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Data centers set to drive demand: Genset makers – ET CIO


Power generator manufacturers are expecting demand to come from the data sector segment shadowing the growth of telecommunications and technologies such as artificial intelligence (AI).

Cummins India has pegged the potential of orders from data centres to the tune of Rs 500 crore in a year. The company completed a large order for data centre gensets during Q3FY24 and these orders are usually big lumpy orders, Ashwath Ram, MD, Cummins India said.

“The cycle is going to continue. So this is not the first of it neither is it the last of it,” Ram said. Similarly, Kirloskar Oil Engines is also in advanced talks of receiving higher capacity genset orders from some new data centre clients. The company has augmented its market share in the larger kilowatt gensets, to it has room to service the data centre segment going ahead, an official said.

Industry players are expecting the data center power consumption to increase by 678 MW to 1,400 MW in three years. While Tier-I cities are preferred locations for data center expansions, Tier-II cities are also witnessing steady growth in the space, Colliers India said in a note.

  • Published On Feb 19, 2024 at 10:28 AM IST

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source: https://cio.economictimes.indiatimes.com/news/data-center/data-centres-set-to-drive-demand-genset-makers/107810235

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