Driving Microgrid Implementation Across Global Data Centres

AI is rewriting the rules of data centre power, forcing operators to move beyond fragile, capacity-constrained grids. In response, AVK-SEG, Bloom Energy and Eaton are building a new power backbone around advanced microgrids, dispatchable capacity and AI-optimised control.

Together, these three players are turning on-site generation into a strategic asset rather than an emergency fallback. The companies' technologies compress time-to-power from years to months, unlock stranded development sites and enable grid-independent growth at hyperscale.

From HVO-fuelled generators and solid oxide fuel cells to grid-to-chip architectures and subsynchronous oscillation detection, they are engineering for a world where continuous, high-density compute is non-negotiable. Microgrids are no longer a resilience add-on, they are becoming the primary design choice for AI-era facilities.

In the latest edition of Data Centre Magazine, we explore how AVK-SEG, Bloom Energy and Eaton are reshaping power infrastructure, the metrics and partnerships underpinning their rise and what their roadmaps reveal about the future of global data centre expansion.

AVK-SEG

UK power solutions provider transforms data centre energy landscape with hybrid renewable microgrids and HVO-powered standby systems

AVK-SEG (AVK) has emerged as one of Europe's largest suppliers of innovative power solutions for data centres through a strategic pivot towards microgrid technology. 

The company's journey into microgrids began when a client requested power for a grid-disconnected site, leading AVK to develop gas reciprocating engine solutions that can operate independently while providing dispatchable capacity to support renewable energy when grid connections eventually materialise. This approach allows data centres to bypass lengthy grid connection queues whilst building sustainable infrastructure from the outset.

The company has partnered with Wärtsilä to publish groundbreaking research demonstrating that off-grid microgrids can provide lower costs and carbon emissions compared to traditional grid-connected solutions. Their joint whitepaper analyses optimal configurations for 50MW hyperscale data centres across Europe's FLAP-D markets over 35-year operational periods. Research from Loughborough University's Centre for Renewable Energy Systems Technology supports AVK's position, introducing a new metric called Levelised Cost of Energy Utilised to evaluate true economic performance of microgrids.

AVK has delivered over 500 Rolls-Royce HVO-ready generators and expects to complete its first major 100MW microgrid installation. The company's transition from diesel to hydrotreated vegetable oil has reduced emissions by up to 90% while maintaining full power delivery and service life. 

With offices across the UK and Europe, AVK combines wind and solar generation with battery storage and HVO-powered backup to create resilient power systems that can eventually trade excess capacity back to the grid.

AVK has delivered over 500 Rolls-Royce HVO-ready generators and expects to complete its first major 100MW microgrid installation. The company's transition from diesel to hydrotreated vegetable oil has reduced emissions by up to 90% while maintaining full power delivery and service life. 

With offices across the UK and Europe, AVK combines wind and solar generation with battery storage and HVO-powered backup to create resilient power systems that can eventually trade excess capacity back to the grid.

Focus ahead

• AVK is advancing integration of renewable energy with gas turbine technology to create flexible microgrids that serve dual purposes. 
• The company aims to solve immediate data centre power challenges while building assets that support grid stability through dispatchable capacity. 
• Future developments include exploration of hydrogen and biomethane as alternatives to natural gas. 
• The focus remains on converting power challenges into opportunities by enabling data centres to become active participants in the energy transition rather than purely consumptive facilities. 
• Strategic expansion targets tier 2 European markets where grid constraints are most acute and demand for alternative power solutions continues to accelerate.

Progress

• AVK secured an exclusive partnership with Rolls-Royce for mtu generation sets across the UK and Ireland in 2021, establishing a foundation for large-scale deployments. 
• The company published joint research with Wärtsilä in September 2025 demonstrating microgrids enable data centres to sidestep energy constraints whilst cutting emissions. 
• Finalised cooperation agreement with Wärtsilä in May 2024 for on-site power generation combining 30 years of AVK's data centre design expertise with Wärtsilä's engine manufacturing capabilities. 
• Currently executing two energy centre projects in Ireland using medium-speed engines designed for sustainable fuel readiness. Recognition in FEBE Growth 100 list highlighted exceptional growth and innovation in the power solutions sector.

Bloom Energy

California fuel cell manufacturer accelerates data centre deployments with solid oxide technology delivering primary power in 90 days

Bloom Energy has transformed from backup power provider to primary energy solution for data centres facing unprecedented AI-driven demand. The company's solid oxide fuel cell technology enables rapid deployment, with installations commissioned in as little as 90 days compared to multi-year grid connection delays. This speed advantage has positioned Bloom as a critical solution for hyperscalers and colocation providers racing to capture AI market opportunities while maintaining operational continuity.

The company's 2025 Data Center Power Report surveys 100 decision-makers and predicts 35GW of data centre capacity announcements within five years, equivalent to six times that of New York City's annual energy consumption. The research reveals data centre leaders increasingly view onsite power as primary rather than backup infrastructure. 

Bloom's strategic partnerships demonstrate this shift, including landmark agreements with American Electric Power for up to 1GW of fuel cells and Brookfield Asset Management's US$5bn commitment to power AI factories globally.

Bloom Energy has deployed approximately 1.4GW of Energy Server systems and announced capacity expansion to 2GW by 2026. The company's technology operates without combustion, converting natural gas, biogas or hydrogen into electricity through electrochemical processes. 

Recent deployments include CoreWeave's Illinois data centre, Quanta Computer's $80m microgrid investment and Oracle's rapid deployment programme. 

Operating at 99.9% reliability, Bloom's systems provide baseload power with significantly lower carbon emissions than traditional generation while occupying minimal footprint, leaving space for data centre infrastructure.

