×
Request Free Sample ×
Data Center Cooling Market Research Report – Forecast to 2035 Infographic

Kindly complete the form below to receive a free sample of this Report

* Please use a valid business email

Leading companies partner with us for data-driven Insights

clients tt-cursor
Hero Background

Data Center Cooling Market

ID: MRFR/ICT/1381-HCR
200 Pages
Aarti Dhapte
February 2026

Data Center Cooling Market Size, Share & Trends Analysis Research Report By Cooling Technique (Air-based Cooling, Liquid-based Cooling, Evaporative Cooling, Hybrid Cooling), By Data Center Type (Enterprise Data Center, Colocation Data Center, Hyperscale Data Center), By Component (Chillers, Cooling Towers, Condensers, Air Conditioners), By End User (IT and Telecom, BFSI, Government and Public Sector, Healthcare) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Forecast to 2035

Share:
Download PDF ×

We do not share your information with anyone. However, we may send you emails based on your report interest from time to time. You may contact us at any time to opt-out.

Data Center Cooling Market Infographic
Purchase Options
Compare License
Summary Table of Contents Segmentation Download PDF

Data Center Cooling Market Summary

As per Market Research Future analysis, the Data Center Cooling Market Size was estimated at 8.6 USD Billion in 2024. The Data Center Cooling industry is projected to grow from 9.065 USD Billion in 2025 to 15.35 USD Billion by 2035, exhibiting a compound annual growth rate (CAGR) of 5.41% during the forecast period 2025 - 2035

Key Market Trends & Highlights

The Data Center Cooling Market is experiencing a transformative shift towards advanced cooling solutions driven by technological innovations and sustainability efforts.

  • The adoption of liquid cooling technologies is gaining traction, particularly in the fastest-growing hyperscale data center segment.
  • Energy efficiency and sustainability remain central themes, influencing cooling strategies across the largest enterprise data center segment.
  • Integration of smart technologies is becoming increasingly prevalent, enhancing operational efficiency and monitoring capabilities.
  • Rising demand for data centers and increased focus on energy efficiency are key drivers propelling market growth in North America and Asia-Pacific.

Market Size & Forecast

2024 Market Size 8.6 (USD Billion)
2035 Market Size 15.35 (USD Billion)
CAGR (2025 - 2035) 5.41%

Major Players

Schneider Electric (FR), Vertiv (US), Rittal (DE), Airedale International (GB), Stulz (DE), Mitsubishi Electric (JP), Emerson Electric (US), CoolIT Systems (CA), Daikin (JP), Johnson Controls (US)

Our Impact
Enabled $4.3B Revenue Impact for Fortune 500 and Leading Multinationals
Partnering with 2000+ Global Organizations Each Year
30K+ Citations by Top-Tier Firms in the Industry

Data Center Cooling Market Trends

The Data Center Cooling Market is currently experiencing a transformative phase, driven by the increasing demand for efficient cooling solutions in data centers. Liquid cooling for data centers is gaining adoption as operators seek solutions that balance performance, energy efficiency, and environmental impact. The use of liquid cooling in data centers is accelerating due to rising server power densities and the growth of AI workloads. The types of data center cooling systems include air-based, liquid-based, evaporative, and hybrid solutions, each suited to specific operational needs.

As organizations continue to expand their digital infrastructure, the need for effective thermal management becomes paramount. This market appears to be influenced by various factors, including the rising energy costs and the growing emphasis on sustainability. Companies are increasingly seeking innovative cooling technologies that not only enhance performance but also reduce environmental impact.

Furthermore, advancements in cooling methodologies, such as liquid cooling and immersion cooling, are gaining traction, suggesting a shift towards more sophisticated solutions. Efficient cooling data centers are essential to maintaining optimal server performance and reducing downtime caused by overheating. Advanced cooling systems for data centers help manage rising thermal loads driven by increasing server density and cloud adoption. Data center air conditioning remains a widely adopted solution, particularly in enterprise facilities with moderate cooling requirements. Data center air conditioning units are commonly deployed to ensure consistent temperature control across server rooms and IT infrastructure. In addition, the Data Center Cooling Market seems to be shaped by the ongoing evolution of data center designs. The trend towards hyper-scale data centers necessitates more efficient cooling systems to manage the heat generated by high-density server configurations. As a result, there is a noticeable movement towards modular and scalable cooling solutions that can adapt to changing demands. This adaptability may provide organizations with the flexibility needed to optimize their operations while maintaining energy efficiency. Overall, the Data Center Cooling Market is poised for growth, driven by technological advancements and the increasing need for sustainable practices in the digital age.

