Fuel cells are gaining traction among US hyperscalers racing to build data centers for the AI boom but struggling with grid constraints to secure quick and reliable power.

Energy research firm Rystad Energy projects investments in fuel cells for data centers to rise to about $30 billion by 2030 from $2.8 billion in 2025.

A fuel cell generates electricity through a chemical reaction between a fuel, such as natural gas or hydrogen, and oxygen, converting the fuel’s energy directly into electricity rather than burning it.

Bloom Energy operates solid-oxide technology ready for 100% pure hydrogen, ⁠while ​FuelCell Energy uses molten carbonate technology capped at 40% hydrogen blends, even as both systems are fuel-flexible.

Why is demand growing?

Data centers require massive amounts of reliable electricity to run computing equipment and cooling systems around the clock.

Linking large electricity loads to the US grid can take three to six years, according to Rystad ​estimates, ​prodding developers to explore…