, integration and commissioning at 35% of the hardware-and-integration layer rather than the higher soft-cost shares seen in small microgrids.

Market Restraints: What Slows Data Center Microgrid Spending?

Two restraints slow the market: fuel and emissions permits for the generators behind the microgrid, and the falling cost per kW of control at gigawatt scale, which keeps the layer at about USD 245 per kW in 2035.

Air Permits for the Generators Set the Microgrid Timeline

A microgrid controller cannot be commissioned before the engines, turbines or fuel cells it runs hold their permits. In the United States, state and local agencies issue most air permits for data center generation, and new combustion turbines have faced tighter nitrogen oxide limits since January 2026. DC Market Insights reflects this in the low case, which cuts islanded capacity by 25% from 2027 and gives USD 2.34 billion in 2035.

Controller Cost per kW Falls as Plants Grow

NREL found that microgrid controller costs range from USD 6,200 to USD 470,000 per MW, with a mean of USD 155,000 per MW, and a median of 7% of total project cost, in a study of mostly small microgrids. At campus scale the same controller covers hundreds of MW, so DC Market Insights uses USD 52 per kW for controls and energy management software in 2025, one third of the NREL mean, and lets the full microgrid layer slip from USD 270 per kW in 2027 to USD 245 per kW in 2035.

Where Are the Openings for Data Center Microgrid Suppliers?

The two largest openings are operating contracts on a growing installed base and retrofits that turn standby generator plants into grid-parallel microgrids, together worth USD 1.58 billion in 2035.

Operating Contracts on a Base of Almost 85 GW

Operations and optimisation services rise from USD 48.85 million in 2025 to USD 970.27 million in 2035, because the installed data center microgrid base grows from 6,709 MW to 84,844 MW at USD 12 to USD 13 per kW-year. Veolia’s Ohio contract, with 35 to 40 full-time staff for 350 MW, shows that operators of grid-independent campuses buy the operating crew and the performance guarantee together.

Grid-Parallel Microgrids for Colocation and Enterprise Sites

Grid-parallel microgrid hardware and integration grows 22.54% a year, from USD 79.20 million in 2025 to USD 604.80 million in 2035 (DC Market Insights estimate). The share of new data center IT capacity built with these microgrids rises from 6% in 2025 to 14% in 2030 and 20% in 2035, as colocation and enterprise operators add microgrid controllers to standby plants so that they can earn grid-services revenue and meet connection rules.

How Much Does a Data Center Microgrid Cost per kW?

The microgrid layer of an islanded data center campus costs about USD 260 per kW in 2025, and the layer of a grid-parallel resilience microgrid about USD 110 per kW (DC Market Insights estimates, generation assets excluded).

Price	2020	2025	2030	2035
Islanded and bridge-to-grid layer (USD per kW)	240	260	260	245
Grid-parallel resilience layer (USD per kW)	95	110	115	112
Operations and optimisation (USD per kW-year)	10	12	13	13

Public anchors come from the NREL Phase I Microgrid Cost Study of October 2018: mean total costs of USD 3.34 million per MW for campus and institutional microgrids, USD 4.08 million per MW for commercial and industrial microgrids and USD 2.55 million per MW for utility microgrids, with additional electrical infrastructure at 1% to 38% of cost. The islanded layer of USD 260 per kW equals 13.7% of the USD 1,900 per kW installed price that DC Market Insights uses for data center gas turbines in 2025.

Which Standards and Rules Apply to Data Center Microgrids?

Five sets of rules shape the USD 648.05 million spent in 2025: controller standards, interconnection standards, electrical codes, connection policies and air permits.

• IEEE 2030.7 and IEEE 2030.8. The Institute of Electrical and Electronics Engineers (IEEE) standards that specify microgrid controller functions and how to test them, used in controller tenders.
• IEEE 1547. The interconnection standard for distributed energy resources that decides how a grid-parallel microgrid separates from and reconnects to the utility.
• NFPA 70, National Electrical Code (NEC). The National Fire Protection Association code whose Article 705 covers interconnected power production sources and microgrid systems in the United States.
• Ireland CRU large energy users connection policy. The December 2025 decision that ties new data centre connections to onsite or proximate dispatchable generation or storage.
• Texas Senate Bill 6 and EPA islanded guidance. The 2025 Texas large-load rules and the EPA permitting guidance of July 2026 for islanded power generation facilities.

