Yole Group announces the publication of its latest technology and market report: Power Electronics for Data Centres 2025. This new edition provides a comprehensive analysis of the evolving power architectures enabling the global expansion of data centres and highlights why power availability has become the most critical constraint in the AI-driven era. This report also includes a detailed analysis of WBG adoption, especially GaN-based solutions.
As data centres race to scale infrastructure for Generative AI workloads, power provisioning has become a critical bottleneck, outranking even land value in site selection. The latest Yole Group report, Power Electronics for Data Centres 2025, explores how this dynamic is transforming PSU design, adoption, and investment priorities across hyperscalers, colocation providers, and enterprise operators.
“AI isn’t just disrupting compute architectures. Indeed, it’s reshaping the entire power electronics landscape. Power supply systems are scaling beyond 3kW, driving record demand for innovation in PSU form factors, cooling systems, and component materials like WBG semiconductors,” Hassan Cheaito PhD, Technology & Market Analyst, Power Electronics at Yole Group.
A new power level creates a new addressable market
Yole Group forecasts the data centre PSU market to reach over $14 billion by 2030, growing at a 15.5% CAGR from 2024. The >3kW PSU segment is growing even faster, with a CAGR above 25%, as AI server integration requires higher density and thermal efficiency.
Three PSU form factors shape the market:
- CRPS: dominates for its flexibility and modularity
- OCP: tailored for hyperscalers with scale- and cost-driven advantages
- ATX: legacy format used in lower power environments, now declining
Custom PSU designs are increasingly used in HPC where standard architectures fall short.
Geopolitical tensions are raising new concerns about PSU supply chain resilience, especially in Europe, which currently lacks major players in the segment. Delta Electronics, Liteon, Huawei, and Advanced Energy account for more than half of the global PSU market. Delta Electronics is at the forefront of next-gen PSU design, leading both in power density for CRPS and in meeting the Ruby efficiency standards in OCP configurations.
NVIDIA’s influence: powering a new generation of infrastructure
As the AI infrastructure leader, NVIDIA has become a critical influencer of the power electronics ecosystem. With the rise of liquid cooling and server racks exceeding 3kW per node, PSU developers are aligning their designs with NVIDIA’s stringent thermal, mechanical, and electrical requirements:
- Disaggregated power racks and architectures like Ultra Rubin are reshaping power delivery from the PSU to intermediate bus converters
- Vertiv and Schneider are working directly with GPU vendors to co-develop and certify end-to-end power and thermal solutions
- ABB, Siemens, and Schneider are poised to play a role in SST development, offering both efficiency and a reduced environmental footprint
As hyperscalers like AWS and Google explore on-site energy generation, including SMRs, power sourcing is becoming an essential part of long-term AI infrastructure strategy.
WBG, sovereignty, and sustainability enter the spotlight
WBG, especially GaN and SiC, are enabling power supply innovation. These materials allow for smaller, more efficient, and thermally robust PSUs. Despite silicon being the major contributor of semiconductor content in power supplies, GaN and SiC are enabling smaller, more efficient, and thermally robust PSUs.
Power Electronics for Data Centres 2025 from Yole Group confirms that energy provisioning is now a strategic enabler and constraint for AI growth.
“From rack-level PSUs to grid-scale infrastructure, the industry is entering a phase where power density, thermal design, and sovereignty shape market leadership,” comments Cheaito.
Power is the new performance frontier for data centres, and Yole Group’s latest report provides technology providers, system integrators, and policymakers with the insights they need to navigate this high-voltage transformation. The complete analysis is now available on yolegroup.com.
