India's burgeoning data center market, fueled by the rapid adoption of artificial intelligence (AI), is set to significantly increase the demand for gensets (generator sets), according to Cummins India. This surge is driven by the power-intensive nature of AI workloads, which require reliable and robust backup power solutions.
Shveta Arya, Cummins Group's India region leader, highlighted the shift in India's data center landscape from basic data storage to advanced AI applications. This transition necessitates a greater focus on dependable backup power to ensure uninterrupted operations. Cummins India anticipates substantial order potential from data centers, estimating potential orders worth Rs 500 crore in a year. The company has already fulfilled a major order for data center gensets in Q3 FY24, signaling the start of a continuing trend.
The power consumption of data centers in India is projected to increase significantly, from 678 MW to 1,400 MW within three years, underscoring the rising demand for gensets. While Tier-I cities remain popular locations for data center expansions, Tier-II cities are also experiencing steady growth in this sector.
Cummins is actively involved in helping the data center industry manage the increasing power demands driven by AI. The company is collaborating with major hyperscale clients to develop modeling systems for generator sets that can be calibrated against live AI workloads. Furthermore, Cummins is exploring solid-state transformers (SSTs) to precisely regulate voltage and seamlessly integrate AC and DC systems. To enhance operational flexibility, Cummins is developing Tier 4 diesel and natural gas generators, battery energy storage systems (BESS), and microgrid deployment capabilities, enabling data centers to operate independently from the grid using on-site resources.
Cummins has introduced containerized Battery Energy Storage Systems (BESS) solutions ranging from 200kWh to 2MWh, which store energy during off-peak hours and release it during peak demand. These systems use lithium ferrophosphate (LFP) batteries known for their long cycle life and safety. The BESS can transition from standby to full power in milliseconds, providing an uninterrupted power supply and stabilizing frequency and voltage during volatile AI workloads.
The increasing demand for power in AI and data centers has led to what experts call an "AI power boom". This boom drives the expansion of data centers and necessitates collaborations between utility companies and tech giants to ensure adequate energy supply. Cummins provides generation systems for AI infrastructure, IT/ITES, data centers, and healthcare, supported by a large support network.
Cummins India has two primary business divisions: the engines business division (69% of revenues) and the lubes business division (31% of revenues). The company designs, manufactures, distributes, and services diesel and alternative fuel engines, as well as power generator sets up to 3,000 kW.
The company's dedication to innovation is exemplified by its in-house manufactured acoustic container, which houses generators like QSK78 and QSK90 for heavy-duty applications in data centers. These containers maintain a noise level of 70 dBA at 1 meter and are type-tested with IP54 intake louvers for fire retardancy.
Cummins' commitment to sustainability is evident in its development of advanced technology and power solutions for a more prosperous world. As the digital landscape evolves, Cummins focuses on delivering effective and sustainable solutions to meet customer needs.