Bloom's strategic partnerships demonstrate this shift, including landmark agreements with American Electric Power for up to 1GW of fuel cells and Brookfield Asset Management's US$5bn commitment to power AI factories globally.

Bloom Energy has deployed approximately 1.4GW of Energy Server systems and announced capacity expansion to 2GW by 2026. The company's technology operates without combustion, converting natural gas, biogas or hydrogen into electricity through electrochemical processes. 

Recent deployments include CoreWeave's Illinois data centre, Quanta Computer's $80m microgrid investment and Oracle's rapid deployment programme. 

Operating at 99.9% reliability, Bloom's systems provide baseload power with significantly lower carbon emissions than traditional generation while occupying minimal footprint, leaving space for data centre infrastructure.

Focus ahead

• Bloom Energy is leveraging data centre success to expand into manufacturing, food production and utility applications. 
• The company signed deals with Conagra Brands for islandable microgrids at food facilities and SoCalGas for high-efficiency microgrids at Los Angeles operations. 
• Focus remains on developing holistic AI factory solutions where power infrastructure and compute requirements are designed synchronously from inception. 
• Strategic positioning centres on domestic manufacturing advantages as onshoring trends accelerate under current trade policies. 
• The company continues developing fuel flexibility capabilities, with systems designed to transition from natural gas to hydrogen as production and transportation infrastructure matures.

Progress

• Secured US$80m multi-system deal with Quanta Computer in October 2024 for fully islanded microgrids powering California manufacturing. 
• Announced strategic partnership with CoreWeave in July 2024 for Illinois data centre deployment scheduled for Q3 2025 commissioning. 
• Published 2025 Data Center Power Report revealing 80% of surveyed leaders plan onsite power deployments. 
• Formed a US$5bn strategic partnership with Brookfield Asset Management in October 2025 to develop AI factories worldwide. 
• Stock performance surged 1000% in the year leading up to October 2025, reflecting market recognition of fuel cell positioning for the AI infrastructure boom.

Eaton

Irish power management giant deploys comprehensive grid-to-chip solutions integrating microgrids with AI-optimised distribution systems

Eaton has positioned itself at the intersection of data centre power challenges through its comprehensive grid-to-chip strategy, combining microgrid expertise with AI-powered optimisation tools. 

The company's collaboration with Xendee Corporation, backed by Series B financing, accelerates the deployment of AI-driven distributed energy resources. This partnership integrates Xendee's advanced modelling platform with Eaton's engineering capabilities to deliver fully optimised microgrid solutions that adapt to real-time grid conditions while maximising return on investment.

The company's Everything as a Grid approach transforms traditional electrical systems from passive loads into active energy management assets. Eaton demonstrated this philosophy at its Arecibo, Puerto Rico facility, integrating solar generation, battery storage and digital control systems within an operational microgrid that independently operates during grid outages while strategically producing, storing and consuming electricity based on pricing signals. The implementation reduces operational costs, energy consumption and emissions through intelligent power management.

Eaton's strategic partnership with Siemens Energy addresses lengthy grid interconnection delays through modular on-site power solutions. The collaboration combines Siemens' 500MW gas turbine configurations with Eaton's electrical equipment including medium and low-voltage switchgear, uninterruptible power supplies and containment systems. 

The company has also developed industry-first solutions for subsynchronous oscillation detection, protecting critical infrastructure from AI power bursts that can damage transformers and grid equipment. 

With operations spanning 160 countries, Eaton leverages deep expertise across multiple industrial sectors to advance data centre power management.

The company's Everything as a Grid approach transforms traditional electrical systems from passive loads into active energy management assets. Eaton demonstrated this philosophy at its Arecibo, Puerto Rico facility, integrating solar generation, battery storage and digital control systems within an operational microgrid that independently operates during grid outages while strategically producing, storing and consuming electricity based on pricing signals. The implementation reduces operational costs, energy consumption and emissions through intelligent power management.

Eaton's strategic partnership with Siemens Energy addresses lengthy grid interconnection delays through modular on-site power solutions. The collaboration combines Siemens' 500MW gas turbine configurations with Eaton's electrical equipment including medium and low-voltage switchgear, uninterruptible power supplies and containment systems. 

The company has also developed industry-first solutions for subsynchronous oscillation detection, protecting critical infrastructure from AI power bursts that can damage transformers and grid equipment. 

With operations spanning 160 countries, Eaton leverages deep expertise across multiple industrial sectors to advance data centre power management.

Focus ahead

• Eaton is advancing reference architecture for 800 VDC power systems supporting NVIDIA's high-density computing requirements for AI data centres. 
• The company continues developing edge-based solutions for detecting and mitigating AI power bursting phenomena that threatens both facility and grid stability. 
• Strategic focus includes expanding Factories as a Grid concept beyond manufacturing into broader commercial applications. 
• The Brightlayer portfolio delivers real-time actionable insights for equipment performance optimisation. 
• Collaboration with partners across the ecosystem aims to standardise modular approaches that accelerate time-to-market for grid-independent data centre deployments whilst maintaining flexibility for future grid integration.

Progress

• Led Series B financing round for Xendee Corporation in 2025 to accelerate AI-powered distributed energy resource tools. 
• Completed demonstration project at Arecibo facility integrating onsite solar generation, energy storage and intelligent controls into operational microgrid. 
• Announced collaboration with Siemens Energy for standardised modular systems, reducing data centre construction timelines. 
• Delivered industry-first subsynchronous oscillation detection capability through Power Xpert quality system firmware update. 
• Showcased 800 VDC reference architecture at Open Compute Project Global Summit, advancing high-density AI infrastructure standards.