Various data center cooling methods, including air-based, liquid-based, and evaporative cooling, are used depending on facility size and workload density. Modern data center cooling solutions focus on improving energy efficiency while supporting high-performance computing environments. A robust data center cooling system is critical for maintaining optimal operating conditions and minimizing power consumption. Data center cooling systems are evolving to support modular, scalable architectures suitable for hyperscale and colocation facilities. Innovations in data center cooling technologies, such as liquid and immersion cooling, are gaining traction due to superior heat dissipation capabilities.

The data center liquid cooling market is rapidly gaining traction as hyperscale data centers and high‑performance computing environments seek more energy‑efficient thermal management solutions. Liquid cooling systems offer superior heat dissipation compared to traditional air‑based cooling, enabling enhanced performance and lower operational costs in modern infrastructures. Continued advances in immersion and direct‑to‑chip technologies are expected to fuel substantial growth through the forecast period.

A liquid cooled server rack is designed to handle higher heat loads, making it suitable for AI, HPC, and hyperscale applications. The liquid cooling data center model is increasingly adopted to support next-generation workloads and sustainability initiatives. Liquid cooling data center companies are focusing on scalable and modular designs to meet the needs of rapidly expanding data centers.

Adoption of Liquid Cooling Technologies

The Data Center Cooling Market is witnessing a notable shift towards liquid cooling technologies. These systems offer enhanced thermal management capabilities compared to traditional air cooling methods. Liquid cooling appears to provide better efficiency, particularly in high-density environments, where heat generation is substantial. As organizations seek to optimize performance and reduce energy consumption, the adoption of these advanced cooling solutions is likely to increase.

Data center immersion cooling is emerging as an effective approach for high-density workloads by submerging servers in thermally conductive fluids. Data center liquid cooling offers improved thermal efficiency compared to traditional air-based systems, particularly in hyperscale environments.

Focus on Energy Efficiency and Sustainability

There is a growing emphasis on energy efficiency and sustainability within the Data Center Cooling Market. Organizations are increasingly aware of their environmental impact and are seeking solutions that minimize energy usage. This trend suggests a potential shift towards eco-friendly cooling systems, which may include renewable energy sources and innovative designs aimed at reducing carbon footprints. Companies that prioritize sustainability may gain a competitive edge in this evolving landscape.

Advancements in data center technology are driving the adoption of intelligent cooling systems integrated with real-time monitoring tools. Data center water cooling solutions are gaining popularity due to their ability to deliver efficient heat removal while reducing energy consumption. Direct to chip cooling enables precise thermal management by delivering coolant directly to processors, improving efficiency in high-density systems. An immersion cooling data center design supports extreme computing workloads by significantly reducing cooling energy requirements.

Integration of Smart Technologies

The integration of smart technologies into cooling systems is becoming more prevalent in the Data Center Cooling Market. These technologies, which include IoT sensors and advanced monitoring systems, enable real-time data analysis and optimization of cooling operations. This trend indicates a move towards more intelligent and responsive cooling solutions, which can enhance operational efficiency and reduce costs. As data centers become more complex, the role of smart technologies in cooling management is likely to expand.

Data Center Cooling Market Drivers

Growth of Edge Computing

The proliferation of edge computing is reshaping the landscape of data centers and, consequently, the Data Center Cooling Market. As more data processing occurs closer to the source of data generation, smaller, localized data centers are emerging. These facilities require efficient cooling solutions tailored to their unique operational needs. The demand for compact and effective cooling systems is likely to increase as edge computing continues to expand. This trend presents opportunities for the Data Center Cooling Market to innovate and develop specialized cooling technologies that cater to the specific requirements of edge data centers, thereby driving market growth.

