Computer Room Air Conditioning Market Size
Computer Room Air Conditioning Market Analysis
The Computer Room Air Conditioning Market size is estimated at USD 4.20 billion in 2025, and is expected to reach USD 8.56 billion by 2030, at a CAGR of 15.30% during the forecast period (2025-2030).
Computer Room Air Conditioning (CRAC) units monitor and control temperature, air distribution, and humidity in data centers, network rooms, and server rooms. These units are essential to counteract the heat generated by computer equipment, which, if unchecked, can damage electronics and lead to system failures. Unlike standard AC systems, CRAC units provide enhanced air filtration, humidity control, and increased airflow. The rapid establishment of data centers, coupled with advancements in CRAC technology, has significantly fueled the growth of the CRAC industry.
- As organizations expand their data center facilities to accommodate rising data storage and management demands, the need for efficient cooling solutions, like CRAC systems, has surged. These specialized systems ensure optimal humidity and temperature regulation in data centers, safeguarding the performance of critical IT infrastructure. Consequently, the burgeoning number of data centers has propelled the rapid growth of the CRAC market.
- Recent advancements in CRAC technology, including the introduction of energy-efficient units, smart cooling management systems, and adaptive control mechanisms, have made CRAC systems increasingly appealing to data center operators, driving the industry's significant growth.
- With technological progress, data centers now house more powerful and densely packed servers. This heightened heat density amplifies heat loads, necessitating advanced precision cooling to maintain optimal operating conditions and avert machinery overheating.
- For example, in October 2024, Mitsubishi Electric Trane unveiled the s-MEXT indoor unit, a CRAC unit tailored for IT cooling. Its applications span from small-to-medium data rooms and relay stations for telecom services to cooling medical imaging equipment, laboratories, archives, and libraries.
- However, the substantial initial investment required for installing CRAC units poses a challenge for small and medium-sized businesses. Furthermore, while regular maintenance is crucial for optimal performance, it can be costly. These challenges may temper the widespread adoption of CRAC systems, potentially slowing the industry's growth.
Computer Room Air Conditioning Market Trends
SMEs Witness Major Growth
- In the computer room air conditioner market, the size of an organization plays a pivotal role in determining its cooling solution needs. In 2024, the European Commission estimated around 26.1 million small and medium-sized enterprises (SMEs) operated within the European Union.
- These SMEs often gravitate towards cost-effective, compact, and easily installable solutions, with direct expansion systems being a top choice. The inherent flexibility and efficiency of these systems render them ideal for smaller server or network rooms, where maintaining a stable environment is paramount, yet without the burden of high operational costs.
- As businesses, regardless of size, undergo digital transformations, their cooling requirements are beginning to align. SMEs, in particular, are bolstering their IT infrastructures to keep pace with their expanding operations, leading to a heightened need for advanced cooling solutions. This evolution is spurring a demand for hybrid cooling systems, which seamlessly blend the advantages of both DX and chilled water systems, catering to a diverse range of organizational sizes.
- Furthermore, with energy efficiency taking center stage, SMEs globally are channeling investments into advanced air conditioning systems designed to curtail energy consumption and operational expenses. The trend of adopting energy-efficient models, especially those boasting smart control features, is gaining traction across organizations of all sizes, underscoring a collective commitment to sustainability and a reduced carbon footprint.
North America is Expected to Gain Significant Share
- North America is set to dominate the computer room air conditioning market, driven by a surge in advanced cooling systems for data centers and ongoing technological innovations in CRAC systems. Recognizing the critical role of CRAC systems in preventing machinery overheating, governments are increasingly investing in these solutions, leading to a heightened adoption of computer room air conditioning systems.
- For instance, in December 2023, the U.S. Department of Energy greenlit a $42 million initiative aimed at developing high-performance cooling systems for data centers, addressing challenges in creating energy-efficient solutions.
- The region's dominance is underscored by its multitude of data centers and tech firms, bolstered by a robust IT infrastructure and a swift embrace of advanced technologies. This focus on innovation, energy efficiency, and sustainability is not just meeting market demands but also paving the way for significant growth opportunities.
- For instance, In July 2024, Airedale by ModineTM unveiled its Cooling System OptimizerTM in the U.S., responding to a rising demand for intelligent control systems adept at managing intricate chilled water systems. This Optimizer acts as a smart intermediary, bridging product controls in chillers and CRAHs with the site's building management system (BMS). Its programming ensures a cohesive operation of both indoor and outdoor cooling equipment, emphasizing resilience, redundancy, and energy efficiency in data center cooling.
