How are data centers changing with new tech like AI and edge

By Pankaj Singh, Head of Data Center & Telecom Business Solutions at Delta Electronics India


Digital transformation is reshaping economies and societies, with data centers serving as the foundation of this shift. Originally designed for traditional computing workloads, data centers are now being re-engineered to support new classes of applications—real-time artificial intelligence (AI), generative models, the Internet of Things (IoT), and autonomous systems. These technologies demand unprecedented computing power, ultra-low latency, and sustainable operations. This transformation is not optional—it is essential to power the next era of global digital infrastructure.

AI Workloads and the Rise of High-Density Compute

The proliferation of AI and machine learning has dramatically accelerated computing demand. Generative AI models, in particular, require enormous processing capacity, often pushing rack densities to 50–80 kW or even higher compared to the 8–10 kW typical in older facilities. According to McKinsey, global demand for AI data center capacity could grow by 33% annually between 2023 and 2030, making this one of the fastest infrastructure build-outs in history.

To meet this demand, next-generation designs must integrate high-density power, intelligent rack configurations, and advanced cooling solutions. At Delta, we are addressing this with power usage effectiveness (PUE) consistently below 1.5 for conventional approaches and pushing towards 1.07 to 1.12 with liquid cooling solutions.

This is achieved through integrated solutions spanning power, racks, precision cooling, and environment management. Our air-assisted liquid cooling systems deliver up to 2.5× higher cooling density with less than 3% additional power consumption, enabling customers to scale AI workloads sustainably.

Edge Computing: Bringing the Cloud Closer

While hyperscale facilities remain critical, the next wave of digital infrastructure growth will happen at the edge. By processing data at or near the source, latency is reduced, resilience is improved, and compliance with local data regulations is assured. Edge computing is especially vital for time-sensitive use cases such as autonomous vehicles, EV charging infrastructure, smart factories, telecom networks, and public safety systems.

As India rolls out 5G and expands industrial automation, the edge data center market is expected to grow at double-digit rates, with compact, prefabricated, and pre-engineered modular, containerised facilities enabling plug-and-play deployments even in Tier-2 and Tier-3 cities. These micro facilities alleviate backbone congestion while ensuring local compliance, particularly under India’s Digital Personal Data Protection Act.

Delta’s prefabricated edge solutions combine power, cooling, and monitoring in a single design, allowing customers to scale quickly without compromising efficiency. This approach is already helping enterprises, telecom operators, and data centers improve both speed-to-market and long-term sustainability.

Power Innovations for Modern Infrastructure

Power delivery has become a decisive factor in enabling AI and edge. Architectures such as Open Rack V3 (33–66 kW DC shelves) and 800 V HVDC systems minimise conversion losses and optimise utilisation. Delta’s power supply units achieve up to 97.5% efficiency, ensuring that performance growth does not compromise sustainability.

In 2023, Delta implemented 410 energy-saving projects globally, compared with 285 projects before the ICP management mechanism was introduced in 2021. These initiatives saved more than 48 million kWh—equivalent to reducing carbon emissions by over 36,000 metric tons.

Thermal Breakthroughs for AI-Driven Loads

High-density GPU clusters generate heat levels that exceed the capabilities of conventional air cooling. Delta’s direct-to-chip liquid cooling and immersion technologies address these challenges while reducing reliance on bulky mechanical systems. These innovations are not only about efficiency but also about resilience, particularly in water-stressed regions where conventional cooling can place pressure on scarce resources.

Intelligent Infrastructure and Smart Operations

Next-generation data centers are not defined by hardware alone—they are becoming intelligent, adaptive systems. Energy Management Systems (EMS) now balance power and cooling dynamically, while Digital Twins and predictive analytics allow operators to model performance under a variety of conditions.

At Delta, we integrate DCIM platforms, BIM models, and remote monitoring tools to provide end-to-end visibility. This reduces downtime risk, lowers operational costs, and enables even small edge facilities to achieve enterprise-class performance. In addition, our “Shop Floor to Top Floor” automation strategy ensures that data flows seamlessly from operational technology (OT) to IT systems, empowering leaders to make faster, data-driven decisions.

Sustainability as a Competitive Advantage

The AI era must also be sustainable. With India targeting 500 GW of non-fossil (clean) energy by 2030 and net-zero emissions by 2070, green data centers are now both a regulatory requirement and a market differentiator.

Delta is proud to be recognised on the CDP Climate Change and Water Security “A List,” placing us among a select group of global companies with top scores. In 2023, we sourced 76% of our electricity from renewables, and we are committed to achieving 100% renewable energy by 2030 under the RE100 initiative. By designing solutions that minimise power and water use, we ensure that digital transformation and climate responsibility progress together.

Conclusion: Building the Future Responsibly

Data centers are evolving faster than ever, driven by AI, edge computing, and sustainability imperatives. Success will depend not only on scaling capacity but also on how smartly and responsibly that capacity is used.

At Delta Electronics, we believe that innovation in power, cooling, and digital intelligence must go hand in hand with ecological responsibility. By combining our global expertise with India’s rapid digital expansion, we are helping to build infrastructure that is powerful, efficient, and sustainable.

The next generation of data centers will not just be measured by how much compute they can deliver, but by how seamlessly they balance performance, energy, and sustainability. This is the future we are building—one that enables AI and digital transformation while protecting the planet for generations to come.

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