Battery Storage Moves Closer to Data Centers, but Challenges Persist
Data center operators are increasingly integrating battery energy storage systems (BESS) beyond traditional backup roles, aiming to manage peak demand, enhance grid flexibility, and support growing AI infrastructure needs. Companies like DataBank are deploying utility-scale BESS, some connected to virtual power plants, to assist utilities and improve grid operations. While Google is exploring large iron-air battery systems, challenges such as cost, performance, and system complexity, including the need for cooling, continue to influence broader adoption. AI
IMPACT Accelerates AI infrastructure deployment by addressing power constraints and grid reliability challenges.