Data Center Cooling Global Market Report 2026

Data center cooling refers to techniques used to separate hot and cold air within data center facilities. Excessive heat generation can cause equipment to overheat, malfunction, and experience performance issues. A facility capable of maintaining effective cooling consistently, economically, and through continuous monitoring is better positioned to achieve improved cooling efficiency. Data center cooling efficiency aims to minimize the volume of air requiring cooling by implementing directed cooling methods. Directed data center cooling requires each rack or cabinet within the facility to be enclosed within its dedicated cooling system.

The primary types of data center cooling are large data centers, enterprise data centers, and mid-sized data centers. A large data center is a substantial-scale facility that consumes an amount of power comparable to that used by a small town. The cooling technologies used in data center cooling include rack/row-based and room-based systems, with solution and service components deployed across banking, financial services and insurance (BFSI), information technology (IT) and telecom, research and academic institutions, government and defense, retail, energy, manufacturing, healthcare, and other industries.

Tariffs are influencing the data center cooling market by increasing the costs of imported cooling units, precision heating, ventilation, and air conditioning components, control electronics, sensors, and power management systems. Large data center operators in North America and Europe are particularly affected because of their dependence on globally sourced cooling technologies, while Asia-Pacific is experiencing higher infrastructure deployment costs. These tariffs are increasing the total cost of ownership and extending project timelines for new facilities. At the same time, they are accelerating local manufacturing of cooling solutions, regional sourcing strategies, and innovation in energy-efficient and software-driven cooling architectures.

The data center cooling market research report is one of a series of new reports from The Business Research Company that provides data center cooling market statistics, including data center cooling industry global market size, regional shares, competitors with a data center cooling market share, detailed data center cooling market segments, market trends and opportunities, and any further data you may need to thrive in the data center cooling industry. This data center cooling market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The data center cooling market size has grown rapidly in recent years. It will grow from $11.02 billion in 2025 to $12.39 billion in 2026 at a compound annual growth rate (CAGR) of 12.4%. The growth in the historic period can be attributed to expansion of hyperscale data centers, rising demand for high-density server racks, growth of cloud computing infrastructure, increasing electricity consumption in IT facilities, and adoption of aisle containment systems.

The data center cooling market size is expected to see rapid growth in the next few years. It will grow to $18.82 billion in 2030 at a compound annual growth rate (CAGR) of 11.0%. The growth in the forecast period can be attributed to increasing deployment of data centers designed for AI workloads, growing emphasis on carbon-neutral data center operations, continued expansion of edge data centers, rising investments in advanced cooling technologies, and increasing regulatory requirements for energy efficiency. Major trends in the forecast period include greater adoption of liquid and immersion cooling technologies, expansion of directed and containment-based cooling systems, integration of real-time thermal monitoring solutions, stronger emphasis on energy-efficient cooling designs, and increasing deployment of modular cooling infrastructure.

The rise in global temperatures is expected to remain a significant driver of the data center cooling market during the forecast period. Increasing global temperatures are primarily associated with higher greenhouse gas emissions resulting from human activities, deforestation, industrial operations, and fossil fuel combustion, which intensify the greenhouse effect and retain more heat within the Earth's atmosphere. Data center cooling systems are becoming increasingly important in managing the effects of higher temperatures because they maintain suitable operating conditions for servers and protect equipment from overheating in facilities with substantial energy consumption. For instance, in January 2025, according to the World Meteorological Organization (WMO), a Switzerland-based organization, 2024 was declared the hottest year on record, with global temperatures averaging approximately 1.55°C above pre-industrial levels. Therefore, rising global temperatures are expected to increase demand for data center cooling solutions.

Leading companies operating in the data center cooling market are launching new products such as immersion cooling fluids to increase their profitability in the market. Immersion cooling fluids, also known as coolants or dielectric fluids, refer to specialized liquids used in immersion cooling systems to absorb and dissipate heat generated by electronic components, including servers and other IT hardware, in data centers. For example, in October 2023, ExxonMobil Corporation, a US-based natural gas company, launched data center immersion cooling fluids. ExxonMobil's data center cooling fluids are designed to provide energy efficiency and performance and offer a diverse portfolio of synthetic and non-synthetic options with varying thermal capacities. Designed with lower viscosity for efficient heat removal, these fluids provide compatibility with various materials and support long equipment life. Immersion cooling fluids are essential for liquid cooling in data centers and are intended to improve energy efficiency, reduce water consumption, and increase rack density, contributing to a claimed reduction of up to 40% in the total cost of ownership for IT equipment.

In December 2023, Vertiv, a US-based company specializing in critical infrastructure for data centers and communication networks, acquired CoolTera Ltd. for an undisclosed amount. Through this acquisition, Vertiv aimed to expand its capabilities in high-density cooling solutions by incorporating CoolTera's advanced liquid cooling technologies and infrastructure into its existing thermal management portfolio. CoolTera Ltd. is a Canada-based company specializing in mission-critical custom air handlers and modular data center design, engineering, and manufacturing. It is also described as an Israel-based company specializing in advanced cooling solutions for data centers and IT environments.