Rising Demand for Data Centers

The increasing reliance on digital services and cloud computing has led to a surge in data center construction. As businesses expand their online presence, the need for efficient data center cooling solutions becomes paramount. The Data Center Cooling Market is experiencing growth, with projections indicating a compound annual growth rate of approximately 10% over the next few years. This demand is driven by the necessity to maintain optimal operating temperatures for servers, which, if exceeded, can lead to hardware failures and increased operational costs. Consequently, data center operators are investing in advanced cooling technologies to ensure reliability and performance, thereby propelling the Data Center Cooling Market forward.

Regulatory Compliance and Standards

As environmental concerns intensify, regulatory bodies are implementing stringent standards for energy consumption and emissions. Data centers are significant consumers of energy, and compliance with these regulations is crucial. The Data Center Cooling Market is influenced by the need for solutions that not only meet these standards but also enhance energy efficiency. For instance, regulations may mandate the use of cooling systems that minimize water usage or reduce carbon footprints. This regulatory landscape encourages innovation in cooling technologies, pushing companies to adopt more sustainable practices. As a result, the Data Center Cooling Market is likely to see a shift towards eco-friendly cooling solutions that align with regulatory requirements.

Increased Focus on Energy Efficiency

Energy efficiency has become a critical focus for data center operators, driven by rising energy costs and environmental concerns. The Data Center Cooling Market is adapting to this trend by offering solutions that significantly reduce energy consumption. For instance, the implementation of free cooling techniques can lower energy usage by utilizing ambient air for cooling during certain conditions. This shift towards energy-efficient cooling systems is not only cost-effective but also aligns with corporate sustainability goals. As organizations strive to minimize their carbon footprints, the Data Center Cooling Market is likely to experience a surge in demand for innovative cooling technologies that enhance energy efficiency.

Technological Advancements in Cooling Solutions

The Data Center Cooling Market is witnessing rapid advancements in cooling technologies, including liquid cooling and immersion cooling systems. These innovations offer enhanced thermal management capabilities, allowing data centers to operate at higher densities without compromising performance. For example, liquid cooling systems can reduce energy consumption by up to 30% compared to traditional air cooling methods. As data centers evolve to accommodate more powerful servers, the demand for these advanced cooling solutions is expected to rise. This trend not only improves operational efficiency but also contributes to the overall growth of the Data Center Cooling Market, as operators seek to optimize their infrastructure.

Market Segment Insights

By Cooling Technique: Air-based Cooling (Largest) vs. Liquid-based Cooling (Fastest-Growing)

In the Data Center Cooling Market, air-based cooling has emerged as the dominant technique, capturing the largest portion of the market share. It accounts for a significant percentage of installations due to its simplicity and lower initial costs. In contrast, liquid-based cooling systems are increasingly gaining traction, particularly in large data centers where efficiency and performance are critical. These systems are emerging as a preferred choice among operators, especially those looking to optimize energy usage and cooling capacity for high-density workloads. The growth trends in the cooling technique segment are largely driven by the increasing demand for energy-efficient solutions and the rising density of computing resources. As data centers continue to evolve, there is a clear shift towards sophisticated cooling techniques that can provide superior heat management. Liquid-based cooling is becoming more prominent due to its ability to handle the specific requirements of advanced computing while reducing energy consumption, thereby making it the fastest-growing technique in the market.

Air-based Cooling (Dominant) vs. Evaporative Cooling (Emerging)

Air-based cooling remains the dominant technique in the Data Center Cooling Market, characterized by its effectiveness and lower operational complexity, making it ideal for facilities with moderate cooling needs. Conversely, evaporative cooling is gaining attention as an emerging technique that utilizes water evaporation to cool the air, significantly reducing energy consumption compared to traditional methods. While air-based systems flourish in numerous installations for their reliability, evaporative cooling offers a sustainable alternative that drives operational cost savings. This technique is particularly well-suited for regions with suitable climatic conditions, thereby attracting interest for new data center projects focused on increasing efficiency while minimizing environmental impact.

By Data Center Type: Enterprise Data Center (Largest) vs. Hyperscale Data Center (Fastest-Growing)

In the Data Center Cooling Market, the Enterprise Data Center segment holds the largest share, primarily driven by established companies that prioritize reliability and customization in cooling solutions. On the other hand, the Colocation Data Center segment has been gaining traction due to the increasing demand for shared infrastructure, allowing businesses to access cutting-edge technology without huge capital expenditures. In contrast, the Hyperscale Data Center segment, though smaller in market share currently, is on a rapid growth trajectory due to the rising need for extensive data processing and storage capacity from cloud service providers.

