ABB Whitepaper Urges New Industrial Energy Management
The report highlights how global industrial firms must evolve energy orchestration to reduce costs and combat frequent outages.
Updated on Oct. 27, 2026 in Data Centers
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A new whitepaper from ABB details the urgent need for industrial organizations to transition toward active energy management and orchestration. The report outlines how integrating AI and automation can address rising energy costs and widespread operational downtime.
Why it matters
Rising energy demand and grid constraints necessitate a fundamental shift in how electrical infrastructure is managed to ensure competitiveness. Organizations must rethink their approach as energy costs and unplanned outages pose significant risks to global industrial performance.
Energy expenses now account for 25.4 percent of total industrial operating costs, while 59 percent of organizations identify these rising prices as a critical threat. Currently, only 37 percent of decision-makers actually apply total cost of ownership in capital investments despite 81 percent stating it should guide their decisions.
The players
ABB
ABB is a technology company specializing in electrification and automation solutions for various global industrial sectors.
The details
The report envisions a transition where data centers and industrial sites operate as a coordinated ecosystem for energy sharing. Through 2035, service models are expected to shift away from traditional equipment ownership toward outcome-based partnerships using energy storage and digital asset management.
Timeline
The findings and projections regarding electrification services cover the period from 2026 to 2035.
The Tech Race
This strategy follows the framework set by the ABB Future of Electrification Service report to redefine industrial power use. The shift signals a move away from legacy grid dependency toward integrated digital ecosystems and AI-driven energy orchestration.
Industrial managers can expect a shift toward service-based partnerships that emphasize long-term total cost of ownership over initial equipment prices. These changes may improve operational reliability by reducing the frequency of unplanned downtime through advanced digital asset management.
The takeaway
Industrial firms must prioritize energy orchestration to mitigate the heavy financial burden of unplanned outages. Adopting a total cost of ownership approach for capital investments can provide the necessary stability to compete in an evolving energy landscape.
Further reading
Learn more about the latest trends in industrial power infrastructure on our Data Centers page.
More information
View the detailed findings and analysis in the Access the ABB whitepaper.
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Is now the right time for your business to invest in active energy management systems?
