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Schneider, Vertiv, Eaton Best Positioned for Modular Data Center Shift, Bernstein Says

Summary
A new Bernstein report identifies Schneider Electric, Vertiv, and Eaton as the primary beneficiaries of the growing trend toward modular data center construction, which favors integrated system providers.
Schneider Electric, Vertiv, and Eaton are best positioned to capitalize on the industry's shift toward modular data center construction, according to a new report from Bernstein. The brokerage highlights that the move away from procuring individual components toward buying integrated systems creates a significant opportunity for vertically integrated manufacturers.
Shift to Integrated Systems
The transition to modular construction allows original equipment manufacturers (OEMs) to supply a greater share of a data center's internal content, the Bernstein report noted. This dynamic is expected to support potential market-share gains for the most integrated companies, as customers increasingly favor prefabricated, all-in-one solutions.
The Front-Runners
AdBernstein's analysis detailed the specific strengths of the three electrical equipment makers, identifying them as leaders in capturing this trend.
- Schneider Electric (SCHN): The company was highlighted for its roster of proven customer wins and broad product coverage. Schneider employs a hybrid strategy, combining key partnerships with a 270% increase in its prefabrication capacity over the past two years. Its EcoStruxure Modular Data Center platform offers pods up to 1.2MW.
- Vertiv (VRT): Described by Bernstein as having a more ambitious modular strategy, Vertiv's OneCore architecture can scale from 12.5MW deployments to 1GW campuses. The firm's SmartRun IT pod roadmap extends to more than 6MW. According to the report, Vertiv and Schneider are the only companies in the group able to provide a complete IT module and a combined Power and IT pod with integrated cooling.
- Eaton (ETN): While its offerings are considered less mature, Eaton has solidified its position through acquisitions and partnerships, placing it in Bernstein's “integrated camp.” The company offers a Prefab Power Train Unit and has partnered with Flexnode for its NX Compute Module, with Bernstein noting its capabilities are largely the result of these recent strategic moves.
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