Computer Room Air Conditioning Industry Overview
Numerous players fiercely compete in the computer room air conditioner market, each striving for a larger share. This landscape features a blend of established names and fresh entrants, all pushing for innovative cooling solutions that cater to the market's evolving demands. Key strategies include developing advanced products, forging strategic partnerships, and pursuing mergers and acquisitions, all aimed at bolstering market presence and broadening product portfolios. A shared emphasis on energy efficiency, sustainability, and smart technologies helps these players carve out distinct identities in a saturated market.
For instance, in March 2024, Schneider Electric announced a collaboration with Nvidia. This partnership aims to optimize data center infrastructure and spearhead advancements in Edge artificial intelligence (AI) and digital twin technologies. By merging Schneider Electric's prowess in data center solutions with Nvidia's AI leadership, the collaboration seeks to help organizations transcend data center limitations and harness AI's full potential.
Computer Room Air Conditioning Market Leaders
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Vertiv Group Corp.
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Schneider Electric SE
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Stulz GmbH
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Daikin Industries, Ltd.
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Mitsubishi Electric Corporation
- *Disclaimer: Major Players sorted in no particular order
Computer Room Air Conditioning Market News
- December 2024: Johnson Controls has unveiled its YORK Mission Critical Vertical Computer Room Air Handler (MCV CRAH), tailored to address the surging demand for eco-friendly data center solutions. As one of the world's fastest-growing construction sectors, data centers face mounting pressure to prioritize efficiency and sustainability. The newly launched MCV CRAH is adeptly crafted to not only accommodate the swift expansion of data centers but also to champion energy efficiency and sustainability.
- November 2024: Vertiv has broadened its liquid cooling product lineup, debuting two innovative systems: the Vertiv CoolChip CDU (coolant distribution unit). These advanced systems pave the way for modular and economically viable liquid cooling setups in data centers, seamlessly integrating high-density AI computing with conventional air-cooled racks.
Computer Room Air Conditioning Industry Segmentation
Engineered specifically for computer rooms, air conditioners play a pivotal role in maintaining optimal temperature and humidity levels for sensitive electronic equipment, including servers and data storage units. These specialized systems are crucial in preventing overheating, a phenomenon that can lead to data loss and equipment malfunctions. Unlike standard air conditioning units, CRAC (Computer Room Air Conditioning) units are tailored to meet the unique cooling demands of electronic infrastructures.
The computer room air conditioning market is segmented by type (precision air conditioners, comfort air conditioners), end users (data centers, server rooms, network rooms, others end users), cooling system (chilled water, direct expansion), organization size (SMEs, large enterprises), geography (North America, Europe, Asia Pacific, Latin America, Middle East And Africa). the market size and forecasts are provided in terms of value (USD) for all the above segments.
By Type | Precision Air Conditioners |
Comfort Air Conditioners | |
By End Users | Data Centers |
Server Rooms | |
Network Rooms | |
Others End users | |
By Cooling System | Chilled Water |
Direct Expansion | |
By Organization Size | SMES |
Large Enterprises | |
By Geography*** | North America |
Europe | |
Asia | |
Australia and New Zealand | |
Latin America | |
Middle East and Africa |
Precision Air Conditioners |
Comfort Air Conditioners |
Data Centers |
Server Rooms |
Network Rooms |
Others End users |
Chilled Water |
Direct Expansion |
SMES |
Large Enterprises |
North America |
Europe |
Asia |
Australia and New Zealand |
Latin America |
Middle East and Africa |
Computer Room Air Conditioning Market Research FAQs
How big is the Computer Room Air Conditioning Market?
The Computer Room Air Conditioning Market size is expected to reach USD 4.20 billion in 2025 and grow at a CAGR of 15.30% to reach USD 8.56 billion by 2030.
What is the current Computer Room Air Conditioning Market size?
In 2025, the Computer Room Air Conditioning Market size is expected to reach USD 4.20 billion.
Who are the key players in Computer Room Air Conditioning Market?
Vertiv Group Corp., Schneider Electric SE, Stulz GmbH, Daikin Industries, Ltd. and Mitsubishi Electric Corporation are the major companies operating in the Computer Room Air Conditioning Market.
Which is the fastest growing region in Computer Room Air Conditioning Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2025-2030).
Which region has the biggest share in Computer Room Air Conditioning Market?
In 2025, the North America accounts for the largest market share in Computer Room Air Conditioning Market.
What years does this Computer Room Air Conditioning Market cover, and what was the market size in 2024?
In 2024, the Computer Room Air Conditioning Market size was estimated at USD 3.56 billion. The report covers the Computer Room Air Conditioning Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Computer Room Air Conditioning Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
Computer Room Air Conditioning Industry Report
Statistics for the 2025 Computer Room Air Conditioning market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Computer Room Air Conditioning analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.