Power Supply Units (PSU) Market Size and Share
Power Supply Units (PSU) Market Analysis by Mordor Intelligence
The power supply units market size stands at USD 35.86 billion in 2025 and is projected to reach USD 49.29 billion by 2030, translating into a 6.57% CAGR. Demand strength stems from AI-driven hyperscale data-center rollouts, the continued shift toward 80 PLUS Titanium-and-above efficiency ratings, and policy incentives that encourage local electronics production in Asia Pacific. Wider adoption of silicon carbide and gallium nitride switches is lifting achievable power density, enabling smaller, cooler and more reliable systems that appeal to industrial automation and cloud operators alike. The gaming sector’s transition to ATX 3.0 architecture provides an additional boost as enthusiasts upgrade to units capable of withstanding 200% transient spikes, while stricter procurement rules in defense, medical and rail applications favor suppliers with deep compliance expertise. Together, these factors signal resilient multi-segment momentum for the power supply units market.[1]Infineon Technologies AG, “Infineon 2025 Predictions – Gallium Nitride (GaN) Semiconductors,” infineon.com
Key Report Takeaways
- By device type, AC-DC power supplies captured 62.34% of power supply units market share in 2024.
- By form factor, rack-mount and modular designs are advancing at an 11.45% CAGR, outpacing enclosed chassis units.
- By output-power range, the above-1000 W category is forecast to expand at an 11.89% CAGR through 2030.
- By end-user, data centers and servers hold the fastest growth trajectory at 11.34% CAGR, while industrial automation retains 33.45% revenue leadership.
- Regionally, Asia Pacific is set to register an 11.56% CAGR and narrow the gap with North America’s 37.65% 2024 revenue lead.
Global Power Supply Units (PSU) Market Trends and Insights
Drivers Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Proliferation of IoT and smart-home electronics | +1.2% | Global, with APAC leading adoption | Medium term (2-4 years) |
| Growing demand for 80 PLUS-certified energy-efficient PSUs | +0.9% | North America and EU regulatory focus | Short term (≤ 2 years) |
| Rapid expansion of hyperscale and edge data-centres | +1.8% | Global, concentrated in US, China, EU | Long term (≥ 4 years) |
| ATX 3.0 / PCIe 5.1 upgrade cycle in gaming and workstation PCs | +0.7% | North America, Europe, developed APAC | Short term (≤ 2 years) |
| Adoption of SiC and GaN topologies enabling ultra-compact designs | +1.1% | Global, led by automotive and data center sectors | Medium term (2-4 years) |
| Government incentives for localised power-electronics manufacturing | +0.8% | APAC core, with spillover to North America | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Proliferation of IoT and Smart-Home Electronics
Smarter homes, factories and cities now embed hundreds of sensors per site, each adding incremental conversion loads that aggregate into sizable demand for compact, high-efficiency units. PoE-enabled lighting and HVAC controllers reduce cabling costs and allow fine-grained energy management, shifting design priorities toward digitally controlled supplies with integrated communication ports. Building-automation integrators in Asia Pacific are standardizing on wide-input AC-DC blocks that combine power, data and diagnostics to simplify field servicing. Manufacturers able to bundle firmware-upgradeable control loops gain pull-through advantages when property managers roll out software features post-installation. As IoT penetration deepens into mid-tier urban centers, the power supply units market gains a steady, geographically diversified growth stream.
Growing Demand for 80 PLUS-Certified Energy-Efficient PSUs
U.S. data-center operators and European industrial OEMs increasingly specify Titanium-or-better efficiency, motivated by electricity costs that have risen more than 15% since 2024.[2]CLEAResult, “CLEAResult Announces 80 PLUS Ruby,” clearesult.com Server-class modules must now hit 90% efficiency at only 10% load, prompting a switch to GaN-based synchronous rectifiers and advanced LLC topologies. Energy-service companies bundle rebate programs with 80 PLUS certification, shortening payback periods for facility upgrades and accelerating the replacement cycle. Compliance departments view higher certification tiers as insurance against future carbon-pricing schemes under discussion across major economies. In turn, premium pricing for ultra-efficient units supports R&D spend, reinforcing a positive feedback loop for the power supply units market.
