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FuelCell Energy Data Center Push: What the 450MW Plan Means

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Key Takeaways

  • FCEL signed a non-binding LOI with SDCL to explore 450MW of global fuel cell deployments.
  • FCEL tech offers on-site baseload power using natural gas, biogas, or hydrogen blends.
  • The partnership targets financing and operational hurdles in capital-heavy data center projects.

FuelCell Energy’s (FCEL - Free Report) latest data center move shows how artificial intelligence (AI) and high-performance computing are changing power needs. The fast growth of compute-heavy workloads is pushing electricity demand higher and reshaping how power is delivered. Data center operators are placing more value on reliability, resilience, and being close to the load, as grid limits and long connection timelines make traditional expansion harder. In this setting, on-site and behind-the-meter power solutions are becoming a core part of new data center designs.

FCEL has partnered with Sustainable Development Capital under a non-binding letter of intent to explore up to 450 megawatts of fuel cell deployments worldwide. The arrangement combines FuelCell Energy’s distributed baseload generation with SDCL’s expertise in financing, owning and operating energy assets. This model aims to enable large-scale execution by tackling not just technology rollout, but also long-term financing and operations — key hurdles for capital-intensive data center power projects.

FuelCell Energy’s technology fits shifting data center needs by providing steady, on-site baseload power that can run independently of the grid, depending on fuel supply. Its systems can use natural gas, biogas, or hydrogen blends, and can reuse waste heat for heating, steam, or cooling to boost efficiency. Overall, the collaboration points to rising data center demand and closer alignment with next-generation power setups.

Onsite Power Solutions Gain Traction in Data Centers

Bloom Energy (BE - Free Report) is strongly focused on data centers, which it highlights as its largest and fastest-growing market segment. The company addresses rising AI-driven power demand by providing reliable, onsite fuel cell power that does not rely on strained grids. Bloom Energy’s solutions offer high reliability, fast deployment, and scalability, making it well-suited for hyperscale and colocation data centers worldwide.

Meanwhile, Enphase Energy (ENPH - Free Report) is gradually positioning itself to benefit from data center power needs by expanding into commercial and three-phase energy solutions. ENPH’s IQ9 microinverters support 480V three-phase systems, which are commonly used in data-intensive facilities. At the same time, Enphase Energy’s planned small commercial batteries enable load shifting and backup power for high-uptime users. Together, these offerings allow Enphase Energy to support reliable, efficient and scalable clean energy use in data-center-like environments.


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