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You are here: Home / Tech Watch / 2024 Industry Insights

2024 Industry Insights

//  by Sonia Hugnou

2024 Data Center Industry Insights

As a reseller, we have a unique advantage to see the industry from a 10,000-foot view because we don’t focus on just one product line or solution. We have multiple products, vendors, and solutions, and touch a variety of areas. This past year saw some crazy ups and downs. We also saw the industry evolve quicker in one year than the previous 5 years. With the introduction of AI, power demands, prioritizing monitoring, and emerging battery technology – the only thing constant was change itself.

Artificial Intelligence (AI)

AI has been such a buzz word in this industry over the past few years however, we have not seen any “real” action in regards to it in mainstream data centers. Of course, the Meta’s and Google’s of the world have built for AI but the everyday data center has not. That changed in 2024, we saw mid-sized data centers begin thinking about AI and how to scale for it.

Scaling for AI is not a simple task, data centers have to consider a variety of factors including physical footprint, cooling, airflow, new hardware, and increased power needs. By scaling for AI, data centers are increasing the capacity that they can have in each data center rack. Typically, each rack has 12-15kw of equipment. In order to prepare for AI, data centers need to have higher density racks going up to 100kw per rack. This year we worked with a client to scale to 60kw and 100kw per rack (that’s a lot of capacity, power, and cooling needed). Projects like this excite us. It shows that mid-sized data centers are taking AI seriously and are prepared to make some modifications to accommodate it. It’s not just the BIG guys (aka Meta, Google) anymore.

Our friends at Vertiv, have been a huge help when it comes to high density. They have come out with a suite of products that can help data centers of any size build out for high density (and by build out we mean install new products, no new construction).

AI has opened the door for a new era of capacity. Data centers need to begin to thinking about how to add in more density within their existing infrastructure. We have seen some already doing so but eventually it will not be an option. Don’t be left behind, start asking the questions and planning for density upgrades today.

Power Capacity

For organizations not yet focused on AI, power efficiency remains a priority. In 2024, 80% of new power projects requested a reduction in UPS capacity. Advances in technology mean smarter products with lower power demands. In industrial and manufacturing settings, for example, we often saw UPS capacities reduced by about 10 kVA. While some sectors won’t feel AI’s impact for years, they continue to prioritize power efficiency.

Prioritizing Monitoring Software

As data centers grow more complex, so do their vulnerabilities. Monitoring every piece of equipment manually is time-consuming, costly, and risky. Imagine managing 135 devices, each requiring individual IP logins.

Modern monitoring solutions offer a single-pane-of-glass approach, providing real-time alerts, escalation protocols, and proactive insights. With downtime unacceptable, these tools are critical for ensuring hardware stays operational. Our partners—Vertiv Environet Alert, Critical Labs, Eaton Brightlayer, and EkkoSense—offer tailored monitoring solutions to meet your exact needs.

Battery Monitoring Systems Continue to Grow

Back in the early 2000s, battery monitoring requests were for 4 strings, 8 strings, and if someone needed a 20-string battery monitoring job, that was a big deal! Today, the average battery monitoring job request is above 50 strings, and it’s never a surprise to get a 100+ string request come through our office.

Battery monitoring is no longer an optional addition. Companies want a reliable, easy to use battery monitoring system (BMS) to ensure thy never have a downtime incident because of a battery. We’ve seen companies steer clear of more obsolete brands and systems and move towards the major three: Cellwatch, Generex, and Alber.

New Battery Technology Rises and Falls

This year was the year of battery experimentation. We saw the rise in new battery technology however, VRLA remained the dominant choice.

Lithium batteries, while gaining popularity, aren’t universally adopted. Industries like manufacturing, utilities, and telecom prefer the reliability of VRLA. Lithium’s claimed 15-year lifespan is still under scrutiny, with early adopters reporting replacements needed after 10-12 years.

Nickel-zinc batteries gained traction in colocation applications but faced challenges as their technology matures. Sodium batteries, with their ability to operate in extreme temperatures and long 20-year lifespan, are gaining ground in industrial settings.

The battery market has so many options to explore. It is important to look at your facility’s parameters and speak with a professional about which chemistry would work best for you. Not every battery type will work in every facility. We will be the experts so you don’t have to be.

This year has been a year of evolution and innovative and our team is here to help guide you through it all. We’re excited to work with you in the coming year and are excited about all the changes!

Contact us to talk about how we can help ensure your facility reaches 100% uptime.

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