U.S. Data Center Cooling Market Summary

The U.S. data center cooling market size was estimated at USD 4.45 billion in 2023 and is projected to expand at a compound annual growth rate (CAGR) of 9.2% from 2024 to 2030. The robust growth outlook of this market is primarily driven by the substantial increase in data generation and the resulting surge in demand for data centers. As more devices become interconnected and Industry 4.0 standards continue to evolve, many IT organizations are increasingly dependent on big data analytics to optimize operational efficiency and ensure robust data protection. However, due to the complexity and time-intensive nature of managing in-house data, many companies are shifting toward third-party data centers.

The subsequent growth in both the number and scale of data centers is prompting a corresponding demand for efficient power and cooling infrastructure to support uninterrupted operations. Data centers consume vast amounts of electricity and generate considerable heat, thereby necessitating the integration of high-performance cooling systems. The advancement of data center infrastructure and the increasing physical size of such facilities have led various vendors to innovate and develop liquid cooling systems that are specifically tailored to modern data center requirements.

Key Market Trends & Insights

• In 2023, the solutions segment dominated the market and generated the highest revenue globally. This was largely driven by the flexible and scalable nature of solutions such as air conditioners, precision air conditioners, chillers, and air handling units. These systems can adapt to varying levels of heat loads, making them an ideal fit for the modular architecture of today’s data centers, which are frequently scaled up or down in line with evolving data demand.
• Air conditioners led all cooling product categories and accounted for over 30.0% of the global revenue share in 2023. Air-cooling systems utilize ductwork to manage airflow and maintain optimal temperatures in server rooms. The evolving structure of IT infrastructure necessitates adaptable cooling methods, and modular air conditioning systems offer scalable solutions that allow data centers to adjust cooling capacity based on fluctuating demand levels.
• The installation and deployment segment also led the market in 2023 in terms of revenue contribution. The growing density of IT infrastructure installations has resulted in more intensive power consumption patterns. Deploying advanced, liquid-based heat removal equipment is having a notable impact on enhancing the performance and efficiency of climate control systems, thereby propelling growth within this segment.
• The non-raised floor segment accounted for the largest share of market revenue in 2023. This segment plays an essential role in enabling the deployment of thermal management systems and real-time surveillance capabilities. These systems provide dynamic monitoring of temperature fluctuations, thereby enabling data center operators to proactively identify and address issues before they escalate into operational failures.
• Additionally, the raised floors with containment segment accounted for the highest revenue share in 2023. Raised floors with containment technology contribute to cost savings by improving the energy efficiency of the data center and minimizing the total cooling capacity required. This infrastructure design enhances airflow management and significantly reduces operational cooling expenses.
• The room-based cooling segment also held the largest revenue share in 2023. These systems are widely utilized in conjunction with cloud-based management platforms that allow for remote monitoring, real-time data analytics, and automated control of cooling infrastructure. The integration with cloud technologies enhances operational efficiency and reduces the need for on-site personnel.

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Market Size & Forecast

• 2023 Market Size: USD 4.45 billion
• 2030 Projected Market Size: USD 8.52 billion
• CAGR (2024 - 2030): 9.2%

Key Companies & Market Share Insights

Several leading companies operate within the U.S. data center cooling market. These include Fujitsu, Hitachi, Ltd., Schneider Electric, and NTT Limited. Fujitsu's diverse product portfolio encompasses computing devices, integrated systems, storage technologies, HVAC solutions, and networking equipment. The company distributes its offerings through multiple well-established distributors such as Westcon-Comstor, Synnex Corporation, Arrow Electronics, Inc., and Ingram Micro, Inc. Fujitsu operates under three key business segments: Technology Solutions, Device Solutions, and Ubiquitous Solutions. The Technology Solutions division includes servers, storage systems, and networking products.

Schneider Electric provides global solutions in automation and electricity distribution, including components designed specifically for energy management. The company’s business is divided into two main segments: Energy Management and Industrial Automation. The data center cooling market falls under its secure power subsegment. Schneider Electric also delivers solutions for a broad range of industries such as finance, healthcare, utilities, hospitality, marine, and cloud service providers.

Emerging market players include Asetek, Inc.; STULZ GMBH; Telx Inc.; Green Revolution Cooling, Inc.; and Iceotope. Iceotope specializes in liquid cooling systems, catering to clients such as cloud service providers (CSPs), telecom operators, financial institutions, retailers, and healthcare organizations. Their offerings feature substantial efficiency gains, including up to 40% reductions in power and water consumption, as well as lower carbon emissions and cooling requirements.

Green Revolution Cooling, Inc. focuses on liquid immersion cooling solutions designed for enterprise, edge, cloud, and high-performance computing (HPC) environments. Their cooling systems help increase performance, transform data center capacity, and enable rack densities of up to 368 kW—substantially boosting energy efficiency and space utilization.

Key Players

• Air Enterprises
• Asetek, Inc.
• Climaveneta
• Coolcentric
• Fujitsu
• Hitachi, Ltd.
• Infineon Technologies AG
• Iceotope
• Munters
• NTT Limited
• Schneider Electric
• STULZ GMBH
• Rittal GmBH & Co. KG
• Telx Inc
• Vertiv Group Corp.

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Conclusion

In summary, the U.S. data center cooling market is experiencing robust growth, propelled by the accelerating digital transformation and surging demand for data storage and processing capabilities. With increasing adoption of cloud services, Industry 4.0, and AI technologies, data centers require innovative and scalable cooling systems to manage rising heat loads efficiently. Solutions such as modular air conditioning, liquid-based systems, and real-time monitoring platforms are being increasingly adopted. Key players and emerging innovators are actively contributing to this evolution, enhancing energy efficiency and sustainability. The market is poised for continued advancement as data ecosystems grow increasingly complex and performance-driven.