How will ABB and VoltaGrid Strengthen US Data Centre Power?

ABB has announced a major partnership with Texas-based microgrid company VoltaGrid to enhance the reliability and stability of power systems supporting AI data centres in the United States. 

As AI workloads drive exponential growth in electricity demand, the collaboration will deliver grid-stabilising technologies to ensure consistent power for hyperscale and modular data centre operations.

Strengthening grid resilience for AI growth

Under the agreement, ABB will supply 27 synchronous condensers with flywheels, as well as prefabricated eHouse units equipped with power control, automation and excitation systems. These will integrate into VoltaGrid’s distributed energy sites currently under construction to support multiple AI infrastructure projects. The systems will provide inertia, stabilise voltage and enhance grid reliability by managing reactive power across high-demand environments.

VoltaGrid’s proprietary natural gas-fuelled power generation solution will complement ABB’s equipment, creating an advanced hybrid energy network designed for rapid deployment. The systems can operate as both short-term and long-term behind-the-metre solutions, offering flexible capacity for hyperscale data centres requiring fast and stable power delivery. 

The first project deliveries are set to begin in December 2025, with initial units expected online by April 2026.

“ABB’s synchronous condensers are vital for meeting the energy demands of next-generation technologies like AI data centres, thanks to their proven ability to ensure grid stability and enhance the overall resilience of power systems,” says Nathan Ough, CEO of VoltaGrid. “Partnering with ABB allows us to accelerate project execution and meet the growing performance demands of AI operations, delivering more value to our customers.”

Meeting rising power demand from AI

The collaboration comes as data centre energy consumption in the US continues to surge. In 2024, data centres accounted for around 1.5% of global electricity use, with the US representing roughly 45% of that total. 

Industry projections suggest that nearly half of the country’s electricity demand growth by 2030 will come from data centres, with AI workloads driving much of this increase.

The rapid scaling of compute-intensive applications, from generative AI to machine learning, is placing new pressure on national power grids. 

Maintaining stable and efficient energy delivery is now one of the defining challenges for hyperscale operators, making solutions like ABB’s synchronous condensers and VoltaGrid’s distributed generation platforms increasingly essential.

ABB’s role in future-ready power infrastructure

ABB has been investing heavily in power systems that enhance grid stability, integrating electrification, automation and digital technologies to meet the evolving needs of data centres and industrial users. 

The company’s prefabricated eHouse systems are modular, transportable units designed to simplify power distribution and protection while enabling faster deployment of energy infrastructure.

“ABB is proud to partner with VoltaGrid and support the evolving energy ecosystem in the US,” says Per Erik Holsten, President of ABB’s Energy Industries division. 

“Across the world, data centres are increasingly critical infrastructure and so maintaining grid stability has shifted from being optional to strategic. 

“Delivering stable, reliable and efficient power generation is vital to enable data centre growth. Our integrated automation, electrification and digitalisation solutions play an important role to meet growing demand while maintaining energy security.”

Technology designed for modern data centres

Synchronous condensers are experiencing renewed relevance as utilities and data centre operators seek ways to manage instability caused by fluctuating renewable generation and rising load demands. 

These systems, although similar in structure to large electric motors or generators, are specifically engineered to provide instantaneous inertia and short-circuit strength – key elements for maintaining a balanced grid.

“Synchronous condensers may resemble large motors or generators in design, but their real strength lies in grid support,” says Kristina Carlquist, Head of Synchronous Condenser Product Line at ABB’s Motion High Power division. “As data centres expand, these machines are seeing renewed importance for their ability to provide inertia and short-circuit strength. For VoltaGrid, they will help ensure reliable, resilient microgrid performance.”

Supporting sustainable data infrastructure

The ABB-VoltaGrid partnership represents a growing movement towards integrated and sustainable power strategies that match the energy intensity of AI-driven computing. 

By combining on-site generation with advanced stabilisation systems, the project will help data centre operators overcome one of the industry’s most critical barriers: securing reliable, low-latency and resilient power at scale.

As AI continues to reshape digital infrastructure, such initiatives will play a vital role in ensuring that the data centres powering innovation remain stable, efficient and aligned with future energy demands.