Major companies operating in the data center cooling market are Hitachi Ltd., Mitsubishi Electric Corporation, Schneider Electric SE, Fujitsu Limited, ABB Group, Hewlett Packard Enterprise Company, Daikin Industries Ltd., Johnson Controls International plc, Eaton Corporation, Emerson Electric Co., Trane Technologies plc, Climaveneta Climate Technologies S.p.A., Vertiv Group Corporation, Alfa Laval AB, Rittal GmbH & Co. KG, Ebullient Inc., Munters Group AB, Nortek Air Solutions LLC, Coolcentric Inc., Airedale International Air Conditioning Limited, Asetek Inc., Usystems Inc., Midas Green Technologies Inc., Liquid Cool Solutions LLC, Green Revolution Cooling Inc., Submer Technologies Inc., Delta Power Solutions, Adaptivcool Ltd.

Asia-Pacific was the largest region in the data center cooling market in 2025. North America was the second-largest market in the data center cooling market share. The regions covered in the data center cooling market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the data center cooling market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The data center cooling market includes revenues earned by entities by providing computer room air handler (CRAH), computer room air conditioner (CRAC), calibrated vector unit, cold aisle and hot aisle design. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

Data Center Cooling Market Global Report 2026 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.

This report focuses data center cooling market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.

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Where is the largest and fastest growing market for data center cooling ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The data center cooling market global report from the Business Research Company answers all these questions and many more.

The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, total addressable market (TAM), market attractiveness score (MAS), competitive landscape, market shares, company scoring matrix, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.

• The market characteristics section of the report defines and explains the market. This section also examines key products and services offered in the market, evaluates brand-level differentiation, compares product features, and highlights major innovation and product development trends.
• The supply chain analysis section provides an overview of the entire value chain, including key raw materials, resources, and supplier analysis. It also provides a list competitor at each level of the supply chain.
• The updated trends and strategies section analyses the shape of the market as it evolves and highlights emerging technology trends such as digital transformation, automation, sustainability initiatives, and AI-driven innovation. It suggests how companies can leverage these advancements to strengthen their market position and achieve competitive differentiation.
• The regulatory and investment landscape section provides an overview of the key regulatory frameworks, regularity bodies, associations, and government policies influencing the market. It also examines major investment flows, incentives, and funding trends shaping industry growth and innovation.
• The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
• The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.
• The total addressable market (TAM) analysis section defines and estimates the market potential compares it with the current market size, and provides strategic insights and growth opportunities based on this evaluation.
• The market attractiveness scoring section evaluates the market based on a quantitative scoring framework that considers growth potential, competitive dynamics, strategic fit, and risk profile. It also provides interpretive insights and strategic implications for decision-makers.
• Market segmentations break down the market into sub markets.
• The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth.
• Expanded geographical coverage includes Taiwan and Southeast Asia, reflecting recent supply chain realignments and manufacturing shifts in the region. This section analyzes how these markets are becoming increasingly important hubs in the global value chain.
• The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
• The company scoring matrix section evaluates and ranks leading companies based on a multi-parameter framework that includes market share or revenues, product innovation, and brand recognition.

Scope

• Markets Covered:1) By Data Centre Type: Large Data Centers; Enterprise Data Centers; Mid-Sized Data Centers
• 2) By Cooling Technology: Rack Or Row-Based; Room-Based
• 3) By Component: Solution; Service
• 4) By Industry: Banking, Financial Services And Insurance (BFSI); Information Technology (IT) And Telecom; Research And Academic; Government And Defense; Retail; Energy; Manufacturing; Healthcare; Other Industries
• Subsegments:
• 1) By Large Data Centers: Hyperscale Data Centers; Cloud Data Centers; Co-Location Data Centers
• 2) By Enterprise Data Centers: Private Enterprise Data Centers; In-House Data Centers
• 3) By Mid-Sized Data Centers: Edge Data Centers; Regional Data Centers
• Companies Mentioned: Hitachi Ltd.; Mitsubishi Electric Corporation; Schneider Electric SE; Fujitsu Limited; ABB Group; Hewlett Packard Enterprise Company; Daikin Industries Ltd.; Johnson Controls International plc; Eaton Corporation; Emerson Electric Co.; Trane Technologies plc; Climaveneta Climate Technologies S.p.A.; Vertiv Group Corporation; Alfa Laval AB; Rittal GmbH & Co. KG; Ebullient Inc.; Munters Group AB; Nortek Air Solutions LLC; Coolcentric Inc.; Airedale International Air Conditioning Limited; Asetek Inc.; Usystems Inc.; Midas Green Technologies Inc.; Liquid Cool Solutions LLC; Green Revolution Cooling Inc.; Submer Technologies Inc.; Delta Power Solutions; Adaptivcool Ltd.
• Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Taiwan; Russia; South Korea; UK; USA; Canada; Italy; Spain.
• Regions: Asia-Pacific; South East Asia; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
• Time Series: Five years historic and ten years forecast.
• Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita,
• Data Segmentations: country and regional historic and forecast data, market share of competitors, market segments.
• Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
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