The results indicate that: (a) the reliability and cost–benefit of BESS significantly vary with the reliability of the external utility power; (b) based on the 2022 utility power reliability data from various regions in China, in over 48% of the regions, the objective function. The results indicate that: (a) the reliability and cost–benefit of BESS significantly vary with the reliability of the external utility power; (b) based on the 2022 utility power reliability data from various regions in China, in over 48% of the regions, the objective function. As digital transformation accelerates, data centers are becoming the backbone of the digital economy, supporting everything from AI workloads to real-time analytics and autonomous vehicles. McKinsey analysis finds that globally, capital expenditures on data center infrastructure (excluding IT. The capex costs of data-centers are typically $10M/MW, with opex costs dominated by maintenance (c40%), electricity (c15-25%), labor, water, G&A and other. A 30MW data-center must generate $100M of revenues for a 10% IRR, while an AI data-center in 2025+ may need to charge $10/EFLOP of compute. DOE's Energy Storage Grand Challenge supports detailed cost and performance analysis for a variety of energy storage technologies to accelerate their development and deployment The U. Currently consuming approximately 1% of global electricity, this figure is projected to rise dramatically, with U. In this paper, we consider using energy storage in data centers for two applications in a joint fashion: reducing peak demand charges and enabling data cen-ters to participate in regulation markets.