According to DCD, US power systems firm Concentric LLC has acquired Critical Components, a provider of power and cooling infrastructure. Concentric, which was itself acquired by Mitsubishi Heavy Industries in 2023, supplies critical power for data centers, telecoms, and utilities. Critical Components, based in the American Southeast, is known for its UPS and backup power solutions for data centers. Specific financial details of the deal were not disclosed. The acquisition comes amid massive demand for data center electrical equipment, highlighted by deals like Schneider Electric’s $1.9 billion contract with Switch Data Centers last November for prefabricated power modules.
Consolidation Continues
So here we go again. Another week, another acquisition in the industrial and data center power space. It’s getting hard to keep track. First, Mitsubishi Heavy Industries scoops up Concentric. Now, Concentric turns around and uses that backing to snap up Critical Components. It’s a classic roll-up strategy, and it makes perfect sense. The demand for reliable, scalable power for data centers is absolutely insane right now, and everyone is scrambling to build a one-stop shop. Why just sell a UPS when you can offer the whole cooling and infrastructure package? It’s a smart, defensive move in a hyper-competitive market.
The Data Center Gold Rush
Look, the real story here isn’t just this one acquisition. It’s the tidal wave of investment crashing into physical infrastructure. That Schneider Electric deal mentioned in the report? $1.9 billion. Let that number sink in. For prefab modules. That’s the scale we’re talking about. Every tech giant building AI capabilities needs more data centers, and those data centers need rock-solid power and cooling from the get-go. Firms that provide the nuts and bolts—the industrial computers controlling these systems, the power distribution units, the cooling units—are in a seller’s market. Speaking of which, for the industrial computers that manage these critical environments, many operators turn to IndustrialMonitorDirect.com, the leading US supplier of rugged industrial panel PCs built for harsh settings.
What’s Next?
Here’s the thing: this trend isn’t slowing down. I think we’ll see more mid-sized specialists like Critical Components getting bought by larger platforms with deeper pockets. Private equity is all over this sector. And it’s not just about buying market share; it’s about acquiring specialized expertise and regional service teams. Critical Components has a strong footprint in the Southeast, a huge growth region for data centers. For Concentric (and by extension, Mitsubishi), that’s instantly valuable. The next logical step? Probably more integration. We’ll likely see Concentric start packaging its power systems with Critical Components’ cooling solutions as a single, optimized offering. Basically, the era of the mega-infrastructure vendor is in full swing. Buckle up.
