Information handling system peripheral port power bypass

An information handling system data port system includes plural data ports that support communication of data and power transfer with external devices, such as peripherals. A power transfer manager selectively establishes direct power transfer between data ports in support of power transfer between external devices, such as one external device acting as a power source and another external device acting as a power sink. The power transfer manager establishes direct power transfer with switches that bypass the information handling system power subsystem to provide improved power transfer efficiency.