Study Of Data Center Water Consumption In China Market Size
| Study Period | 2021 - 2030 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Volume (2025) | 228.74 Billion liters |
| Market Volume (2030) | 347.12 Billion liters |
| CAGR (2025 - 2030) | 8.70% |
| Market Concentration | Medium |
Major Players*Disclaimer: Major Players sorted in no particular order |
Study Of Data Center Water Consumption In China Market Analysis
The Study Of Data Center Water Consumption In China Market size is estimated at 228.74 billion liters in 2025, and is expected to reach 347.12 billion liters by 2030, at a CAGR of 8.7% during the forecast period (2025-2030).
- IT Load Capacity: The IT load capacity of China's colocation data center market is around 4,250.9 MW in 2024.
- Geographical Significance: China experiences a tropical monsoon climate characterized by sweltering summers and mild winters. These climatic conditions lead to heightened water consumption by data centers nationwide, subsequently fueling the demand for their expansion. Concurrently, several regions are grappling with water scarcity, emphasizing the need for efficient water resource management. Being a vast nation engaged in numerous construction and resource-intensive projects year-round, ranks among the world's top water consumers. Our research indicates that China's water consumption is projected to exceed 210 billion liters in 2024.
- Raised Floor Space: China's colocation data center raised floor space is about 15.25 million sq. ft in 2024.
- Projected Installed Racks: In 2024, China is set to install over 607,200 racks in its colocation data centers.
Study Of Data Center Water Consumption In China Market Trends
China's ICT Sector Fuels Surge in Colocation Facilities
- As 2024 began, China led the world in internet users, surpassing India and the United States with 1.09 billion users and a penetration rate over 75%. China's social media users reached 1.06 billion, over 74% of its population. The nation is enhancing its 5G network and advancing 6G research, aiming to be a manufacturing and digital economic powerhouse. This tech expansion increases the demand for data center cooling.
- The internet significantly impacts China, driving R&D, boosting the economy, and connecting its population. By June 2023, MIIT reported over 2.93 million 5G base stations, 676 million 5G smartphone users, and 2.12 billion IoT-connected devices.
- AI's rise has increased water use for data center cooling. In response, the Chinese government launched the "Eastern-Data, Western-Computing" initiative in 2020 to move data centers from coastal to western regions, leveraging natural cooling, lower electricity costs, green energy, and reduced land expenses.
- The ICT sector's boom has directly fueled the proliferation of colocation data centers, resulting in a surging demand for water and other limited resources.
As Smartphones Gain Popularity, their Expanding User Base Fuels the Demand for Mega Data Centers in China.
- In early 2019, China topped the world charts with over 1.2 billion smartphone users, achieving a penetration rate of approximately 82%. This figure is anticipated to rise by 0.8%, reaching around 1.26 billion users by 2025, translating to a projected penetration rate of about 85%.
- As 4G and 5G connectivity spreads nationwide, mobile communication has seen significant enhancements, solidifying smartphones as essential tools for the populace.
- Chinese smartphone manufacturers are introducing budget-friendly devices packed with premium features, driving a surge in the nation's smartphone adoption. Approximately 50% of users opt for a phone upgrade every 12-18 months, pushing companies to innovate at a rapid pace. Key players dominating the market include Huawei, Apple, Xiaomi, Oppo, and Vivo.
- The surge in smartphone adoption has catalyzed the growth of the nation's data center market. Over the study period, as smartphone users quintupled, data center racks saw a corresponding increase. This surge has fueled a demand for expansive mega data center facilities, which in turn, is projected to escalate water consumption — a concern that warrants immediate attention.
Study Of Data Center Water Consumption In China Industry Overview
- In the moderately fragmented landscape of China's water consumption data center market, five key players stand out. Leading the charge are China Telecom (Asia Pacific) Pte. Ltd, Equinix Inc, GLP Pte Limited, Princeton Digital Group, and Keppel DC REIT Management Pte. Ltd.
