AI data center boom books diesel backup generators through 2027-2028

The AI infrastructure buildout is creating bottlenecks across data center backup power, with major diesel generator suppliers including Rolls-Royce Power Systems, Cummins and Caterpillar largely booked through 2027 to 2028 and some framework agreements extending to 2030, while delivery times have stretched to 8 to 12 months and prices for units using overseas engines have risen about 20% since 2024. A new MarketsandMarkets report says the global data center battery market is projected to grow from USD 4.82 billion in 2026 to USD 10.23 billion by 2032 at a 13.4% CAGR, with North America the largest region, advanced lead-acid batteries the leading battery type, and cloud and hyperscale facilities the fastest-growing data center segment. The report also points to rising adoption of battery energy storage systems, renewable energy integration and AI-driven power demand as key growth drivers, while thermal management, safety requirements, high upfront costs and volatility in critical battery materials remain major constraints.

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