Data Center Cooling Market by Offering, Type of Cooling, Data Center Type, Application

List of Tables

[181 Pages Report] The Data Center Cooling Market size was estimated at USD 13.04 billion in 2023 and expected to reach USD 14.52 billion in 2024, at a CAGR 11.65% to reach USD 28.23 billion by 2030.

Data center cooling refers to the various processes and technologies used to maintain an optimal temperature within a data center environment. Data centers include many servers and networking equipment that generate significant amounts of heat during operation. Effective cooling is crucial to ensure that this equipment operates within its safe temperature thresholds, thereby maximizing reliability and performing efficiently. The escalating requirement for data center services, fueled by big data analytics, artificial intelligence, and the implementation of machine learning algorithms across industries, has propelled the construction of new data centers around the world, stimulating the adoption of modern cooling solutions that are scalable, adaptable to various climates, and capable of sustaining the increased heat loads imposed by high-performance computing systems. However, technical issues in data center cooling solutions may adversely impact their functionality and prevent end-use sectors from using data center cooling solutions. Moreover, ongoing research and development to innovate and offer energy-efficient, environmentally friendly, and cost-effective solutions that meet the evolving requirements of data center operators are anticipated to expand the use of data center cooling solutions worldwide.

KEY MARKET STATISTICS
Base Year [2023]	USD 13.04 billion
Estimated Year [2024]	USD 14.52 billion
Forecast Year [2030]	USD 28.23 billion
CAGR (%)	11.65%

Offering: Significant penetration of data center cooling services

Data center cooling services are designed to assist data centers in achieving optimal operational efficiency and cooling management. Comprehensive services that address the entire lifecycle of data center cooling infrastructures, from initial assessment to ongoing operations, are provided. Consulting services assist clients in navigating complex cooling requirements and ensure that cooling strategies are efficient and sustainable. Insights into site selection, capacity planning, and cooling system design to align with business objectives are delivered by consulting services. The installation and deployment of cooling systems are critical to data center operations. Services offer precision in deploying advanced cooling solutions, ensuring minimal disruption to existing operations. Comprehensive maintenance and support plan services are provided to ensure continuous operational integrity of cooling systems. These services include regular inspections, performance monitoring, emergency repairs, and system optimizations to ensure cooling infrastructure operates at peak efficiency year-round. Robust air conditioning solutions designed for data centers ensure a controlled and stabilized environment. Chilling units provide efficient heat rejection for data centers of all sizes. Utilizing advanced refrigeration cycles helps maintain the desired temperatures within the facility, resulting in enhanced performance and reliability of computing equipment. State-of-the-art control systems grant precise management of data center cooling operations. The incorporation of intelligent controls automates temperature settings, monitors system performance, and provides alerts for anomalies, facilitating proactive management of the cooling infrastructure. Cooling towers offer an energy-efficient method of removing heat from the data center's atmosphere. These systems are engineered to optimize heat exchange processes, significantly reducing the reliance on mechanical cooling and thus lowering energy consumption. Economizer systems leverage external environmental conditions to cool data center facilities, which can reduce energy costs. Economizer systems that integrate seamlessly with existing cooling architectures to maximize cost savings and energy efficiency are widely used in data centers. Liquid cooling solutions offer superior heat dissipation for high-density data centers. By directly absorbing heat from critical components, these systems enable more aggressive cooling strategies, which are especially valuable in scenarios where traditional air cooling is insufficient.

