With the demand for backup power surging due to AI, Panasonic is taking strategic steps to address the projected shortages in datacenter batteries. The company aims to significantly increase its lithium-ion cell production capacity through expansions in Japan and potential adaptations in its Kansas facility. By 2029, Panasonic targets ¥800 billion in annual battery sales, driven by a projected uptick in server and backup power demand linked to AI growth.

Currently, Panasonic has secured commitments for most of its future sales, creating competition for remaining units as production scales to keep up with AI infrastructure expansion. The company plans to integrate its batteries into rack-mounted setups that support server operations during brief power disruptions. Additionally, these batteries can manage energy storage for financial efficiency when electricity costs surge.

Exploring beyond conventional batteries, Panasonic is advancing supercapacitor technology. These devices provide a denser energy storage option, capable of delivering power steadily while mitigating voltage fluctuations across IT equipment. Initial shipments of supercapacitors are expected by 2027, contributing to the company’s broader strategy to ensure ample energy solutions remain available for the increasingly power-reliant datacenter industry.