Enterprise Data Center (Dominant) vs. Colocation Data Center (Emerging)

The Enterprise Data Center emerges as the dominant player in the sector, characterized by its focus on tailored solutions that meet the specific needs of larger organizations. These facilities are typically owned and operated by single entities, including large corporations or government agencies, which allows for a higher degree of control over cooling infrastructure and energy efficiency strategies. In contrast, the Colocation Data Center represents an emerging segment, providing flexible and scalable infrastructure for multiple clients. As businesses increasingly migrate to collaborative environments, colocation services become attractive, offering reduced operational costs and shared resources while maintaining efficient cooling systems.

By Component: Chillers (Largest) vs. Cooling Towers (Fastest-Growing)

In the Data Center Cooling Market, the component segment is predominantly led by chillers, which command the largest market share due to their widespread use in large-scale facilities for reliable temperature regulation. Cooling towers are emerging rapidly, gaining traction among operators seeking cost-effective yet efficient cooling solutions. Underpinning this distribution is the extensive utilization of chillers in data center infrastructure, while cooling towers cater to the growing demand for sustainable and energy-efficient systems.

Chillers (Dominant) vs. Cooling Towers (Emerging)

Chillers remain the dominant force in the Data Center Cooling Market, renowned for their effectiveness in eliminating heat from server rooms and maintaining optimal operating conditions. They are widely preferred for their scalability and ability to manage fluctuating cooling demands. Meanwhile, cooling towers are quickly becoming an emerging choice for cooling solutions, thanks to their water-efficient designs and potential for energy savings. Their ability to operate in tandem with chillers also enhances overall system efficiency, making them an attractive option for data center operators aiming to reduce operational costs while adhering to sustainability goals.

By End User: IT and Telecom (Largest) vs. Healthcare (Fastest-Growing)

In the Data Center Cooling Market, the distribution of market share among end-user segments reveals that the IT and Telecom sector holds the largest share, driven by the continuous growth of digital services and data reliance. Following closely, the BFSI, Government, and Public Sector, as well as Healthcare segments are also significant players in the market, as they increasingly depend on sophisticated cooling solutions to manage their data centers effectively. The market landscape suggests that these end users are adapting to rapid technological advancements, with a focus on energy efficiency and superior cooling capacities. Growth trends indicate that the Healthcare sector is the fastest-growing segment, propelled by the rise in electronic health records and telemedicine advancements. Regulatory requirements and the need for robust data management systems further fuel the demand for efficient cooling solutions. Similarly, the IT and Telecom sector continues to evolve, influenced by increasing data traffic and the expansion of cloud services. This growth drives innovation in cooling technologies, ensuring optimal performance in these critical environments.

IT and Telecom: Dominant vs. Healthcare: Emerging

The IT and Telecom segment remains dominant in the Data Center Cooling Market due to its extensive demand for reliable and efficient cooling solutions essential for managing high-powered servers and extensive networking equipment. Companies within this sector prioritize innovations that reduce energy consumption while maximizing cooling efficiency, ensuring that their data centers operate smoothly even during peak loads. On the other hand, the Healthcare segment, though emerging, is rapidly gaining traction as hospitals and clinics expand their digital infrastructure. The urgency for real-time data management in patient care is pushing healthcare providers to adopt advanced cooling technologies to safeguard sensitive patient data against heat-related risks. As these technologies advance, they are increasingly tailored to meet the specific regulatory standards of the healthcare sector.

Get more detailed insights about Data Center Cooling Market
Request Free Sample

Regional Insights

North America : Innovation and Sustainability Leader

North America is the largest market for data center cooling, holding approximately 40% of the global share. The region's growth is driven by the increasing demand for cloud services, big data analytics, and stringent energy efficiency regulations. The U.S. and Canada are the primary contributors, with a focus on sustainable cooling technologies and innovative solutions to meet rising energy demands. Leading countries in this region include the United States and Canada, where major players like Schneider Electric, Vertiv, and Emerson Electric are headquartered. The competitive landscape is characterized by continuous innovation and partnerships aimed at enhancing energy efficiency. The presence of advanced infrastructure and a strong regulatory framework further supports market growth, making North America a hub for cutting-edge cooling technologies.

