Layer 7 — Electrical: power distribution (grid to rack)

Position in the die→grid hierarchy: the building.

Electrical distribution from the grid to the rack: large power transformers and HV switchgear, MV/LV distribution, busway, UPS and batteries, backup generators and their controls, and the emerging 800 V DC architecture.

Layer 7 covers everything that moves power from the utility grid to the rack once it crosses the property line: substations and large power transformers, HV and MV switchgear packaged into E-houses, step-down transformers, LV switchgear and busway, and the floor PDUs and transfer switches that hand load off to the rack (layer 4 picks it up from there). Running alongside that main chain are the systems that keep power available and stable — UPS and its batteries, supercapacitors that absorb the fast load swings synchronized GPU clusters create, backup generators and the switchgear that parallels them into fleets, and the metering that measures all of it. An emerging 800 V DC and solid-state-transformer architecture sits at the edge of the layer, aimed at cutting conversion losses in future rack generations. The chain is sequential and largely non-substitutable: a shortfall at any single stage, from the substation transformer to the rack PDU, caps how much load capacity a campus can actually energize regardless of how much IT equipment is sitting ready. The clearest choke points sit upstream, where large power transformers and HV switchgear are custom-engineered, utility-qualified products with long lead times and concentrated manufacturing capacity; further downstream, the category is broader and better supplied, so competitive position within a product line matters more than scarcity of the product line itself.

Parts in this layer

Public plays in this layer

Listed companies with the most part placements in layer 7. Placement count is breadth, not revenue exposure.

CompanyTickerParts herePriceMkt cap
EatonETN13366 USD142.2B
ABBABBN.SW1267.78 CHF122.5B
Schneider ElectricSU.PA11231 EUR136.1B
SiemensSIE.DE8257 EUR196.3B
VertivVRT7194 USD74.8B
Mitsubishi Electric6503.T74770 JPY9.76T
Delta Electronics2308.TW61560 TWD4.05T
LegrandLR.PA5124 EUR32.5B
GE VernovaGEV5815 USD217.1B
Siemens EnergyENR.DE4119 EUR101.0B
Hyundai Electric267260.KS4470000 KRW16.92T
LS Electric010120.KS3156900 KRW23.34T
Fuji Electric6504.T313170 JPY1.92T
CumminsCMI3517 USD71.2B
CaterpillarCAT3687 USD315.8B
WolfspeedWOLF222.93 USD1.2B
WEGWEGE3.SA242.73 BRL179.3B
WärtsiläWRT1V.HE227.23 EUR16.1B
Sungrow300274.SZ272.20 CNY149.7B
PowellPOWL2151 USD5.5B
onsemiON272.25 USD28.1B
nVentNVT2125 USD20.3B
Nari600406.SS223.42 CNY188.1B
InfineonIFX.DE248.67 EUR63.2B
Hyosung Heavy298040.KS21877000 KRW17.48T