Siemens has partnered with hydrogen fuel cell developer FuelCell Energy to support the development of fuel cell-based power generation, targeting data centers as a crucial offtaker.The companies signed a non-binding Memorandum of Understanding (MoU), under which Siemens will design and supply electrical balance-of-plant systems for fuel cell installations, supporting the deployment of commercial projects above 100MW.In addition, the companies will jointly develop distributed energy systems that combine fuel cells, battery energy storage, microgrid controls, and medium-voltage electrical equipment, encompassing engineering, integration, and delivery. As well as evaluating ways to scale deployments to improve timelines and reduce costs.“By combining FuelCell Energy's fuel cell technology with Siemens' electrical infrastructure, service, and integration expertise, we can deliver scalable, on-site power solutions for energy-intensive applications – helping customers deploy power faster, scale with confidence, and advance their transition to lower-emission, more resilient energy systems," said Kevin Brown, head of sustainability solutions, electrification, and automation at Siemens Smart Infrastructure USA."This collaboration with Siemens enables us to deliver what the market has been asking for—bringing generation and electrical infrastructure together into a single, scalable solution. For customers, that means reliable, on-site power that is faster to deploy and built to scale, beginning with the data centers driving today's demand,” added Shankar Achanta, chief product and technology officer at FuelCell Energy.FuelCell Energy is a carbonite fuel cell developer. It offers three core products to the data center market, including a 1.25MW system, a 2.5MW system, and a 12.5MW system. Its newest 12.5GW model was launched in March of this year.Last month, it signed its first binding data center power deal with US developer Fit Energy USA. The deal will see FuelCell supply up to 380MW of on-site fuel cell generation to power data centers behind the meter. If realized, it would be one of the largest fuel cell deployments to date.In addition to its latest deal with Fit Energy, the company has also signed two non-binding agreements in the space. In January, it partnered with investment company Sustainable Development Capital (SDC) to explore deploying up to 450MW of fuel cell power systems to support global data center growth. Before this, it partnered with AI data center developer Inuverse to explore deploying up to 100MW of fuel cell power at a data center in Daegu, South Korea.Fuel cells are gaining popularity within the data center market, offering a lower-carbon solution for developers seeking dispatchable power.The biggest player in the sector is Bloom Energy, which has signed a number of deals to power data centers within the US market. To date, it has signed agreements with AEP Ohio, Equinix, and Oracle to power data centers through its fuel cell technology.