When market ups?

According to IMS Research's latest analysis, the world market for uninterruptible power supplies (UPS) grew by more than 7% last year. However, its performance varied significantly over the course of the year.

While in the first three quarters the UPS market grew quickly, as in 2007, growth was abruptly checked in the fourth. Revenues fell almost everywhere, for products of all kVA ratings. A comparison of the fourth quarters of 2007 and 2008 shows double-digit global decline, with EMEA reporting a particularly sharp retreat.

The UPS market initially continued to grow as the world economy stumbled, but existing orders and critical upgrades could only protect revenues for so long. "With the worsening economic crisis and the unsustainable growth of early 2008, we were inevitably going to see an adjustment in the market," says analyst Donald Henschel.

Despite a hard quarter with dark predictions for the near term, there is no reason to expect UPS revenues to stay down for long. Henschel continues, "The underlying growth factors for UPS are still going to be there when credit thaws and IT budgets pick up. As long as power quality remains an issue, ever-increasing worldwide dependence on IT resources will expand the market for UPS."

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