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On-Site Photovoltaic Solar Power for Data Centers Market Size and Forecast, by Semi-conducting Material (Monocrystalline silicon, Polycrystalline silicon, Thick-film Silicon, Amorphous silicon); Application (On-grid, Off-grid); Technology (Photovoltaic Solar Linear Fresnel Reflector, Integrated Solar Combined Cycle power plant, PV Solar Parabolic Dish, Photovoltaic Solar Towers, Photovoltaic Solar Parabolic Trough) - Growth Trends, Key Players, Regional Analysis 2026-2035

  • Report ID: 5583
  • Published Date: Sep 16, 2025
  • Report Format: PDF, PPT

On-Site Photovoltaic Solar Power for Data Centers Market Outlook:

On-Site Photovoltaic Solar Power for Data Centers Market size was valued at USD 28.46 billion in 2025 and is expected to reach USD 140.35 billion by 2035, expanding at around 17.3% CAGR during the forecast period i.e., between 2026-2035. In the year 2026, the industry size of on-site photovoltaic solar power for data centers is evaluated at USD 32.89 billion.

On-site Photovoltaic Solar Power for Data Centers Market Size
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Due to their high electricity consumption, data centers need both a backup power supply and a constant power source to guarantee that data is continuously being collected.

Globally, the data center power consumption was projected to be between 240 and 340 TWh1, or roughly 1.3% of the world's total final electricity demand, in 2022.  A normal data center uses several tens of megawatts to several kilowatts of electricity. The data center's high running expenses are a result of its heavy reliance on the power supply. However, the rapid advancements in energy efficiency have served to restrain the rise in energy consumption from data centres and data transmission networks, which together consume 1% to 1.5% of the world's electricity.

Governments and commercial companies are also creating new technology, such as polymer solar cells. For instance, in November 2023, Danish printed electronics equipment firm InfinityPV offered a novel imaging technology for contactless fault detection in roll-to-roll printed thin film solar cell manufacturing lines. Manufacturers of perovskite, organic, kesterite, copper indium gallium diselenide (CIGS), and amorphous silicon PV foils can utilize the so-called ultrafast laser beam-induced current mapping technology, which can be retrofitted into already-existing roll-to-roll lines. Compared to the current silicon solar cell technology, these are anticipated to be 1000 times thinner, more flexible, lighter, and less expensive.

Key On-site Photovoltaic Solar Power for Data Centers Market Insights Summary:

  • Regional Highlights:

    • North America on-site photovoltaic solar power for data centers market achieves a 37% share by 2035, driven by the expiration of the solar ITC and the increasing emphasis on sustainability and reducing carbon footprints in data centers.
    • Europe market will secure 27% share by 2035, fueled by high renewable energy targets, government support, and incentives for solar power projects in data centers.

  • Segment Insights:

    • The off-grid segment in the on-site photovoltaic solar power for data centers market is projected to achieve a 54% share by 2035, driven by the ability to maintain data center operations during grid faults.
    • The monocrystalline segment in the on-site photovoltaic solar power for data centers market is projected to capture a 43% share by 2035, driven by the higher efficiency of monocrystalline silicon panels in constrained spaces.

  • Key Growth Trends:

    • Growing sustainable practices globally
    • The surge in technological advancements

  • Major Challenges:

    • Limited space in the data centers for solar panels
    • High costs associated with the installation of solar power systems may hinder market growth

  • Key Players: Equinix, Inc., Canadian Solar Inc., Orange, Salim Group, DCI Indonesia., Tokyo Electric Power Company Holdings.

Global On-site Photovoltaic Solar Power for Data Centers Market Forecast and Regional Outlook:

  • Market Size & Growth Projections:

    • 2025 Market Size: USD 28.46 billion
    • 2026 Market Size: USD 32.89 billion
    • Projected Market Size: USD 140.35 billion by 2035
    • Growth Forecasts: 17.3% CAGR (2026-2035)

  • Key Regional Dynamics:

    • Largest Region: North America (37% Share by 2035)
    • Fastest Growing Region: Asia Pacific
    • Dominating Countries: United States, China, Japan, Germany, United Kingdom
    • Emerging Countries: China, India, Singapore, South Korea, Japan

    • Last updated on : 16 September, 2025

Growth Drivers

  • Growing sustainable practices globally - The use of independent and renewable energy sources for data centers, as opposed to relying on the national power grid powered by fossil fuels, which releases harmful carbon particles into the environment during generation, is one of the primary factors contributing to the growth of on-site photovoltaic solar power for data centers market.