Europe : Regulatory-Driven Market Growth

Europe is the second-largest market for data center cooling, accounting for approximately 30% of the global market share. The region's growth is propelled by stringent environmental regulations and a strong push towards sustainability. Countries like Germany and the UK are leading the charge, with initiatives aimed at reducing carbon footprints and enhancing energy efficiency in data centers. Germany, the UK, and France are key players in this market, with companies such as Rittal and Airedale International leading the way. The competitive landscape is marked by a focus on innovative cooling solutions that comply with EU regulations. The presence of numerous data centers and a growing emphasis on green technologies further enhance the market's potential, positioning Europe as a leader in sustainable cooling practices.

Asia-Pacific : Emerging Market Potential

Asia-Pacific is witnessing rapid growth in the data center cooling market, holding approximately 25% of the global share. The region's expansion is driven by the increasing adoption of cloud computing, IoT, and digital transformation initiatives. Countries like China and India are at the forefront, with significant investments in data center infrastructure and energy-efficient cooling solutions. China, Japan, and India are the leading countries in this market, with key players such as Mitsubishi Electric and Daikin making substantial contributions. The competitive landscape is evolving, with a mix of local and international companies vying for market share. The region's focus on energy efficiency and sustainability is shaping the future of data center cooling, making it a critical area for investment and innovation.

Middle East and Africa : Resource-Rich Growth Opportunities

The Middle East and Africa region is emerging as a significant player in the data center cooling market, holding approximately 5% of the global share. The growth is driven by increasing investments in data centers, particularly in the UAE and South Africa, fueled by the digital transformation and the rise of smart cities. Regulatory support for energy-efficient technologies is also a key driver. The UAE and South Africa are leading the market, with companies like CoolIT Systems and Johnson Controls establishing a strong presence. The competitive landscape is characterized by a growing number of local players and partnerships with international firms. As the region continues to develop its digital infrastructure, the demand for advanced cooling solutions is expected to rise, presenting lucrative opportunities for market participants.

Data Center Cooling Market Regional Image

Key Players and Competitive Insights

The Data Center Cooling Market is currently characterized by a dynamic competitive landscape, driven by the increasing demand for efficient cooling solutions amid the rapid growth of data centers globally. Leading data center cooling companies are investing in liquid cooling technologies to expand their portfolios and meet sustainability goals. Key players such as Schneider Electric (France), Vertiv (US), and Emerson Electric (US) are strategically positioning themselves through innovation and partnerships. Schneider Electric (France) emphasizes sustainability and energy efficiency, while Vertiv (US) focuses on enhancing its product portfolio through technological advancements. Emerson Electric (US) is also investing in digital transformation initiatives, which collectively shape a competitive environment that prioritizes efficiency and sustainability.
In terms of business tactics, companies are increasingly localizing manufacturing and optimizing supply chains to enhance responsiveness to market demands. The market structure appears moderately fragmented, with several key players exerting influence over various segments. This fragmentation allows for niche players to thrive, while larger companies leverage their scale to drive innovation and efficiency.
In August 2025, Schneider Electric (France) announced a partnership with a leading cloud service provider to develop a new line of energy-efficient cooling solutions tailored for hyperscale data centers. This strategic move not only reinforces Schneider's commitment to sustainability but also positions the company to capture a larger share of the growing hyperscale segment, which is increasingly focused on energy efficiency.
In September 2025, Vertiv (US) launched a new line of modular cooling systems designed to enhance flexibility and scalability for data center operators. This innovation is particularly significant as it addresses the evolving needs of data centers that require adaptable solutions to manage fluctuating workloads. Vertiv's focus on modularity may provide a competitive edge in a market that values agility and responsiveness.
In July 2025, Emerson Electric (US) expanded its presence in the Asia-Pacific region by acquiring a local cooling solutions provider. This acquisition is indicative of Emerson's strategy to enhance its market footprint and leverage local expertise to better serve regional customers. Such strategic expansions are crucial for maintaining competitiveness in a rapidly evolving market.
As of October 2025, current trends in the Data Center Cooling Market include a pronounced shift towards digitalization, sustainability, and the integration of artificial intelligence in cooling solutions. Strategic alliances are increasingly shaping the landscape, enabling companies to pool resources and expertise to innovate more effectively. Looking ahead, competitive differentiation is likely to evolve from traditional price-based competition to a focus on innovation, advanced technology, and supply chain reliability, as companies strive to meet the growing demands of a more environmentally conscious market.

