Material Insights · Understanding the Material World

Internal combustion engines and gensets: Value chain

How data centres sparked a gas-engine boom

What this tab covers Who does what, from equipment makers to builders, owners, operators, traders and users, with the leading companies at each step.

Engine power is a mature industry of large engine makers, genset packagers and dealer networks; data centres have created a boom in gas-engine plants, with single orders now in the gigawatts.

The chain

Engine makers Genset packagers Distributors, installers and developers Users
StageWhat happensLeading companies
Engine makersDesign and cast engine blocks, crankshafts and fuel systems, from car engines to 18 MW power-plant engines.Caterpillar (United States)
Cummins (United States)
Wärtsilä (Finland)
INNIO Jenbacher (Austria)
Rolls-Royce Power Systems, mtu (Germany and United Kingdom)
Everllence (Germany)
Weichai Power (China)1413
Genset packagersCombine the engine with an alternator, controls, enclosure and fuel tank. Generac had 2025 sales of USD 4.2 billion and expects commercial and industrial sales to grow about 30% in 2026, mainly from data centres. Cummins sells standby and prime gensets from 2 kW to 3.5 MW and names Caterpillar, mtu and Kohler/SDMO (now Rehlko) as its main rivals.Generac (United States)
Cummins (United States)
Rehlko, formerly Kohler Energy (United States)
Caterpillar (United States)
Rolls-Royce Power Systems, mtu (Germany)
Volvo Penta (Sweden)4111213
Distributors, installers and developersSell, install and often run plants for clients, including power packs for data centres.Clarke Energy (United Kingdom, part of Rehlko)
VoltaGrid (United States)
Hunt Energy (United States)
EMPower (United States)412
UsersUtilities for flexible balancing plants, data centres for primary and backup power, factories, hospitals and homes for backup, and vehicles and ships for propulsion. Rolls-Royce alone has installed more than 85,000 mtu emergency power systems.Kerrville Public Utility Board (United States)
Statera Energy (United Kingdom)
Toyota (Japan, vehicle engines)24

Sources

  1. Weichai unveils diesel engine with 53.09% brake thermal efficiency DieselNet, 2024
  2. Toyota Unveils More New Gasoline ICEs with 40% Thermal Efficiency SAE Mobility Engineering, 2018
  3. Engine Power Plants Surge as Data Centers Drive Unprecedented Demand POWER Magazine, 2026
  4. Generac reports fourth quarter and full-year 2025 results Generac Holdings, 2026
  5. Kohler Energy changes name to Rehlko Equipment World, 2024
  6. Cummins Inc. Form 10-K for fiscal year 2025 Cummins / US SEC, 2026