Type of Cooling: Extensive demand for room-based cooling solutions

Room-based cooling is a traditional method for managing the heat generated by data centers. This approach involves conditioning the entire room where the data center equipment is housed. Air conditioning units or HVAC systems are installed on the room's perimeter and provide the necessary cooling to maintain an optimal ambient temperature. Cool air is distributed evenly throughout the facility to remove the heat that servers and other IT equipment dissipate. Room-based cooling generally depends on raised floor systems to facilitate airflow, requiring careful placement and equipment orientation to avoid hotspots. It's most effective in smaller or less densely populated data centers. Row/rack-based cooling represents a more targeted data center temperature control approach. This method involves placing cooling units directly adjacent to the rows of server racks (row-based) or incorporating cooling into the rack itself (rack-based). The principle behind this technique is to capture heat at its source, thus improving efficiency by reducing the distance that cool air must travel to reach the heat-generating components and the distance warm air travels before being expelled or re-cooled. This type of cooling can be more energy efficient and effective at addressing higher heat loads compared to room-based cooling. Row/rack-based systems can be tailored to a row's specific heat dissipation needs or even a single rack, allowing for more precise temperature control. Row/rack-based cooling is employed with containment strategies, such as hot aisle/cold aisle containment, to isolate further and manage the airflow.

Data Center Type: Surging deployment in large scale data centers

Large corporations own and operate enterprise data centers to support their business operations. These facilities demand highly reliable cooling systems to manage the substantial heat produced by their IT equipment. Precision cooling and advanced HVAC systems, including chillers, CRAC units, and in-row cooling solutions, are commonly integrated, emphasizing redundancy and hot-aisle/cold-aisle layouts to maintain operational integrity and efficiency. Large-scale data centers, such as those operated by cloud service providers and colocation firms, handle substantial workloads and thus require extensive cooling capabilities. The efficiency of cooling measures is paramount, prompting the adoption of innovative technologies such as liquid immersion cooling, direct-to-chip cooling, and free cooling methods, which utilize external environmental conditions. These data centers also use advanced monitoring and control systems to optimize airflow and temperature distribution, emphasizing sustainability and energy efficiency at scale. Mid-size data centers benefit from various cooling methods tailored to their specific scale and operational needs. They often utilize traditional cooling arrangements, such as room-based CRAC units, with an increasing trend toward more efficient and modular cooling solutions. Techniques such as in-rack and in-row cooling are becoming more popular as they provide close-coupled cooling, reducing the overall energy footprint. Additionally, hot-aisle and cold-aisle containment strategies are implemented to improve cooling efficiency and lower energy consumption.

Application: Proliferation of data center cooling solutions in IT sector

The BFSI sector relies heavily on data centers for secure financial transactions, data storage, and processing. High-frequency trading, real-time fraud detection, and 24/7 online banking services generate significant heat due to continuous computing operations. Data center cooling in this sector is critical to ensure the reliability of hardware systems and maintain the integrity of sensitive financial data. Energy companies utilize data centers for various tasks, including exploration data analysis, grid management, and tracking renewable energy sources. Data center cooling systems in these data centers must be robust to deal with high-power computing equipment used for simulations and modeling. Healthcare institutions use data centers for electronic medical records, telemedicine, and research data analysis. Given the critical nature of patient data and the growing use of AI for diagnostics, data center cooling plays a vital role in maintaining optimal performance and reliability. IT companies have large-scale data centers that host servers for cloud computing, data storage, and application hosting services. These facilities demand advanced cooling systems to efficiently manage the heat generated by dense server configurations and high-performance computing tasks. Data center cooling solutions aim to optimize energy efficiency and reduce operational costs while ensuring the high availability of services. The retail industry employs data centers for eCommerce platforms, inventory management, and customer data analysis. Effective data center cooling systems ensure customer transactions are processed reliably and data analytics operations proceed without thermal-induced performance setbacks. Telecommunication companies maintain data centers for network infrastructure management, content delivery, and customer data processing. With the advent of 5G technology and the Internet of Things, telecom data centers are at the forefront of dealing with an exponential increase in data traffic. Efficient data center cooling systems are necessary to manage the heat generated by telecommunications equipment and ensure uninterrupted network services for users.

Regional Insights

The data center cooling market is evolving in the Americas owing to the presence of tech giants, a large number of data centers, and the demand for energy-efficient and advanced cooling systems. The escalating demand for data centers and stringent EU energy efficiency regulations drive Europe's data center cooling market. The Middle East, in particular, with its hot climate, creates a challenging environment for data center operation, propelling the demand for efficient data center cooling solutions. Africa's digital transformation is gradually increasing demand for data centers and associated cooling systems to support the increased IT load. The Asia-Pacific region is witnessing growth in the data center cooling market, primarily fueled by the surge in data consumption and the rising adoption of cloud services in economies such as China, Japan, India, and Singapore and supportive government policies regarding infrastructure development. The APAC region represents an increase in the adoption of innovative cooling techniques, such as immersion and district cooling, taking advantage of the varied climatic conditions to enhance efficiency.