- For instance, Princeton Digital Group is committed to reducing emissions and conserving natural resources. Their objective is to run data centers that are highly efficient in terms of energy, carbon, and water, thereby lessening the climate impact of digital infrastructure. The company is dedicated to consistently enhancing its operations to optimize Power Usage Effectiveness (PUE) and Water Usage Effectiveness (WUE). Notably, Water Stewardship stands out as a pivotal metric in their ESG report.
Study Of Data Center Water Consumption In China Market Leaders
-
China Telecom (Asia Pacific) Pte. Ltd.
-
Equinix, Inc.
-
Princeton Digital Group
-
Keppel DC REIT Management Pte. Ltd
-
GLP Pte Limited.
- *Disclaimer: Major Players sorted in no particular order
Study Of Data Center Water Consumption In China Market News
- July 2024: China is making headlines in the data center industry with the construction of the world's first commercial underwater data center. Situated off the coast of Sanya on Hainan Island, this innovative facility aims to leverage the chilly waters of the sea for cooling, leading to a significant drop in energy consumption.
- July 2024: China has launched an action plan to drive the green development of data centers, setting clear targets for a low-carbon transition. data centers aim to lower their average power usage effectiveness (PUE) to below 1.5, as outlined by the National Development and Reform Commission, the Ministry of Industry and Information Technology, and two central bureaus. The plan aims for data centers to achieve advanced international standards in PUE and energy efficiency, with improved renewable energy utilization and optimized water use.
Study Of Data Center Water Consumption In China Industry Segmentation
The study tracks the critical applications of water for running a large data centers, such as DC cooling, and power generation. The study also includes key applications based on the Water Consumption in Data Centers. The study also includes the overall water consumption based on the DC footprint across regions in terms of billion liters. Lastly, the study tracks the underlying trends and developments conceptualized by leading industry data center operators and cloud service providers.
The Study of Data Center Water Consumption in China is Segmented by Source of Water Procurement (Potable Water, Non-Potable Water, Other Alternate Sources), by Data Center Type (Enterprise, Colocation, Cloud Service Providers), and by Data Center Size (Mega, Massive, Large, Medium, Small). The Market Sizes and Forecasts are Provided in Terms of Volume (Billion Liters).
| Market Segmentation - By Source of Water Procurement | Potable Water (Via Regional Water Utility Companies, Local Water Authorities or Private Companies) |
| Non-Potable Water (It Includes greywater (Treated Sewage or Recycled Water) | |
| Other Alternate Source (It includes on-site Groundwater, Surface Water, Seawater, Water produced via a byproduct of oil and gas extraction, and Rainwater) | |
| Market Segmentation - By Data Center Type | Enterprise |
| Colocation | |
| Cloud Service Providers (CSPs) | |
| Market Segmentation - By Data Center Size | Mega |
| Massive | |
| Large | |
| Medium | |
| Small |
Study Of Data Center Water Consumption In China Market Research Faqs
How big is the Study Of Data Center Water Consumption In China Market?
The Study Of Data Center Water Consumption In China Market size is expected to reach 228.74 billion liters in 2025 and grow at a CAGR of 8.70% to reach 347.12 billion liters by 2030.
What is the current Study Of Data Center Water Consumption In China Market size?
In 2025, the Study Of Data Center Water Consumption In China Market size is expected to reach 228.74 billion liters.
Who are the key players in Study Of Data Center Water Consumption In China Market?
China Telecom (Asia Pacific) Pte. Ltd., Equinix, Inc., Princeton Digital Group, Keppel DC REIT Management Pte. Ltd and GLP Pte Limited. are the major companies operating in the Study Of Data Center Water Consumption In China Market.
What years does this Study Of Data Center Water Consumption In China Market cover, and what was the market size in 2024?
In 2024, the Study Of Data Center Water Consumption In China Market size was estimated at 208.84 billion liters. The report covers the Study Of Data Center Water Consumption In China Market historical market size for years: 2021, 2022, 2023 and 2024. The report also forecasts the Study Of Data Center Water Consumption In China Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
Study Of Data Center Water Consumption In China Industry Report
Statistics for the 2025 Study Of Data Center Water Consumption In China market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Study Of Data Center Water Consumption In China 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.