Key Companies in the Data Center Cooling Market include

Industry Developments

The Data Center Cooling Market has seen significant developments recently, primarily driven by increasing data center capacities and the growing demand for energy-efficient cooling solutions. Mitsubishi Electric, Schneider Electric, and Vertiv have been actively introducing innovative cooling technologies aimed at reducing energy consumption and improving heat management.

The data center market continues to expand sharply as cloud adoption, AI workloads, and digital transformation initiatives drive new capacity builds. This growth necessitates robust cooling strategies that can handle higher thermal loads, optimize power usage effectiveness (PUE), and support sustainability targets across regions.

Vertiv, a global provider of critical digital infrastructure and continuity solutions, announced in December 2023 that it had acquired CoolTera Ltd., a company that specializes in the distribution of refrigerant for liquid cooling technology in data centers. The objective of this acquisition is to enhance Vertiv's capacity to deploy AI solutions on a large scale and to enhance its capacity to satisfy the needs of global data center clients.

CoolTera is a company that specializes in the development and production of manifolds, secondary fluid networks (SFN), and coolant distribution units (CDU) that are specifically designed for liquid cooling solutions in data centers.Fujitsu and Microsoft announced a global partnership in May 2023 to streamline the process of "sustainability transformation" and aid enterprises in transitioning their duties to the cloud. Fujitsu will capitalize on its proficiency in data center infrastructure, which Microsoft's Azure cloud computing platform will enhance. This strategic partnership provides businesses with a comprehensive solution for the modernization of their IT infrastructure.

Schneider Electric and Compass Datacenters expanded their partnership in November 2023 by signing a multi-year agreement that was valued at USD 3 billion. The primary objective of this initiative is to manufacture and distribute prefabricated modular data center solutions that are prefabricated. The objective is to optimize their supply chains to guarantee the cost-effective, dependable, and expedited delivery of finished products.

Future Outlook

Data Center Cooling Market Future Outlook

The Data Center Cooling Market is projected to grow at a 5.41% CAGR from 2025 to 2035, driven by increasing data center demands and energy efficiency regulations.

New opportunities lie in:

  • Development of AI-driven cooling management systems Expansion of liquid cooling solutions for high-density servers Integration of renewable energy sources in cooling operations

By 2035, the market is expected to be robust, driven by innovation and sustainability initiatives.

Market Segmentation

Data Center Cooling Market End User Outlook

  • IT and Telecom
  • BFSI
  • Government and Public Sector
  • Healthcare

Data Center Cooling Market Component Outlook

  • Chillers
  • Cooling Towers
  • Condensers
  • Air Conditioners

Data Center Cooling Market Data Center Type Outlook

  • Enterprise Data Center
  • Colocation Data Center
  • Hyperscale Data Center

Data Center Cooling Market Cooling Technique Outlook

  • Air-based Cooling
  • Liquid-based Cooling
  • Evaporative Cooling
  • Hybrid Cooling

Report Scope

MARKET SIZE 2024 8.6(USD Billion)
MARKET SIZE 2025 9.065(USD Billion)
MARKET SIZE 2035 15.35(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR) 5.41% (2025 - 2035)
REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR 2024
Market Forecast Period 2025 - 2035
Historical Data 2019 - 2024
Market Forecast Units USD Billion
Key Companies Profiled Schneider Electric (FR), Vertiv (US), Rittal (DE), Airedale International (GB), Stulz (DE), Mitsubishi Electric (JP), Emerson Electric (US), CoolIT Systems (CA), Daikin (JP), Johnson Controls (US)
Segments Covered Cooling Technique, Data Center Type, Component, End User, Regional
Key Market Opportunities Integration of advanced cooling technologies to enhance energy efficiency in the Data Center Cooling Market.
Key Market Dynamics Rising demand for energy-efficient cooling solutions drives innovation and competition in the Data Center Cooling Market.
Countries Covered North America, Europe, APAC, South America, MEA

Market Highlights

Author
Aarti Dhapte
Team Lead - Research

She holds an experience of about 6+ years in Market Research and Business Consulting, working under the spectrum of Information Communication Technology, Telecommunications and Semiconductor domains. Aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. Her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.