FPNV Positioning Matrix

The FPNV Positioning Matrix is pivotal in evaluating the Data Center Cooling Market. It offers a comprehensive assessment of vendors, examining key metrics related to Business Strategy and Product Satisfaction. This in-depth analysis empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success: Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The Market Share Analysis is a comprehensive tool that provides an insightful and in-depth examination of the current state of vendors in the Data Center Cooling Market. By meticulously comparing and analyzing vendor contributions in terms of overall revenue, customer base, and other key metrics, we can offer companies a greater understanding of their performance and the challenges they face when competing for market share. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With this expanded level of detail, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Key Company Profiles

The report delves into recent significant developments in the Data Center Cooling Market, highlighting leading vendors and their innovative profiles. These include Abb Ltd., Alfa Laval AB, Asetek, Inc., Black Box Corporation, Climaveneta, Coolcentric, Danfoss A/S, Dell Inc., Delta Power Solutions, Exxon Mobil Corporation, Fujitsu Limited, Heatex, Hitachi, Ltd., Infineon Technologies AG, Munters, Nortek Air Solutions, LLC, NTT Limited, Raritan Inc., Rittal GmbH & Co. KG, Schneider Electric SE, SPX Cooling Tech, LLC, STULZ GMBH, The Dow Chemical Company, and Vertiv Group Corp..

Market Segmentation & Coverage

This research report categorizes the Data Center Cooling Market to forecast the revenues and analyze trends in each of the following sub-markets:

Offering
- Services
  - Consulting
  - Installation & Deployment
  - Maintenance & Support

Solution
- Air Conditioning
- Chilling Units
- Control Systems
- Cooling Towers
- Economizer Systems
- Liquid Cooling Systems

Type of Cooling
- Room-based Cooling
- Row/Rack-based Cooling

Data Center Type
- Enterprise Data Centers
- Large Scale Data Centers
- Mid Size Data Centers

Application
- BFSI
- Energy
- Healthcare
- IT
- Retail
- Telecom

Region
- Americas
  - Argentina
  - Brazil
  - Canada
  - Mexico
  - United States
    - California
    - Florida
    - Illinois
    - New York
    - Ohio
    - Pennsylvania
    - Texas
- Asia-Pacific
  - Australia
  - China
  - India
  - Indonesia
  - Japan
  - Malaysia
  - Philippines
  - Singapore
  - South Korea
  - Taiwan
  - Thailand
  - Vietnam

Europe, Middle East & Africa
- Denmark
- Egypt
- Finland
- France
- Germany
- Israel
- Italy
- Netherlands
- Nigeria
- Norway
- Poland
- Qatar
- Russia
- Saudi Arabia
- South Africa
- Spain
- Sweden
- Switzerland
- Turkey
- United Arab Emirates
- United Kingdom

The report offers valuable insights on the following aspects:

1. Market Penetration: It presents comprehensive information on the market provided by key players.

2. Market Development: It delves deep into lucrative emerging markets and analyzes the penetration across mature market segments.

3. Market Diversification: It provides detailed information on new product launches, untapped geographic regions, recent developments, and investments.

4. Competitive Assessment & Intelligence: It conducts an exhaustive assessment of market shares, strategies, products, certifications, regulatory approvals, patent landscape, and manufacturing capabilities of the leading players.

5. Product Development & Innovation: It offers intelligent insights on future technologies, R&D activities, and breakthrough product developments.

The report addresses key questions such as:

1. What is the market size and forecast of the Data Center Cooling Market?

2. Which products, segments, applications, and areas should one consider investing in over the forecast period in the Data Center Cooling Market?