Which Microgrid Components and Designs Lead Data Center Spending?

Switchgear, protection and islanding equipment leads components with 41.6% of 2025 value, and islanded and bridge-to-grid microgrids lead grid modes with 83.9%, according to DC Market Insights.

By Component: Switchgear, Protection and Islanding Equipment Leads with 41.6%

Component	2025 (USD million)	Share 2025	2035 (USD million)	CAGR 2025-2035
Controls and Energy Management Software	119.84	18.5%	429.66	13.62%
Switchgear, Protection and Islanding Equipment	269.64	41.6%	966.74	13.62%
Engineering, Integration and Commissioning	209.72	32.4%	751.90	13.62%
Operations and Optimisation Services	48.85	7.5%	970.27	34.84%
Total	648.05	100.0%	3,118.57	17.01%

By Grid Mode: Islanded and Bridge-to-Grid Microgrids Lead with 83.9%

Grid mode	2025 (USD million)	Share 2025	2035 (USD million)	CAGR 2025-2035
Islanded and Bridge-to-Grid Microgrids	543.77	83.9%	2,156.69	14.77%
Grid-Parallel Resilience Microgrids	104.28	16.1%	961.88	24.88%
Total	648.05	100.0%	3,118.57	17.01%

By Primary Power Source: Gas Engine-Based Microgrids Lead with 40.0%

Primary power source	2025 (USD million)	Share 2025	2035 (USD million)	CAGR 2025-2035
Gas Engine-Based	259.22	40.0%	935.57	13.69%
Gas Turbine-Based	213.86	33.0%	1,091.50	17.70%
Fuel Cell-Based	77.77	12.0%	530.16	21.16%
Battery and Renewable Hybrid	97.20	15.0%	561.34	19.17%
Total	648.05	100.0%	3,118.57	17.01%

By Data Center Type: Hyperscale and AI Campuses Lead with 70.0%

Data center type	2025 (USD million)	Share 2025	2035 (USD million)	CAGR 2025-2035
Hyperscale and AI Campuses	453.63	70.0%	2,245.37	17.34%
Colocation Data Centers	142.57	22.0%	654.90	16.47%
Enterprise and Edge Data Centers	51.85	8.0%	218.30	15.46%
Total	648.05	100.0%	3,118.57	17.01%

Fuel cell-based microgrids grow fastest among power sources at 21.16% a year, because solid oxide fuel cell orders such as the Oracle and Bloom Energy plan for New Mexico need a controller that shares load across hundreds of small units.

DC Exclusive: 100 MW Islanded Campus Microgrid Cost Teardown — USD 26.0 Million Before Generation

DC Market Insights built this teardown from 14 inputs, the NREL cost study and named project disclosures; it is a modelled estimate of what the microgrid layer of a 100 MW islanded data center campus costs in 2025, before any engine, turbine, fuel cell or battery is bought.

Microgrid layer item	USD per kW (2025)	USD million for 100 MW	Share of layer
Controls and energy management software	52	5.2	20%
Switchgear, protection and islanding equipment	117	11.7	45%
Engineering, integration and commissioning	91	9.1	35%
Total microgrid layer	260	26.0	100%

Applied to named data center microgrid projects, the same USD 260 per kW gives about USD 2.42 billion of microgrid layer value on 9,310 MW, built in phases over several years:

Project	Microgrid design	MW	Announced
Joule Capital Partners, central Utah	Caterpillar gas generator sets, 1.1 GWh batteries, combined cooling, heat and power	4,000	August 2025
Oracle, New Mexico campus	Bloom Energy solid oxide fuel cells	Up to 2,450	April 2026
Oracle Cloud Infrastructure, Texas sites	VoltaGrid modular gas plants with ABB automation	2,300	October 2025
AI campus, New Albany, Ohio	Gas engines, linear generators, 430 MWh batteries; operated by Veolia	350	July 2026
Pure DC, Dublin	Three gas combined heat and power energy centres, 20 MW batteries	110	March 2026
Microsoft, San Jose	Enchanted Rock renewable natural gas generators	100	June 2022
Total		9,310

The teardown shows why switchgear, not software, is the largest cost line: an islanded campus needs medium-voltage breakers and protection for every generator block and every data hall feeder, while one controller platform covers the whole site. DC Market Insights keeps the generation assets of these projects out of this market and sizes them in the sibling reports.