Rapid Expansion of Hyperscale and Edge Data-Centres
AI training racks routinely draw 50 kW or more, dwarfing traditional 15 kW colocation cabinets and forcing operators to redesign entire power trains.[3]Data Center Knowledge, “Data Center Growth: Power Supply’s Vital Role,” datacenterknowledge.comLiquid-cooled backplanes demand corrosion-resistant power modules able to run in high-humidity environments without derating. Concurrently, telecom providers deploy micro-edge sites near 5 G towers, favoring rugged, remotely manageable modules in the 3 kW–12 kW range. Suppliers that can combine high-power density with hot-swappable redundancy capture outsized opportunities as cloud firms race to add capacity. Silicon carbide MOSFET-based solutions see rapid uptake thanks to switching losses 50% lower than equivalent silicon parts, directly translating into reduced cooling expenses for data-center owners.
ATX 3.0 / PCIe 5.1 Upgrade Cycle in Gaming and Workstation PCs
The arrival of 12V-2×6 connectors capable of delivering 600 W to graphics cards has triggered a replacement wave among enthusiasts and digital-content studios.[4]AnandTech, “The XPG Core Reactor II VE 850 W PSU Review,” anandtech.comRetailers report attach-rates of 85% for ATX 3.0-ready supplies when new high-end GPUs are sold, significantly above historical norms. Board partners now publish validated PSU lists to mitigate RMA risks tied to transient spike behavior, giving certified brands preferential shelf space. This halo effect spills into mainstream tiers as buyers future-proof builds, lifting average selling prices. The pattern underscores how standards revisions can accelerate revenue even without unit growth, reinforcing pricing power within the power supply units market.
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Stricter global EMI and safety certification costs | -0.4% | Global, with EU and US leading stringency | Short term (≤ 2 years) |
| Raw-material price volatility for magnetics and semiconductors | -0.6% | Global supply chains, APAC manufacturing focus | Medium term (2-4 years) |
| Fragmented regional eco-design / EPS efficiency labelling | -0.3% | EU, North America, with spillover to APAC | Medium term (2-4 years) |
| Supply-chain bottlenecks for high-voltage SiC substrates | -0.5% | Global, concentrated in US and EU SiC facilities | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Stricter Global EMI and Safety Certification Costs
Medical, defense and rail projects now insist on multi-standard compliance that can add USD 300,000 in testing expenses per new platform. Harmonizing design files to satisfy IEC, EN and UL norms simultaneously lengthens engineering cycles and diverts working capital from innovation to documentation. Tier-one suppliers offset these hurdles with in-house labs, but small and midsize firms face outsourcing fees that erode margins. Some vendors respond by specializing in niches such as programmable laboratory supplies, avoiding the strictest military protocols. While certifications raise the value proposition for compliant products, up-front cost pressure tempers near-term unit volume in segments most exposed to the new rules.
Raw-Material Price Volatility for Magnetics and Semiconductors
Spot prices for ferrite cores, aluminum capacitors and wide-bandgap wafers swing sharply whenever geopolitical tensions interrupt critical-mineral flows. Quartz supply disruptions in North Carolina forced several wafer fabs to declare force majeure during late-2024 outages. Although front-line component makers ramped inventories, long lead times exposed downstream assemblers to swing factors exceeding 10% of bill-of-materials cost. Major OEMs mitigate risk through dual-sourcing and strategic stockpiles, but balance-sheet carrying costs rise in tandem. As long as the upstream material landscape remains fragile, procurement managers will carry cautious forecasts, moderating the absolute growth rate of the power supply units market.
Segment Analysis
By Device Type: AC-DC Leadership Faces Inverter Acceleration
AC-DC units accounted for 62.34% of power supply units market share in 2024, reflecting their ubiquity across industrial control panels, telecom back-up systems and consumer chargers. Growth remains solid but moderates toward mid-single digits as the installed base matures and energy-efficiency upgrades stretch replacement cycles. DC-AC inverters, by contrast, are scaling at a double-digit 12.78% CAGR, powered by rooftop solar adoption, vehicle-to-grid pilots and stationary storage projects that require bidirectional flow. The power supply units market size for inverters is projected to climb steadily through 2030 as governments add clean-energy incentives. Silicon carbide switching elements and digital control cores shrink board real estate, permitting integrated inverter-charger packs that blur traditional category boundaries and expand addressable revenue per deployment.