3. What are the technology trends and regulatory frameworks in the Data Center Cooling Market?

4. What is the market share of the leading vendors in the Data Center Cooling Market?

5. Which modes and strategic moves are suitable for entering the Data Center Cooling Market?

Product Code: MRR-8C74ADFBFBA5

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. Significant growth in the number of data centers and their power density
  - 5.1.1.2. Ongoing digitalization and need for advanced data center infrastructures
  - 5.1.1.3. Increasing investments in supercomputers and hyperscale data centers
- 5.1.2. Restraints
  - 5.1.2.1. High costs of data center cooling solutions and services
- 5.1.3. Opportunities
  - 5.1.3.1. Emergence of liquid cooling technology and the proliferation of cloud services
  - 5.1.3.2. Supportive government investments in data center infrastructures
- 5.1.4. Challenges
  - 5.1.4.1. Technical issues associated with data center cooling solutions
5.2. Market Segmentation Analysis
- 5.2.1. Offering: Significant penetration of data center cooling services
- 5.2.2. Type of Cooling: Extensive demand for room-based cooling solutions
- 5.2.3. Data Center Type: Surging deployment in large scale data centers
- 5.2.4. Application: Proliferation of data center cooling solutions in IT sector
5.3. Market Disruption Analysis
5.4. Porter's Five Forces Analysis
- 5.4.1. Threat of New Entrants
- 5.4.2. Threat of Substitutes
- 5.4.3. Bargaining Power of Customers
- 5.4.4. Bargaining Power of Suppliers
- 5.4.5. Industry Rivalry
5.5. Value Chain & Critical Path Analysis
5.6. Pricing Analysis
5.7. Technology Analysis
5.8. Patent Analysis
5.9. Trade Analysis
5.10. Regulatory Framework Analysis

6. Data Center Cooling Market, by Offering

6.1. Introduction
6.2. Services
6.3. Solution

7. Data Center Cooling Market, by Type of Cooling

7.1. Introduction
7.2. Room-based Cooling
7.3. Row/Rack-based Cooling

8. Data Center Cooling Market, by Data Center Type

8.1. Introduction
8.2. Enterprise Data Centers
8.3. Large Scale Data Centers
8.4. Mid Size Data Centers

9. Data Center Cooling Market, by Application

9.1. Introduction
9.2. BFSI
9.3. Energy
9.4. Healthcare
9.5. IT
9.6. Retail
9.7. Telecom

10. Americas Data Center Cooling Market

10.1. Introduction
10.2. Argentina
10.3. Brazil
10.4. Canada
10.5. Mexico
10.6. United States

11. Asia-Pacific Data Center Cooling Market

11.1. Introduction
11.2. Australia
11.3. China
11.4. India
11.5. Indonesia
11.6. Japan
11.7. Malaysia
11.8. Philippines
11.9. Singapore
11.10. South Korea
11.11. Taiwan
11.12. Thailand
11.13. Vietnam

12. Europe, Middle East & Africa Data Center Cooling Market

12.1. Introduction
12.2. Denmark
12.3. Egypt
12.4. Finland
12.5. France
12.6. Germany
12.7. Israel
12.8. Italy
12.9. Netherlands
12.10. Nigeria
12.11. Norway
12.12. Poland
12.13. Qatar
12.14. Russia
12.15. Saudi Arabia
12.16. South Africa
12.17. Spain
12.18. Sweden
12.19. Switzerland
12.20. Turkey
12.21. United Arab Emirates
12.22. United Kingdom

13. Competitive Landscape

13.1. Market Share Analysis, 2023
13.2. FPNV Positioning Matrix, 2023
13.3. Competitive Scenario Analysis
- 13.3.1. Zutacore And Valeo Present New Solution For Data Centre Cooling At Dell Tech World 2023
- 13.3.2. DOE Funds USD 40 Million For Advanced Data-Center Cooling
- 13.3.3. KKR to Acquire CoolIT Systems
13.4. Strategy Analysis & Recommendation

14. Competitive Portfolio

14.1. Key Company Profiles
14.2. Key Product Portfolio