Can Partnerships Solve the Data Center Power Puzzle?
The current state of energy for the data center industry is a tricky one. Many operators are facing significant challenges in meeting the rising power demand driven by advancements in AI, cloud computing, and 5G — and, as power densities increase, traditional electrical grids are struggling to keep up, creating bottlenecks in power availability for new and existing facilities. Securing sufficient energy capacity is complicated by lengthy utility lead times, aging infrastructure, and competing demands from other industries. Additionally, there are geographical disparities in energy availability, forcing operators to choose between premium locations with limited capacity or remote areas with added logistical complexities. These obstacles are compounded by the industry’s need to balance sustainability goals with the rapid growth of hyperscale and edge deployments, which demand scalable and efficient power solutions in ever-shorter timeframes.
How can data center leaders approach this litany of problems in an effective, strategic way? For Rehlko’s Ryan Baumann, the answers lie in the power of collaboration. Sitting down for a recent interview at PTC’25 — one of the top industry events of the year held annually in Honolulu — Baumann spoke about the importance of strong partnerships when facing the industry’s power obstacles.
“My advice is to get together, work closely together, and start solving problems,” explains Baumann. “It’s a matter of: how do we work together? How do we look to the future? This means things like getting information from an OEM as soon as you can — what does your pipeline look like? What is working out there? How can I help to solve a new area, be it Arizona or Hawaii? What are those power requirements, and how can we come in early enough to see that and solve them? Utilities are challenged, and we need different solutions. That's where, whether it's diesel, HVO, fuel cells, or natural gas, there are a lot of solutions for us to come together on.”
For Baumann, it’s this commitment to partnership that is at the core of innovation: “I think coming together to look at, say, what do you need today? How do I solve it in, in our case, a different kW capacity? And being open to different solutions, things that we've never thought of in the past.” As the data center industry grapples with the complex challenges of rising power demand and infrastructure limitations, Baumann’s call for collaboration serves as a critical reminder: no single entity can solve these issues alone
Addressing power availability requires a unified effort across operators, utilities, OEMs, and technology providers to share insights, innovate, and develop tailored solutions. By fostering strong partnerships, embracing non-traditional approaches, and staying open to emerging technologies, the industry can overcome these hurdles and lay the foundation for sustainable, scalable growth. In a rapidly evolving landscape, it’s this spirit of collective problem-solving that will empower data centers to meet the demands of tomorrow.
To hear Baumann speak about the importance of industry partnerships — as well as thoughts on lead times, sustainability, and more — check out his full interview here:
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