    With fossil fuels like coal, and oil & gas making up more than 75% of greenhouse gas emissions worldwide and almost 90% of carbon dioxide emissions overall, fossil fuels are by far the biggest cause of climate change. Greenhouse gas emissions cover the Earth, trapping heat from the sun. A decrease in the cost of installing solar power is anticipated to propel the market during the forecast period.
  • The surge in technological advancements - It is anticipated that these technical developments will stimulate the market and provide room for future market expansion. For example, Amazon installed renewable power sources in each of its four data centers worldwide.

    Data centers located in Australia, Sweden, Spain, and Virginia are among them. It is projected that these data centers produce 840 gigawatts of power per hour. The effectiveness of this integration will be further enhanced by advancements in smart grid technologies and AI-driven energy management. AI data centers can have reliable electricity due to smart grids' ability to distribute solar energy optimally.
  • Growing fuel costs worldwide - Often referred to as solar PV, on-site photovoltaic solar power has grown from a market for small-scale applications to a major source of electricity. With rising fuel prices, reliance on imported fossil fuels from unethical regions, and unchecked pollution levels, on-site photovoltaic solar power for data centers is emerging as a viable substitute for renewable energy sources. 

    As per a report, the normal all-formal retail gasoline prices in the United States in October 2022 were significantly less than those in Hong Kong or the Central African Republic, which at the end of October 2022 reported the highest gasoline prices globally, at USD 3.82 per gallon.

Challenges

  • Limited space in the data centers for solar panels - It is anticipated that throughout the projected period, the on-site photovoltaic solar power market's growth will be hampered by small data centers' inability to install solar panels due to a lack of space. Several governments are launching programs to raise the proportion of renewable energy in the overall amount of electricity produced, despite higher carbon emissions.
  • High costs associated with the installation of solar power systems may hinder market growth
  • Dependency on weather conditions may hinder the growth of the market.

On-Site Photovoltaic Solar Power for Data Centers Market Size and Forecast:

Report Attribute Details

Base Year

2025

Forecast Period

2026-2035

CAGR

17.3%

Base Year Market Size (2025)

USD 28.46 billion

Forecast Year Market Size (2035)

USD 140.35 billion

Regional Scope

  • North America (U.S., and Canada)
  • Asia Pacific (Japan, China, India, Indonesia, Malaysia, Australia, South Korea, Rest of Asia Pacific)
  • Europe (UK, Germany, France, Italy, Spain, Russia, NORDIC, Rest of Europe)
  • Latin America (Mexico, Argentina, Brazil, Rest of Latin America)
  • Middle East and Africa (Israel, GCC North Africa, South Africa, Rest of the Middle East and Africa)
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On-Site Photovoltaic Solar Power for Data Centers Market Segmentation:

Semi-conducting Material Segment Analysis

In on-site photovoltaic solar power for data centers market, monocrystalline segment is likely to capture over 43% share by 2035. Because monocrystalline silicon panels have a higher efficiency, they can produce more energy with the same quantity of solar radiation. This is particularly helpful in spaces that are constrained, like data centers. Data centres can optimize their power output and maximize solar radiation by utilizing monocrystalline silicon panels.

Furthermore, monocrystalline silicon panels support the goal of sustainability, which data centers are embracing at an increasing rate. They provide energy that is clean and renewable, which lowers carbon emissions and helps run data centers in a more sustainable and environmentally friendly manner. Over the past few years, there has been a notable increase in energy consumption in this area, with growth averaging between 20-40% each year due to the rapid growth in workloads handled by major data centres. Monocrystalline solar cells have seen significant technological breakthroughs as a result of ongoing research & development, including enhanced production procedures and higher cell efficiency. These advancements support the on-site photovoltaic solar power for data centers market's upward trajectory by improving the overall performance and attractiveness of solar panels that use these cells.

Application Segment Analysis

In on-site photovoltaic solar power for data centers market, off-grid segment is predicted to dominate around 54% revenue share by the end of 2035. Off-grid photovoltaic solar power solutions allow data centres to maintain operations even in the event of grid faults or power outages. In the long run, off-grid options can also help data centres save money on electricity. By producing their solar energy on-site, they can lessen their reliance on pricey grid electricity and possibly cut their overall energy costs.

