HVDC systems and power electronics for grid stability
BOTTLENECKBespoke HVDC converter systems are split among three or four OEMs, and surging AI data center demand strains their limited engineering capacity.
High-power electronics that convert, control and stabilize bulk power flows across grids. AI data centers strain regional transmission, increasing need for flow control and asynchronous interconnection. Global HVDC converter market at $8.7bn in 2025; oligopoly of 3-4 OEMs captures value on bespoke systems.
High-power electronics-based systems converting, controlling and stabilising power flow: HVDC converters, FACTS devices, STATCOMs, synchronous condensers and grid-forming inverters.
What the evidence shows
Siemens Energy HVDC systems are the most efficient way of energy transmission over long distances using converters with thyristors or IGBT.
siemens-energy.comHyosung Heavy Industries provides HVDC transmission systems within its power system solutions portfolio, enhancing grid stability.
hvdcworld.comHitachi Energy has been a pioneer in the development of power electronics-based grid solutions including HVDC converters and STATCOMs.
hitachienergy.comWho controls it
Where it sits in the stack
Takes in: AC or DC power
Sends on: Controlled AC or DC power with managed reactive power, voltage and frequency
Related nodes
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