Which Region Spends the Most on Data Center Microgrids?

North America leads with USD 479.56 million in 2025, 74.0% of global value, and Asia Pacific is the fastest-growing region at 26.18% a year.

Region	2025 (USD million)	Share 2025	2035 (USD million)	CAGR 2025-2035
North America	479.56	74.0%	1,746.40	13.80%
Europe	58.32	9.0%	374.23	20.43%
Asia Pacific	51.84	8.0%	530.16	26.18%
Middle East and Africa	38.88	6.0%	311.86	23.15%
Latin America	19.45	3.0%	155.92	23.14%
Total	648.05	100.0%	3,118.57	17.01%

North America Leads with 74.0% Share

North American data center microgrid spending reaches USD 479.56 million in 2025 because the largest islanded campuses, in Texas, Ohio, Utah and New Mexico, sit in the United States, where large-load rules and the July 2026 EPA guidance favour onsite plants.

Europe Holds 9.0% Share

European spending of USD 58.32 million in 2025 grows 20.43% a year, led by Ireland, where the December 2025 CRU policy ties every new large data centre connection to onsite or proximate dispatchable capacity.

Asia Pacific Is the Fastest-Growing Region at 26.18%

Asia Pacific microgrid spending grows from USD 51.84 million in 2025 to USD 530.16 million in 2035, as Japan, Australia, India and Malaysia add AI campuses in areas where transmission upgrades lag new demand.

Middle East and Africa Holds 6.0% Share

Middle East and Africa spending of USD 38.88 million in 2025 grows 23.15% a year, as gas-rich Saudi Arabia and the United Arab Emirates pair new AI campuses with dedicated onsite plants.

Latin America Holds 3.0% Share

Latin American data center microgrid spending grows from USD 19.45 million in 2025 to USD 155.92 million in 2035, led by Mexico, where campus developers plan onsite generation to cover grid delays.

Which Countries Spend the Most on Data Center Microgrids?

The United States spends USD 453.63 million on data center microgrids in 2025, 70.0% of the global total, and India is the fastest-growing country in the top 12 at 32.63% a year.

Rank	Country	2025 (USD million)	2035 (USD million)	CAGR 2025-2035	Region
1	United States	453.63	1,559.29	13.14%	North America
2	Ireland	25.92	124.74	17.01%	Europe
3	Canada	25.92	187.11	21.86%	North America
4	Saudi Arabia	16.20	140.34	24.10%	Middle East and Africa
5	United Arab Emirates	12.96	109.15	23.75%	Middle East and Africa
6	Japan	12.96	109.15	23.75%	Asia Pacific
7	Australia	10.37	93.56	24.60%	Asia Pacific
8	United Kingdom	9.72	77.96	23.15%	Europe
9	Germany	7.78	62.37	23.14%	Europe
10	Mexico	7.78	68.61	24.32%	Latin America
11	India	6.48	109.15	32.63%	Asia Pacific
12	Malaysia	6.48	77.96	28.24%	Asia Pacific

The United States stays the largest market through 2035, but its share falls from 70.0% to 50.0% as grid connections catch up and other countries add onsite plants. India, at 32.63% a year, is the fastest-growing country because its AI campus pipeline starts from a microgrid base of only USD 6.48 million in 2025 (DC Market Insights allocation).

How Could the 2035 Data Center Microgrid Forecast Change?

The 2035 market ranges from USD 2.34 billion to USD 3.85 billion around the USD 3.12 billion base case, depending on how much islanded capacity is commissioned after 2026 and at what price.

Scenario	2035 (USD million)	CAGR 2025-2035	Assumption from 2027
Low	2,339.42	13.70%	Islanded MW 25% lower, grid-parallel MW 15% lower, price 5% lower
Base	3,118.57	17.01%	Model as described
High	3,854.68	19.52%	Islanded MW 20% higher, grid-parallel MW 15% higher, price 5% higher

The low case follows faster utility connections under the new FERC and Texas rules; the high case follows wider use of grid-independent campuses such as the Ohio and Dublin sites in other markets.