Get In Touch
Leave a Comment

FAQs

What is the projected market valuation of the Data Center Cooling Market by 2035?

The Data Center Cooling Market is projected to reach a valuation of 15.35 USD Billion by 2035.

What was the market valuation of the Data Center Cooling Market in 2024?

In 2024, the overall market valuation was 8.6 USD Billion.

What is the expected CAGR for the Data Center Cooling Market during the forecast period 2025 - 2035?

The expected CAGR for the Data Center Cooling Market during the forecast period 2025 - 2035 is 5.41%.

Which cooling technique segment is anticipated to grow the most by 2035?

The Air-based Cooling segment, valued at 6.0 USD Billion in 2035, appears to be the most promising among cooling techniques.

What are the projected values for Liquid-based Cooling by 2035?

Liquid-based Cooling is projected to reach a value of 4.5 USD Billion by 2035.

How does the valuation of Hyperscale Data Centers compare to Colocation Data Centers by 2035?

By 2035, Hyperscale Data Centers are expected to be valued at 4.75 USD Billion, surpassing Colocation Data Centers at 4.5 USD Billion.

What is the expected market size for Chillers in 2035?

Chillers are projected to reach a market size of 4.65 USD Billion by 2035. According to the latest analysis, the size of the data center cooling market was estimated at approximately USD 8.6 billion in 2024 and is projected to expand significantly through 2035, reflecting ongoing demand for efficient thermal management solutions. Growth is underpinned by rising data center deployments, increasing IT load densities, and the shift toward greener cooling technologies.

Which end-user segment is likely to see the highest growth by 2035?

The IT and Telecom sector is likely to see the highest growth, with a projected value of 6.2 USD Billion by 2035.

Who are the key players in the Data Center Cooling Market?

Key players in the Data Center Cooling Market include Schneider Electric, Vertiv, Rittal, and others.

What is the projected value of Cooling Towers by 2035?

Cooling Towers are projected to reach a value of 3.12 USD Billion by 2035.

Research Approach

Research Methodology on Data Center Cooling Market

ABSTRACT

This study aims to conduct a thorough and rigorous examination of the global data centre cooling market. The research report provides in-depth insights into the market dynamics and trends, drivers, opportunities, and challenges associated with the market. To gain an accurate understanding of the market, it will include an extensive analysis of historical data points, current market conditions, and the prevailing regulatory and technological advances in the industry. Also, in-depth interviews with key industry executives and reviews of the overall industry trends and standings are conducted. Lastly, the estimated revenue and growth rate of the data centre cooling market in the short and long run, along with the most attractive segments and regional market shares, is expected to provide an elaborate estimate of the overall market size.

INTRODUCTION

Data centre cooling is an emerging and rapidly growing segment, particularly due to its ability to efficiently cool large-scale data centres. The demand for data center cooling solutions is expected to grow considerably over the next few years due to the increased utilization of technology powered by the Internet of Things (IoT). It is estimated that the data center cooling market is likely to grow at a steady double-digit growth rate over the forecast period 2023 to 2030.

Data centers are highly sensitive devices and, therefore, it is of utmost importance to ensure that they are constantly cooled and not exposed to extreme hot or cold temperatures. As such, the demand for data center cooling solutions has been growing very quickly in recent years in order to meet the increasing heat emissions of newly installed data centers and in order to protect against system meltdowns. The rapid rise in demand for data center cooling can be attributed to the ever-growing demand for data storage and processing power for enterprises, cloud providers, as well as government organizations. Additionally, the Government of India is continuously promoting the usage of data centers, which is further assisting the growth of the data center cooling market.

RESEARCH OBJECTIVE

The main objective of this research report is to gain insights into the global data center cooling market and to provide a profound understanding of the drivers, opportunities, and challenges associated with it. Additionally, the report also aims to provide an elaborate market analysis of the overall industry trends, estimations, and market share by region, type, and application.

