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Data Center Cooling Market Analysis By Component (Solution, Services), By Industry Vertical (BFSI, Manufacturing, IT & Telecom, Media & Entertainment, Government & Defense, Healthcare, Energy, Others) & Forecast

  • PUBLISHED ON
  • 24/03/2023
  • NO OF PAGES
  • 268
  • CATEGORY
  • Machinery & Heavy Industry

Market Overview:

The global data center cooling market size was valued at USD 15,541.8 million in 2022, and is projected to reach USD 32,308.7 million by 2033 at a CAGR of 15.0% from 2023 to 2033. The data center cooling market refers to the technologies and solutions used to maintain optimal temperature and humidity levels in data centers. The goal of data center cooling is to prevent overheating of the IT equipment and maintain a stable and efficient operating environment for the servers and other hardware.

Report Attributes

Description

Market Size in 2022

USD 15,541.8  Million

Market Forecast in 2033

USD 32,308 Million

CAGR % 2023-2033

15%

Base Year

2022

Historic Data

2019-2021

Forecast Period

2023-2033

Report USP

Production, Consumption, company share, company heatmap, company production capacity, growth factors and more

Segments Covered

Type, component and industry vertical

Regional Scope

North America, Europe, APAC, South America and Middle East and Africa

Country Scope

U.S.; Canada; U.K.; Germany; France; Italy; Spain; Benelux; Nordic Countries; Russia; China; India; Japan; South Korea; Australia; Indonesia; Thailand; Mexico; Brazil; Argentina; Saudi Arabia; UAE; Egypt; South Africa; Nigeria

Key Companies

Schneider Electric SE, Vertiv Co., Stulz GmbH, Rittal GmbH & Co. KG, Airedale International Air Conditioning Ltd, Mitsubishi Electric Corporation, Asetek A/S, Submer Technologies SL, Black Box Corporation, Climaveneta S.p.A., Delta Electronics, Inc., Huawei Technologies Co., Ltd., Fujitsu Limited, Hitachi, Ltd., Nortek Air Solutions, LLC,


Efficient data center cooling is essential to ensure that servers and other IT equipment are operating at their optimal performance levels. By maintaining optimal temperatures and humidity levels, businesses can reduce the risk of downtime and equipment failure, which can have significant financial and reputational costs. Additionally, effective cooling solutions can improve energy efficiency, reduce operating costs, and lower the carbon footprint of data centers. Data center cooling solutions include various technologies and methods, including air conditioning, liquid cooling, free cooling, and heat pumps. These solutions can be integrated with other data center infrastructure systems, such as power distribution and server racks, to create a comprehensive and efficient operating environment.

The adoption of data center cooling solutions is increasing as the demand for data storage and processing continues to grow. As more businesses rely on cloud computing, big data analytics, and other data-intensive applications, the need for efficient and reliable cooling solutions becomes increasingly critical. The data center cooling market is expected to grow significantly in the coming years, driven by factors such as the increasing demand for high-performance computing, the adoption of green data center technologies, and the need to reduce energy consumption and operating costs. In addition, the growing trend of edge computing, which involves bringing computing resources closer to the user or device, is also driving the demand for innovative cooling solutions. Edge data centers often have unique cooling requirements due to their smaller size, distributed architecture, and location in remote or harsh environments.

Market Dynamics

The growing demand for data storage and processing is the primary driver of the data center cooling market.

The data center cooling market is being driven by the increasing demand for data storage and processing, which is being driven by the growth of cloud computing, big data analytics, and other data-intensive applications. As businesses become increasingly reliant on data centers to store and process their data, the need for efficient and reliable cooling solutions becomes increasingly important. In addition to the growth of data-intensive applications, the trend towards green data center technologies is also driving the market. With the rising cost of energy and the need to reduce carbon emissions, data center operators are looking for more energy-efficient and environmentally friendly cooling solutions to reduce operating costs and meet sustainability goals.

Moreover, the increasing adoption of advanced technologies such as artificial intelligence (AI), machine learning (ML), and the Internet of Things (IoT) is driving the demand for data centers, which in turn is driving the need for effective cooling solutions. These technologies generate a vast amount of data, which needs to be stored and processed in data centers, further fueling the growth of the data center cooling market.

Key Companies

• Schneider Electric SE

• Vertiv Co.

• Stulz GmbH

• Rittal GmbH & Co. KG

• Airedale International Air Conditioning Ltd

• Mitsubishi Electric Corporation

• Asetek A/S

• Submer Technologies SL

• Black Box Corporation

• Climaveneta S.p.A.

• Delta Electronics, Inc.

• Huawei Technologies Co., Ltd.

• Fujitsu Limited

• Hitachi, Ltd.

• Nortek Air Solutions, LLC

Segmentation:

Data center cooling is an essential aspect of data center infrastructure management. It is a critical factor that contributes to the efficient operation of data centers by preventing the overheating of servers, network equipment, and other IT hardware. The following are some of the segmental trends in data center cooling:

Air-based coolig: Air-based cooling is the most common method of data center cooling. It involves the use of computer room air conditioning (CRAC) units to cool the air within the data center. This method has been in use for many years and is still widely used today.

Liquid-based cooling: Liquid-based cooling is a newer method of data center cooling that is gaining popularity. It involves the use of liquid-cooled racks, which are more efficient at removing heat from the data center than air-based systems. This method is also more environmentally friendly because it requires less energy to cool the data center.

