What is a modular data centre?

Modular data centre with prefabricated server, power and cooling units
Modular data centres use prefabricated infrastructure that can be deployed and expanded as computing demand grows.

A modular data centre is a data centre built using pre-engineered, standardised modules that can be deployed, expanded or upgraded as required. Instead of constructing the entire facility at once, operators can add computing, power, cooling and networking capacity in stages.

These modules may include server rooms, power systems, UPS, cooling equipment, batteries and networking infrastructure. They can be prefabricated and tested before being installed at the data centre site, potentially reducing deployment time.

Modular data centres are particularly useful when organisations need to scale computing capacity quickly or deploy infrastructure in locations where building a conventional data centre may be difficult.

The technology is gaining importance with the growth of cloud computing, artificial intelligence, edge computing and Global Capability Centres (GCCs), all of which are increasing demand for flexible and scalable digital infrastructure.

Why are modular data centres important?

The key advantages include:

  • Faster deployment through prefabricated components
  • Scalability as computing demand increases
  • Lower upfront commitment by allowing capacity to be added in phases
  • Standardisation across multiple facilities
  • Flexibility for edge and remote computing applications

A modular data centre is not necessarily a containerised data centre. Containerised data centres are one type of modular data centre, while modular infrastructure can also consist of prefabricated data halls, power modules and cooling systems.

Companies providing Modular Data Centre Solutions

Major companies offering modular or prefabricated data centre solutions include Schneider Electric, Vertiv and STULZ. Other technology companies and infrastructure providers, including Huawei and Dell, also have modular data centre offerings, while Indian players such as VueNow have been developing modular and containerised edge computing infrastructure.

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