Second-order effects amplify the inversion trend. Electric-vehicle fast-charging corridors mandate multi-hundred-kilowatt converters with grid-tied capabilities, pushing vendors beyond legacy 50 kW product families. Meanwhile, policy mandates in Europe and parts of Asia stipulate reactive-power support, compelling inverter suppliers to embed advanced firmware. Established AC-DC leaders respond by acquiring or partnering with specialized inverter firms to defend channel relationships. This strategic convergence accelerates technology diffusion, but it also heightens competitive complexity as differentiation shifts from discrete hardware to holistic power-conversion ecosystems.
Note: Segment shares of all individual segments available upon report purchase
By Form Factor: Enclosed Solutions Lead Modular Revolution
Enclosed chassis supplies sustained a 34.56% revenue lead in 2024, favored for dust and moisture protection in factory floors and outdoor telecom cabinets. Their dominance, however, is gradually diluted by modular rack-mount designs expanding at an 11.45% CAGR. Data-center architects prefer these hot-swappable bricks for N+1 redundancy, minimizing downtime during maintenance. The power supply units market size for modular form factors is expected to nearly double by the decade’s close as hyperscale operators standardize on 48 V backplane architectures that simplify cabling and improve conversion efficiency. Vendors invest in blind-mate connectors and internal busbars to cut insertion loss and mechanical wear, extending service life without driving up footprint.
Thermal management breakthroughs also reshape the form-factor hierarchy. Liquid-cooled cold plates lower component temperatures by up to 20 °C, unlocking higher current density in the same rack unit. At the edge, compact sealed units with conformal-coated PCBs resist vibration and airborne contaminants, capturing demand from roadside 5 G micro-cells. Emerging suppliers leverage additive-manufactured heat sinks to tailor airflow paths, challenging incumbents that rely on legacy extrusion tooling. The outcome is a diversified form-factor mix where application specificity trumps one-size-fits-all approaches, broadening opportunities across the power supply units market.
By Output-Power Range: Mid-Range Stability Amid High-Power Upswing
Modules rated 50-250 W held 46.78% of 2024 revenue, servicing barcode scanners, PLC racks and consumer white goods that seldom exceed 150 W draw. This band exhibits low volatility thanks to large installed bases and gradual performance creep rather than step-change upgrades. Conversely, the above-1000 W tier is accelerating at an 11.89% CAGR as AI inference servers, industrial lasers and battery-electric buses demand kilowatt-scale rails. The power supply units market size for high-power devices is forecast to top USD 15 billion by 2030, up from USD 8 billion in 2025. Gallium-nitride half-bridge packages and planar magnetics compress component height, enabling 3.3 kW common-slot cards that slide into standard 1U bays.
Polarization toward the extremes reshapes sourcing strategies. Low-power IoT sensors increasingly run on coin-cell batteries paired with fractional-watt boost converters, eroding mid-band share. At the top end, busbars replace cable harnesses to meet 800 A requirements while preserving cable management. These evolutionary threads interact with regional policy, as certain Asian jurisdictions subsidize megawatt-class charging depots that pull through multi-kilowatt converter orders. Suppliers able to span the broadened power spectrum with unified design toolchains capture outsized mindshare among systems integrators.
Note: Segment shares of all individual segments available upon report purchase
By End-User Industry: Industrial Dominance Meets Data-Center Disruption
Industrial automation retained 33.45% of 2024 revenue, buoyed by factory-robot retrofits and process-control digitization. Long product lifecycles, typically exceeding 10 years, create dependable after-market streams for replacement units and maintenance kits. Yet, servers and data-center infrastructure clock the fastest 11.34% CAGR as hyperscale landlords rush to expand AI capacity. The power supply units market size attached to data-center racks is forecast to overtake industrial automation revenue in the second half of the decade if current order books convert to deployments. Telecom, medical and defense sectors maintain steady, compliance-driven demand that prizes reliability over cost, allowing premium gross margins.
Competition across end-users intensifies the need for application-tuned features. Factory operators want wide-input rails tolerant of brownouts, whereas cloud operators prioritize telemetry that feeds predictive-maintenance dashboards. Automotive OEMs ask for units that switch seamlessly between traction batteries and grid feeds during production-line testing. These fragmented requirements enlarge the total addressable market while compelling suppliers to modularize R&D roadmaps, ensuring quick turnarounds without duplicating engineering effort. Consequently, the power supply units market sees rising service-based revenue, software updates, monitoring subscriptions and extended warranties-layered atop hardware sales.
