Data Center Cooling Market (By Containment: Raised Floor without Containment and Raised Floor with Containment; By Structure: Row-Based Cooling, Rack-Based Cooling, and Room-Based Cooling; By Product: Precision Air Conditioners, Air Conditioners, Air Handling Units, Chillers, and Others; By Application: IT, Telecom, Healthcare, Retail, Energy, BFSI, and Others) - Global Market Size, Trends Analysis, Segment Forecasts, Regional Outlook 2020 - 2027

The global data center cooling market was valued at US$ 9.79 billion in 2019 and expected to reach US$ 27.53 billion by 2027, with at a compound annual growth rate (CAGR) of 13.8% during the forecast period 2020 to 2027.

Growth Factors

Rising need for energy-efficient data centers, significant spending by colocation service and managed service providers, and rising construction of hyperscale data centers are the prime factors expected to propel the market growth. In addition, emergence of big data, cloud technology, and Internet of Things (IoT) has permitted organizations to spend in new data centers to maintain the business continuity. This is the other important factor likely to boost the market size over the upcoming years.

Additionally, increasing demand for security, operational efficiency, improved mobility, and bandwidth anticipated to prosper the industry development. Software-based data centers contribute to the market growth by offering improved automation level. Advent of IoT and connected technology has propelled various businesses to shift towards digital transformation that has again surged the necessity for an advanced data center ecosystem that ensures scalability, quick deployment, security, flexibility, and availability. This shift in business trend is paving way for the advancement and development of innovative solutions that is highly agile, cost-effective, and software-defined. The above mentioned factors projected to impel the market growth over the forthcoming years.

Product Insights

Air conditioners segment dominated the global data center cooling market and accounted for more than 30% of market share in 2019 as well as projected to exhibit prominent growth over the upcoming years. Densely packed racks tend to generate huge amount of heat while storing and analyzing of data for an effective decision-making. Because of this reason, air conditioners help organizations to maintain a required temperature level along with ensure the proper functioning of systems.

Additionally, air conditioner is a type of heat exchanger that maintains an adequate level of room temperature in sensitive IT environment. In the meantime, the precision air conditioners register the fastest growth rate during the analysis period. Technological advancements along with the introduction to energy-efficient units estimated to uplift the demand for precision air conditioners. Moreover, they provide numerous benefits that include demonstration of better air distribution, precise humidity control, continuous operation, along with automatic control of different AC loads for effective cooling.

Application Insights

Based on application, retail segment estimated to exhibit a CAGR of more than 13% over the analysis period. The significant growth of the segment is attributed to the extensive application of social media, smartphones, Image Processing Verification Tools (IPVT), and tablet computers that in turn spur the volume of data.

Moreover, the telecom segment occupied the largest value share in 2019 and anticipated to witness the fastest growth rate over the upcoming years. Rapid expansion of IT & telecom industry across the world expected to propel the growth of data center cooling market. Additionally, significant development in the telecommunication infrastructures fuels the need for equivalent storage facilities that projected to impel the demand for data center cooling solutions.

Regional Insights

North America led the global data center cooling market in 2019 and predicted to retain the same trend over the years to come owing to the largest market dedicated for the technology oriented solutions. Further, the region has also witnessed a healthy growth in the global economy, particularly for the development and implementation of new and upcoming technologies. Moreover, with presence of significant companies for example Amazon Inc., Facebook, and Google Inc.contribute positively towards the growth of the region.

On the other hand, the Asia Pacific anticipated to gain prominence during the upcoming period because of significant growth opportunity for the application of telecom sector. This is mainly due to the significant rise in the number of service providers that offer external IT infrastructure services as well as manage and operate critical business applications and information.

Key Companies & Market Share Insights

The global market for data center cooling is highly consolidated in nature because of high rate of competition with the presence of leading market players. These market players principally focus towards enhancing their product quality by adopting innovative and advanced cooling techniques that in turn enhances their market presence.For example, in 2014, Amazon Inc. discovered a new method for the utilization of heat generated by the data centers in heating its official buildings or spaces. Similarly, other companies are also innovating new methods for the utilization of the heat generated from their data centers.

Few of the prominent players in the data center cooling market include:

  • Asetek
  • Air Enterprises
  • Climaveneta Climate Technologies (P) Ltd.
  • Fujitsu Limited
  • Coolcentric
  • Hitachi Ltd.
  • Rittal GmbH & Co. KG
  • Netmagic Solutions
  • STULZ GMBH
  • Telx Holdings, Inc. (Digital Realty Trust, Inc.)
  • Schneider Electric
  • Vertiv Co.

Segments Covered in the Report

This research study comprises complete assessment of the market by means of far-reaching qualitative and quantitative perceptions, and predictions regarding the market. This report delivers classification of marketplace into impending and niche sectors. Further, this research study calculates market size and its development drift at global, regional, and country from 2016 to 2027. This report contains market breakdown and its revenue estimation by classifying it on the basis of containment, structure, product, application, and region:

By Containment

  • Raised Floor without Containment
  • Raised Floor with Containment
    • Cold Aisle Containment (CAC)
    • Hot Aisle Containment (HAC)

By Structure

  • Row-Based Cooling
  • Rack-Based Cooling
  • Room-Based Cooling

By Product

  • Precision Air Conditioners
  • Air Conditioners
  • Air Handling Units
  • Chillers
  • Others

By Application

  • IT
  • Telecom
  • Healthcare
  • Retail
  • Energy
  • BFSI
  • Others

By Regional Outlook

  • North America
    • U.S.
    • Canada
  • Europe
    • U.K.
    • Germany
    • France
  • Asia Pacific
    • China
    • India
    • Japan
    • South Korea
  • Rest of the World

Frequently Asked Questions About This Report