Who Are the Leading Data Center Microgrid Companies?

Schneider Electric leads with about 12% of 2025 value, and the top five suppliers hold about 42% (DC Market Insights assessment based on named data center microgrid projects and controller and switchgear supply).

• Schneider Electric
• Siemens
• ABB
• Eaton
• Hitachi Energy
• GE Vernova
• Caterpillar
• Enchanted Rock
• Bloom Energy
• VoltaGrid
• PowerSecure (Southern Company)
• Veolia
• AVK
• Vertiv
• INNIO Jenbacher
• Rolls-Royce Power Systems (mtu)

The concentration estimate of about 42% for Schneider Electric (about 12%), Siemens (about 9%), ABB (about 8%), Eaton (about 7%) and Hitachi Energy (about 6%) reflects their share of controllers, medium-voltage switchgear and protection supplied to data center microgrids. Engine and turbine makers such as Caterpillar and GE Vernova increasingly sell the controls and switchgear with their generator blocks, as in Caterpillar’s Utah package, while developers such as Enchanted Rock, VoltaGrid and AVK design, own or integrate the microgrid and service firms such as Veolia operate it.

Recent Developments

Seven dated events from February 2025 to July 2026 show data center microgrids moving from resilience add-ons to the main power plan.

• In February 2025, Schneider Electric opened a microgrid testing lab at its Andover, Massachusetts, research centre (Source: Schneider Electric).
• In August 2025, Caterpillar agreed to supply 4 GW of generation and 1.1 GWh of batteries for Joule Capital Partners’ Utah campus (Source: Caterpillar).
• In October 2025, VoltaGrid agreed to deploy 2.3 GW of modular gas generation for Oracle data centers in Texas (Source: VoltaGrid).
• In December 2025, the CRU published its final connection policy requiring onsite or proximate dispatchable capacity for large data centres (Source: CRU).
• In March 2026, Pure DC and AVK started a 110 MW islanded microgrid at a Dublin data centre campus (Source: Pure DC).
• In April 2026, Oracle and Bloom Energy announced up to 2.45 GW of fuel cells for a New Mexico campus (Source: Oracle and Bloom Energy).
• In July 2026, Veolia was selected to operate a 350 MW grid-independent microgrid for an AI data center campus in Ohio (Source: Veolia).

Methodology: How DC Market Insights Sizes the Data Center Microgrid Market

DC Market Insights sizes the market bottom-up as microgrid MW commissioned at data centers times the value of the microgrid layer per kW, plus operating services per kW-year on the installed microgrid base, which gives USD 648.05 million in 2025.

The model in numbers: islanded and bridge-to-grid capacity of 80 MW (2020), 2,000 MW (2025), 3,600 MW (2026), 5,300 MW (2030) and 6,300 MW (2035) at USD 240, USD 260, USD 268, USD 260 and USD 245 per kW; grid-parallel resilience microgrids at 1.5% (2020), 6% (2025), 14% (2030) and 20% (2035) of new data center IT capacity of 6,000 MW, 12,000 MW, 22,000 MW and 27,000 MW, at USD 95, USD 110, USD 115 and USD 112 per kW; and operations and optimisation at USD 10 to USD 13 per kW-year on the prior-year base, which starts at 1,500 MW at the end of 2019 and retires 2% a year. Segment, regional and country shares are DC Market Insights allocations that sum to the total in every year.

Three bound checks test the result. Ceiling one: controls at USD 52 per kW are one third of the NREL mean controller cost of USD 155,000 per MW, as expected at campus scale. Ceiling two: the islanded capacity of about 27 GW commissioned by 2030, of which about 73% is gas-fired, falls inside the IEA range of 15 to 27 GW of onsite natural gas for data centres by 2030. Floor: the 9,310 MW of named projects in the DC Exclusive teardown equal about USD 2.42 billion of microgrid layer value, 36% of the USD 6.79 billion modelled for islanded microgrids from 2025 to 2030. The full approach is described on the DC Market Insights research methodology page.