Prism Power Group eyes US acquisition to support booming data centre buildout

A UK-based specialist in electrical switchgear and critical power systems is expanding into the United States, as the surge in data centre construction strains power infrastructure and exposes shortages in both equipment and labour.

Prism Power Group, headquartered in Watford, is looking to purchase a US business that already holds UL certification and is raising $40 million to fund the acquisition and further expansion in the UK.

The move comes as developers attempt to keep pace with rising demand driven by artificial intelligence, cloud computing and other digital services – and as utilities and supply chains struggle to deliver connections and key components quickly enough. In fact, it’s estimated that just 25GW of grid capacity will come online in the next three years, leaving the industry 19GW short of the power it needs to realise its expansion plans. 

That’s why Prism Power Group wants to expand into the US. It says it has built its reputation delivering mechanical and electrical infrastructure for modular data centre projects in the UK and across Europe since 2005, including work spanning high-voltage substations, back-up generation and low-voltage switchboards for tightly scheduled turnkey developments. It

Adhum Carter Wolde-Lule, Director at Prism Power Group, explained, “The scale and urgency is such that America’s data centre expansion has become an international endeavour, and we’re again able to punch well above our weight in providing the niche expertise that’s missing and will augment strained local supply chains – on the ground, straight away.

“Major power manufacturers in the United States are ramping up production, while global giants have announced new stateside factories for transformers and switchgear components, aiming to cut lead times and ease the backlog – but those investments will take years to bear fruit and that is time the US data centre market simply doesn’t have.”

Keith Hall, CEO at Prism Power Group, added, “For overseas engineering companies like us with uniquely skilled contractors and technicians, plus a proven track-record in modular power systems that can be built off-site, the time is now and represents an exceptional opening into the world’s fastest-growing infrastructure market. Equally, for the US sector, the willingness to look globally for critical power systems excellence will prove vital in keeping ambitious build-outs on schedule and preventing the data centre explosion from hitting a capacity wall.”

Prism’s announcement taps into a wider trend: US developers increasingly look overseas for expertise and equipment, as domestic manufacturing and skills pipelines struggle to scale at the same pace as data centre growth.

According to figures, tech giants including Amazon, Google and Microsoft already operate more than 520 data centres across the US, with more than 400 additional facilities under construction or development. Industry analysts estimate that more than 100 GW of new data centre capacity could come online between 2024 and 2035 – a level of growth that is now exposing bottlenecks in both grid infrastructure and construction resources.

Those constraints are already being felt in the biggest markets.

In Northern Virginia, the largest data centre region in the country, project backlogs have reportedly contributed to multi-year delays for new power connections as utilities reinforce high-voltage infrastructure. Similar issues are emerging in Silicon Valley, where two large AI-focused facilities in Santa Clara are standing empty while the city-owned utility upgrades its grid and sequences power delivery as new substations come online, according to Prism. 

While the examples are region-specific, the underlying challenge is national: more capacity is being planned and built than the power system, supply chain and labour market can comfortably support at current speed.

However, it isn’t only hardware creating pressure. Prism says specialist electricians, installers and maintenance engineers are in such demand that contractors report backlogs of 12 months to staff new projects.

That matters because data centres need more than construction labour. Once operational, facilities require round-the-clock expertise to manage power distribution, cooling systems and emergency back-up power – and Prism warns that the talent pipeline is lagging behind the industry’s rapid growth. The concern, as analysts have repeatedly flagged in recent years, is that workforce constraints could affect both build schedules and long-term reliability.

Against that backdrop, Prism’s plan appears designed to remove one of the major market barriers for overseas entrants: US certification requirements. By acquiring a UL-certified business, rather than attempting to build a compliant operation from scratch, the company is aiming for a faster route into live projects, while also expanding its UK base as part of the same capital raise.

Prism has not disclosed which US market it will prioritise, or the size and specialism of the acquisition target, but the rationale is clear: the US data centre boom is forcing an international supply response, and companies able to deliver power infrastructure at pace are betting they can secure a role in that buildout.

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