Free cooling: Free cooling is a technique that uses outside air to cool the data center instead of relying on mechanical cooling systems. This method is becoming more popular due to its cost-saving benefits and environmental friendliness.

Direct-to-chip cooling: Direct-to-chip cooling is a method of cooling individual processors within the data center. It involves the use of specialized cooling units that are attached directly to the processors. This method is highly efficient at removing heat from the processors, which can improve their performance and lifespan.

Modular cooling: Modular cooling is a method of data center cooling that involves the use of self-contained cooling units. These units can be installed quickly and easily, making them ideal for data centers that require rapid deployment or frequent reconfiguration.

Overall, data center cooling is a rapidly evolving field, and new cooling technologies and methods are being developed all the time. As data centers become increasingly important to modern business operations, it is likely that the demand for innovative and efficient cooling solutions will continue to grow.

By Component:

• Solution

• Services

By Industry Vertical:

• BFSI

• Manufacturing

• IT & Telecom

• Media & Entertainment

• Government & Defense

• Healthcare

• Energy

• Others


Geography:

The data center cooling market is dominated by North America, followed by Europe and the Asia-Pacific region. The United States is the largest market for data center cooling solutions, driven by the high concentration of data centers in the region, particularly in Silicon Valley and other major technology hubs. Europe is the second-largest market, led by countries such as the UK, Germany, and France. The Asia-Pacific region is also experiencing significant growth, driven by the rapid expansion of data centers in countries such as China, India, and Singapore.

Latin America is a rapidly growing market for data centers, and as such, there are several notable trends in data center cooling that are specific to the region. Some of these trends include:

Adoption of liquid cooling: Liquid cooling is becoming more popular in Latin America due to its increased efficiency and lower energy consumption. This method is particularly popular in Brazil, which is the largest data center market in the region.

Increased use of free cooling: Many data center operators in Latin America are exploring the use of free cooling, which involves using outside air to cool the data center instead of relying on mechanical cooling systems. This approach can significantly reduce energy consumption and costs.

Growing demand for modular cooling: Modular cooling solutions are gaining popularity in Latin America due to their flexibility and scalability. These systems allow data center operators to quickly and easily add or remove cooling capacity as needed.

Focus on energy efficiency: Data center operators in Latin America are placing a greater emphasis on energy efficiency, as energy costs are relatively high in the region. As a result, there is a growing demand for energy-efficient cooling solutions, such as liquid cooling and free cooling.

Need for local expertise: As the demand for data centers grows in Latin America, there is a growing need for local expertise in data center cooling. This includes not only equipment providers but also specialists in design, installation, and maintenance.

Overall, the data center market in Latin America is rapidly evolving, and there are several notable trends in data center cooling. These trends reflect a growing emphasis on energy efficiency, flexibility, and scalability, as well as the need for local expertise in the region.


Impact of COVID-19 on the global Data Center Cooling Market:

The COVID-19 pandemic has had a mixed impact on the data center cooling market. On the one hand, the increased demand for cloud services and remote working has led to a surge in data center activity, driving the need for more efficient and effective cooling solutions. On the other hand, supply chain disruptions and delays in construction projects have slowed down market growth to some extent. During the early stages of the pandemic, there was a significant increase in internet traffic as more people started working from home and using online services. This led to an increased demand for data center services and cooling solutions, as data centers worked to keep up with the higher demand. However, the pandemic also caused a slowdown in new data center construction and upgrades, which affected the demand for new cooling solutions. Furthermore, the pandemic caused supply chain disruptions, which led to delays in the delivery of cooling equipment and components. Some data center operators had to delay their expansion plans due to the shortage of equipment and the limited availability of construction labor.

 

Impact of the Russia-Ukraine War on the global Data Center Cooling Market:

The ongoing Russia-Ukraine conflict has not had a significant impact on the data center cooling market. Most of the major data center cooling companies are headquartered in other regions and do not have a significant presence in the conflict zone. However, there may be some indirect impact due to geopolitical tensions and potential disruptions in the global supply chain. The conflict could potentially disrupt the supply chain for data center cooling equipment and components, as many of these products are manufactured in countries that are geographically close to the conflict zone. Any disruption in the supply chain could lead to delays in the delivery of equipment and components, which could affect the construction and expansion plans of data center operators. Furthermore, the geopolitical tensions between Russia and Ukraine could potentially lead to changes in international trade policies and regulations, which could also impact the data center cooling market. However, at this point, it is difficult to predict the extent of the impact, as the conflict is ongoing and the situation is constantly evolving.


Why to buy this Report?

The report provides quantitative and qualitative aspect for the market in terms of value and volume, along with supporting market trends, challenges, restraints.

The report provides an in depth analysis from both production and consumption point of view at the regional and country level. Key Factors considered within the report scope are Production capacity by countries/regions, average price, consumption ratio, revenue earned and gross margin.

The report provides competitive analysis of around 30-50 companies operated in the market, these companies are bifurcated into niche players, the leaders and major contenders. The companies are analyzed in terms of following factors such as:

§ Business Model

§  Production Capacity, Revenue, Sales, Gross Margin

§  Key Business Strategy

§  SWOT Analysis

In terms of competitive landscape, the report provides distinctive factors that would help the end user in taking a key decision within the business:

§  Company Share Analysis from 2018-2022

§  Company Analysis by Revenue and Sales

§  Company Production Capacity, Gross Margin

§  Company Share Analysis by Application/End Use

§  Company Share Analysis by Product/Specification




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