RESEARCH METHODOLOGY

This research report has been conducted with the help of primary and secondary research, based on extensive sources and qualitative and quantitative analysis. The sources include market reports, white papers, press releases, website content, company presentations, company annual reports, research articles, global regulatory bodies, government data, and industry reports. The primary research included extensive interviews with industry experts and industry leaders.

Furthermore, to ensure that the information collected is accurate and reliable, an extensive quality check process was conducted in which the details and facts provided were verified and cross-checked with the sources provided. The data collected from the market was further analyzed using advanced market research tools such as SWOT analysis, Porter’s five forces analysis, and PESTEL analysis. Finally, the report was presented in an easily digestible format and in a user-friendly language.

MARKET SEGMENTATION

  • By Type: Air Conditioner, Gaseous-Based Cooling Systems, etc.
  • By Application: Electrical & Electronics, Automotive, Industrial, etc.
  • By Region: North America (U.S., Canada, Mexico), Europe (Italy, Germany, France, U.K.), Asia-Pacific (China, India, Japan), South America (Brazil, Argentina), Middle East & Africa

DATA COLLECTION & VALIDATION

The data collected for this research report has been obtained from both primary and secondary sources. Primary sources such as expert interviews, surveys, and interviews with industry experts and leaders were used to collect information such as key opinions, opinions on various aspects, and insights on the data center cooling market. The survey helped in understanding the current trends, upcoming technologies, and competitive landscape of the market. The survey was conducted using web-based questionnaires, emails, and personal interviews. Furthermore, Secondary sources such as company websites, annual reports, SEC filings, press releases, research articles, white papers, financial reports, statistics, and databases were also used to gain a better understanding of the data center cooling market. The data collected from the secondary sources were further verified and validated using the primary sources by analyzing the accuracy of the data through industry expert interviews.

MARKET DYNAMICS

Drivers

  • Increasing Demand & Utilization of Data Centers
  • Growing Adoption of Data Center Stack Cooling Solutions
  • Growing Need for Energy Efficiency & Lowered Carbon Footprint
  • Growing Demand for Scalable and Cost-Effective Cooling Solutions

Restraints

  • High Cost of Installation & Maintenance of Infrastructures
  • Space & Weight Restrictions Preventing Adequate Cooling & Ventilation

Opportunities

  • Growing High-Performance Computing and Data Processing in Organizations
  • Increasing Investment in Research & Development in Cooling Technologies

Challenges

  • Unfavourable Government Regulations & Policies
  • Challenges in Real-Time Thermal Management & Cooling Systems

MARKET FORECAST

This research report provides a detailed analysis of the data center cooling market and estimates the market performance for the forecast period 2023-2030. In order to gain an accurate understanding of the market, it will include an extensive analysis of historical data points, current market conditions, and the prevailing regulatory and technological advances in the industry. In addition, the estimated revenue and growth rate of the data center cooling market in the short and long run, along with the most attractive segments and regional market shares, is expected to provide an elaborate estimate of the overall market size.

CONCLUSION

The research report concludes that the global data center cooling market is expected to grow at a steady double-digit growth rate over the forecast period. The drivers for the market growth are attributed to the increasing usage of data centers, the growing adoption of the data center stack cooling solutions, the need for energy efficiency and lowered carbon footprints, and the growing demand for cost-effective and scalable cooling solutions. However, the market growth is restrained by the high cost of installation and maintenance of infrastructures, and by weight and space restrictions. Furthermore, opportunities such as the increasing investment in research & development in cooling technologies and the growing high-performance computing and data processing in organizations continue to open new revenue streams in the market.

Download Free Sample

Kindly complete the form below to receive a free sample of this Report

No regional reports available for this market.

No country-specific reports available for this market.

Customer Stories
Case Study
Aerospace & Defense
Future of Dismounted Soldier Systems Market Trends & Adoption Roadmap 2019–2035

Compare Licence

×
Features License Type
Single User Multiuser License Enterprise User
Price $4,950 $5,950 $7,250
Maximum User Access Limit 1 User Upto 10 Users Unrestricted Access Throughout the Organization
Free Customization ✓ ✓ ✓
Direct Access to Analyst ✓ ✓ ✓
Deliverable Format ✓ ✓ ✓
Platform Access ✗ ✗ ✓
Discount on Next Purchase 10% 15% 15%
Printable Versions ✗ ✗ ✓