Geography Analysis
North America held 37.65% of 2024 global revenue, supported by aggressive cloud-campus construction, defense electrification projects and federal energy-efficiency mandates. Mega-clusters in Texas and Virginia anchor multi-billion-dollar purchase agreements for ultra-efficient rack-mount units, while U.S. semiconductor onshoring subsidies encourage local PSU sourcing to minimize tariff exposure. Utility rebates covering high-efficacy luminaires sustain steady pull-through for LED driver modules across commercial real estate. Strategic corporate alliances, typified by the Supermicro–DataVolt USD 20 billion AI-campus pact, favor suppliers that can pair high-density conversion with liquid-cooling compatibility, reinforcing North America’s premium-specification orientation.
Asia Pacific is projected to advance at an 11.56% CAGR through 2030, narrowing the gap with North America as governments funnel incentives into domestic electronics value chains. India’s USD 4-5 billion production-linked incentive scheme speeds greenfield PSU plants, while China’s industrial modernization plans sustain baseline volume despite trade frictions. Southeast Asian states, led by Thailand, offer decade-long tax holidays for wafer fabs, catalyzing local magnetics and assembly ecosystems. These structural tailwinds underpin vigorous volume growth across consumer, industrial and renewable-energy verticals, making Asia Pacific the strategic priority for capacity expansions within the power supply units market.
Europe delivers steady mid-single-digit expansion underpinned by stringent EcoDesign efficiency rules and robust EV-charging infrastructure rollouts. The bloc’s Net-Zero Industry Act channels grants toward SiC wafer processing and advanced packaging lines, indirectly benefiting regional PSU makers that co-locate near semiconductor clusters. Energy-price volatility after 2024 propels interest in demand-response-ready supplies that communicate load status to grid operators. Cross-border harmonization of 80 PLUS-equivalent labels simplifies market entry but raises baseline expectations, compelling suppliers to pre-qualify for Titanium category as standard. Together, these elements support a resilient European contribution to the global power supply units market.
Competitive Landscape
The power supply units market exhibits moderate concentration, with top-tier suppliers combining vertical chip-to-module integration, broad product breadth, and worldwide service networks. Delta Electronics, TDK-Lambda, and MEAN WELL leverage captive magnetics production and in-house GaN device lines to keep bill-of-materials cost in check while meeting accelerated design cycles. Mid-tier challengers focus on niche domains such as programmable laboratory supplies or rail-certified converters, carving out defensible positions through specialized compliance expertise. Semiconductor vendors, notably Infineon and Navitas, extend their reach downstream by releasing reference-design platforms that reduce time-to-market for ODM partners, thereby blurring traditional value-chain boundaries.
Strategic differentiation is increasingly hinging on digital telemetry, firmware-upgradable control loops, and cloud dashboards that deliver predictive maintenance insights. Supplier lock-in deepens when operators integrate PSU data streams into facility-management systems, raising switching costs in future bid rounds. The learning curve around wide-bandgap reliability and packaging becomes another moat: early movers demonstrate field MTBF statistics that reassure risk-averse buyers, reinforcing brand preference. M&A activity remains robust as diversified conglomerates acquire pure-play innovators to access emerging high-growth segments such as solid-state transformers and bidirectional EV chargers.
Supply-chain resilience surfaced as a winning theme after natural-disaster-triggered quartz shortages. Firms with geographically distributed magnetics lines and multi-sourced semiconductor procurement maintained shipment schedules, capturing share from less agile rivals. Looking ahead, service-driven monetization models, extended warranties, firmware subscriptions and site-level energy audits-offer incremental margin expansion without proportionate capital outlay. As these trends converge, the power supply units market rewards players capable of orchestrating hardware, software and logistics into integrated customer value propositions.
Power Supply Units (PSU) Industry Leaders
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Delta Electronics, Inc.
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Emerson Electric Co.,
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LITE-ON Technology Corporation
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Acbel Polytech Inc.
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Salcomp PLC
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- July 2025: Foxconn and TECO formed a strategic alliance to deliver modular AI data-center solutions across Asia, the Middle East and the United States.
- July 2025: Eaton agreed to acquire Resilient Power Systems to gain solid-state transformer technology for high-power DC applications.
- May 2025: Generac bought Off Grid Energy, adding industrial-grade mobile storage to its cleaner-power portfolio.
- May 2025: Supermicro partnered with DataVolt to build USD 20 billion hyperscale AI campuses in Saudi Arabia using direct liquid cooling.