Data centres may occasionally be situated in isolated locations where it is impractical or expensive to connect to the main power grid. For these data centres, there is a workable alternative to extensive grid infrastructure: off-grid photovoltaic solar electricity. In light of these factors, the on-site photovoltaic solar power for data centers market will witness significant growth in the off-grid segment in the coming years.

Our in-depth analysis of the global market includes the following segments:

     Semi-conducting Material
  • Monocrystalline silicon
  • Polycrystalline silicon
  • Thick-film Silicon
  • Amorphous silicon

     Application
  • On-grid
  • Off-grid

     Technology
  • Photovoltaic Solar Linear Fresnel Reflector
  • Integrated Solar Combined Cycle power plant (ISCC)
  • Photovoltaic Solar Parabolic Dish
  • Photovoltaic Solar Towers
  • Photovoltaic Solar Parabolic Trough
Vishnu Nair
Vishnu Nair
Head - Global Business Development

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On-Site Photovoltaic Solar Power for Data Centers Market Regional Analysis:

North American Market Insights

By 2035, North America region is projected to hold more than 37% on-site photovoltaic solar power for data centers market share. The US government's impending expiration of the solar ITC (Investment Tax Credit) for business installation is a major factor driving the expansion of the market for on-site photovoltaic solar power for data centers. Furthermore, data centers that use solar electricity can drastically lower their energy expenses. Data centers can lessen their dependency on the often-expensive traditional grid power by producing their own electricity on site. Additionally, data centers are putting a greater emphasis on sustainability and lowering their carbon footprint. Data centers can show that they are environmentally conscious by implementing on-site photovoltaic solar electricity.

European Market Insights

By 2035, European region in on-site photovoltaic solar power for data centers market is set to account for around 27% revenue share. In Europe, the governments of Benelux, Germany, France, and Spain are primarily responsible for the demand for on-site photovoltaic solar electricity for data centers. High targets for renewable energy have been established by many European countries in response to climate change. In order to contribute to these goals, data centers are increasingly using on-site photovoltaic solar power.

Furthermore, sustainability and environmental responsibility are widely prized across Europe. Furthermore, the Green Mountain Data Centre in Norway is powered entirely by sustainable energy, including solar electricity. Furthermore, governments in Europe provide support and incentives for solar energy and other renewable energy projects. For instance, data centers in the Netherlands that produce their own solar energy may profit monetarily and be eligible for tax breaks. This encourages data centers to invest in solar power systems on their premises.

On-site Photovoltaic Solar Power for Data Centers Market Share
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On-Site Photovoltaic Solar Power for Data Centers Market Players:

    • Equinix, Inc.
      • Company Overview
      • Business Strategy
      • Key Product Offerings
      • Financial Performance
      • Key Performance Indicators
      • Risk Analysis
      • Recent Development
      • Regional Presence
      • SWOT Analysis
    • Canadian Solar Inc.
    • Orange
    • Salim Group
    • DCI Indonesia.
    • Tokyo Electric Power Company Holdings

Recent Developments

  • Orange has two data center locations in Poland where solar panels are deployed. The company launched photovoltaic installations at the Data Processing Centre in Łódź with a capacity of 370 kW. This will cover approximately two percent of the facility's annual energy demand.
  • Salim Group and DCI Indonesia have opened H2-02, their second data center at the H2 Data Centre Campus in Karawang. H2–02 is now Indonesia's first solar-powered data center thanks to DCI's integration of solar power infrastructure. It encompasses a 30-hectare portion of the H2 campus and has a maximum of 30 MW of solar-generated electricity capacity. With the capacity to grow to 600 MW, the H2 campus is situated on 86 hectares.
  • Report ID: 5583
  • Published Date: Sep 16, 2025
  • Report Format: PDF, PPT
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Frequently Asked Questions (FAQ)

In the year 2026, the industry size of on-site photovoltaic solar power for data centers is evaluated at USD 32.89 billion.

The global on-site photovoltaic solar power for data centers market size exceeded USD 28.46 billion in 2025 and is set to expand at a CAGR of more than 17.3%, surpassing USD 140.35 billion revenue by 2035.

North America on-site photovoltaic solar power for data centers market achieves a 37% share by 2035, driven by the expiration of the solar ITC and the increasing emphasis on sustainability and reducing carbon footprints in data centers.

Key players in the market include Equinix, Inc., Canadian Solar Inc., Orange, Salim Group, DCI Indonesia., Tokyo Electric Power Company Holdings.

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