Market Size of United States Data Center Cooling Industry
Study Period | 2018 - 2030 |
Base Year For Estimation | 2023 |
Market Size (2024) | USD 3.20 Billion |
Market Size (2030) | USD 8.5 Billion |
CAGR (2024 - 2030) | 18.90 % |
Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
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United States Data Center Cooling Market Analysis
The United States Data Center Cooling Market size is estimated at USD 3.20 billion in 2024, and is expected to reach USD 8.5 billion by 2030, growing at a CAGR of 18.90% during the forecast period (2024-2030).
The increasing demand for cloud computing among SMEs, government regulations for local data security, and growing investments by domestic players are some of the major factors driving the demand for data centers in the country.
- Under Construction IT Load Capacity: The IT load capacity of the US data center rack market is expected to reach 24,000 MW by 2029.
- Under Construction Raised Floor Space: The country's construction of raised floor area is expected to increase to 80 million sq. ft by 2029.
- Planned Racks: The country's total number of racks installed is expected to reach 4,035,000 units by 2029. Northern Virginia is expected to house the maximum number of racks by 2029. In 2022, the average annual temperature in the United States was 11.8 °C. Depending upon climatic conditions, the DC cooling is done in the DC facilities.
- Planned Submarine Cables: More than 90 submarine cable systems connect the United States, and many are under construction. One such submarine cable, which is estimated to start service in 2025, is Gold Data-1; it stretches over 2,333 km with landing points from Naples to the United States.
United States Data Center Cooling Industry Segmentation
Data center cooling is a set of techniques and technologies to maintain optimal operating temperatures in data center environments. This is important because data centers house many computer servers and network equipment that generate heat during operation. Efficient cooling systems are used to dissipate this heat and prevent equipment from overheating, ensuring continued reliable operation of the data center. Various methods, such as air conditioning, liquid cooling, and hot/cold aisle containment, are commonly used to control temperature and humidity in data centers.
The US data center cooling market is segmented by cooling technology (air-based cooling (CRAH, chillers and economizers, cooling towers, and others), liquid-based cooling (immersion cooling and direct-to-chip cooling), and evaporative cooling) and end user (IT & telecommunication, BFSI, government, and media & entertainment). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
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United States Data Center Cooling Market Size Summary
The United States data center cooling market is poised for significant growth, driven by the increasing demand for cloud computing, stringent government regulations on data security, and substantial investments by domestic players. The proliferation of hybrid cloud service providers and the rising need for cost-effective data storage solutions are further propelling the market. As the digital economy expands and internet usage surges, the demand for data storage and processing capabilities is escalating, necessitating advanced cooling solutions for data centers. The market is characterized by the adoption of innovative technologies such as liquid cooling, which offers energy-efficient alternatives to traditional air conditioning systems, thereby enhancing the operational efficiency of data centers.
The market landscape is moderately fragmented, with key players like Stulz GmbH, Rittal GMBH & Co.KG, Schneider Electric SE, Vertiv Group Corp., and Mitsubishi Electric Hydronics & IT Cooling Systems S.p.A. leading the charge in expanding their regional customer bases. Recent strategic partnerships and acquisitions, such as Carrier Global Corporation's collaboration with Strategic Thermal Labs and Vertiv's acquisition of Cooltera Ltd, underscore the industry's focus on enhancing cooling solutions. The implementation of 5G technology and the subsequent increase in data consumption are also contributing to the market's expansion, as they drive the need for more robust data center infrastructure. As new data center construction projects emerge, the demand for advanced cooling solutions is expected to rise, further bolstering the market's growth trajectory.
United States Data Center Cooling Market Size - Table of Contents
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1. Market Dynamics
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1.1 Market Overview
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1.2 Market Drivers
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1.2.1 Increasing Trend of High-Performance Computing across Europe
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1.2.2 Growing Rack Power Density
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1.3 Market Restraints
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1.3.1 Cost, Adaptability Requirement and Power Outages
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1.4 Value Chain / Supply Chain Analysis
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1.5 Industry Attractiveness - Porter's Five Forces Analysis
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1.5.1 Threat of New Entrants
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1.5.2 Bargaining Power of Buyers/Consumers
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1.5.3 Bargaining Power of Suppliers
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1.5.4 Threat of Substitute Products
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1.5.5 Intensity of Competitive Rivalry
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1.6 Assessment of COVID-19 Impact
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2. MARKET SEGMENTATION
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2.1 Cooling Technology
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2.1.1 Air-based Cooling
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2.1.1.1 CRAH
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2.1.1.2 Chiller and Economizer
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2.1.1.3 Cooling Tower
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2.1.1.4 Others
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2.1.2 Liquid-based Cooling
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2.1.2.1 Immersion Cooling
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2.1.2.2 Direct-to-Chip Cooling
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2.2 End User
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2.2.1 IT & Telecommunication
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2.2.2 BFSI
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2.2.3 Government
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2.2.4 Media & Entertainment
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2.2.5 Other End User
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United States Data Center Cooling Market Size FAQs
How big is the United States Data Center Cooling Market?
The United States Data Center Cooling Market size is expected to reach USD 3.20 billion in 2024 and grow at a CAGR of 18.90% to reach USD 8.5 billion by 2030.
What is the current United States Data Center Cooling Market size?
In 2024, the United States Data Center Cooling Market size is expected to reach USD 3.20 billion.