Global Power Supply Units (PSU) Market Report Scope
A power supply is an electrical device that provides electric power to an electrical load. The primary objective of a power supply is to transform electric current from a source into the appropriate voltage, current, and frequency required to energize the load. The power may originate from various sources, including the electric power grid (an electrical outlet), energy storage devices like batteries or fuel cells, generators or alternators, solar power converters, and other power supplies.
The power supply devices market is segmented into device type (AC-DC power supplies, DC-DC converters), end-user industry (communication, industrial, consumer and mobile, automotive, transportation, lighting), geography (Americas, Europe, Middle East and Africa (EMEA), and Asia-Pacific). The market size and forecasts are provided in terms of value (USD) for all the above segments.
| AC-DC Power Supplies |
| DC-DC Converters |
| DC-AC Inverters |
| Open-Frame |
| Enclosed / Chassis |
| DIN-Rail |
| Brick |
| Rack-mount / Modular |
| less than 50 W |
| 50 – 250 W |
| 250 – 1000 W |
| above 1000 W |
| Industrial Automation and Machinery |
| Communications and Telecom |
| Consumer Electronics and Mobile |
| Automotive (ICE and EV) |
| Transportation (Rail, Avionics, Marine) |
| Medical Devices and Healthcare |
| LED and Lighting |
| Data-centres and Servers |
| Defense and Aerospace |
| North America | United States | |
| Canada | ||
| South America | Brazil | |
| Argentina | ||
| Rest of South America | ||
| Europe | Germany | |
| United Kingdom | ||
| France | ||
| Italy | ||
| Spain | ||
| Russia | ||
| Rest of Europe | ||
| Asia Pacific | China | |
| Japan | ||
| South Korea | ||
| India | ||
| ASEAN 5 | ||
| Rest of Asia Pacific | ||
| Middle East and Africa | Middle East | United Arab Emirates |
| Saudi Arabia | ||
| Turkey | ||
| Rest of Middle East | ||
| Africa | South Africa | |
| Egypt | ||
| Rest of Africa | ||
| By Device Type | AC-DC Power Supplies | ||
| DC-DC Converters | |||
| DC-AC Inverters | |||
| By Form Factor | Open-Frame | ||
| Enclosed / Chassis | |||
| DIN-Rail | |||
| Brick | |||
| Rack-mount / Modular | |||
| By Output-Power Range | less than 50 W | ||
| 50 – 250 W | |||
| 250 – 1000 W | |||
| above 1000 W | |||
| By End-user Industry | Industrial Automation and Machinery | ||
| Communications and Telecom | |||
| Consumer Electronics and Mobile | |||
| Automotive (ICE and EV) | |||
| Transportation (Rail, Avionics, Marine) | |||
| Medical Devices and Healthcare | |||
| LED and Lighting | |||
| Data-centres and Servers | |||
| Defense and Aerospace | |||
| By Geography | North America | United States | |
| Canada | |||
| South America | Brazil | ||
| Argentina | |||
| Rest of South America | |||
| Europe | Germany | ||
| United Kingdom | |||
| France | |||
| Italy | |||
| Spain | |||
| Russia | |||
| Rest of Europe | |||
| Asia Pacific | China | ||
| Japan | |||
| South Korea | |||
| India | |||
| ASEAN 5 | |||
| Rest of Asia Pacific | |||
| Middle East and Africa | Middle East | United Arab Emirates | |
| Saudi Arabia | |||
| Turkey | |||
| Rest of Middle East | |||
| Africa | South Africa | ||
| Egypt | |||
| Rest of Africa | |||
Key Questions Answered in the Report
What is the projected revenue for the power supply units market in 2030?
The power supply units market is forecast to reach USD 49.29 billion by 2030, reflecting a 6.57% CAGR from 2025.
Which device type currently leads sales?
Which device type currently leads sales?
Which region is growing fastest?
Asia Pacific, supported by robust electronics manufacturing incentives, is on track for an 11.56% CAGR through 2030.
How are GaN and SiC influencing product design?
Wide-bandgap switches boost power density and efficiency, enabling smaller, cooler units that meet stringent 80 PLUS Titanium and Ruby thresholds.
Why are modular rack-mount power supplies gaining share?
Hyperscale data centers favor hot-swappable modules for N+1 redundancy and simplified maintenance, driving an 11.45% CAGR in this form factor.
What compliance trends affect PSU makers most?
Rising EMI and safety certification costs, especially in medical and defense segments, add upfront testing expenses that advantage firms with in-house labs.
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