This market research report on the global data center cooling market offers analysis on market size & forecast, market share, industry trends, growth drivers, and vendor analysis. The market study also includes insights on segmentation by cooling infrastructure (cooling system and other infrastructure), by cooling technique (air-based cooling and liquid-based cooling), by cooling systems (CRAC & CARH, chiller, cooling towers & dry coolers, economizers & evaporative coolers, and other cooling units), and geography (America, EMEA, and APAC).
The growing demand for facilities development and increasing need to improve energy efficiency through a reduction in power consumption and carbon footprint is leading to the growth of the data center cooling market. The emergence of edge computing that is fostering the development of secondary datacenter markets through the adoption of modular facilities is driving the demand for cooling solutions in the global market. Hyperscale operators are focusing on the procurement of 100% renewable energy to promote sustainable development of the facility in the global market with the incorporation of energy efficient infrastructure. Regions such as the US, Canada, and Nordic are facilitating both free cooling and cheaper electricity rate to reduce power costs in the market. The adoption of energy efficient cooling infrastructure solutions helps reduce the electricity cost and enable facility operations at a PUE of less than 1.3 in the global market. Furthermore, the increased procurement of free cooling chillers, evaporative, and economization-based cooling units will transform the global market. Hyperscale construction vendors such as Apple, Facebook, Google, AWS, Microsoft, Alibaba, Baidu, OVH, and China Telecom are investing billion dollars in the development of new facilities in the market. The increase in rack power density of up to 40 kW will boost the demand for efficient infrastructure in the market. The innovations that aim to enhance the operational efficiency of the facilities, reduce power consumption, and decrease carbon emissions will help generate revenues in the global data center cooling market.
The adoption of innovative and energy efficient cooling infrastructure solutions helps to reduce the power consumption by up to 50% and operating expenditure of the facility in the global market. The increasing number of research and development projects on tropical climate datacenters and under water datacenters is expected to gain prominence in the market over the next few years. The global data center cooling market is anticipated to reach values of around $8 billion by 2023, growing at a CAGR of approximately 6% during 2017-2023. The market research report also offers market size by cooling systems during the forecast period.
The scouting of optimal and favorable locations for datacenter construction and cooling solutions are driving the evolution of the global data center cooling market. Factors such as cost, power availability, free cooling options, availability of water for cooling, tax incentives, carrier availability, and demand play an important role in site selection in the global market. The site location plays a major role in the selection of infrastructure providers in the market benefiting global infrastructure providers to a major extent. These factors are creating new avenues for top vendors in the global market. The focus on reducing the OPEX and water consumption across facilities is urging operators to use free cooling techniques and water treatment plants in the global data center cooling market. North America, Western Europe, and Nordic are the most popular region using these facilities in the market.
This market research report includes a detailed segmentation of the market by cooling infrastructure, cooling technique, cooling systems, and geography.
Dual feed cooling systems to gain traction in the global data center cooling market during the forecast period
The data center cooling market by cooling infrastructure is segmented into cooling systems and other infrastructure. Cooling systems segment dominated the majority of the market share in 2017, growing at a CAGR of more than 5% during the forecast period. The increasing focus on developing Tier III facilities with N+N or 2N redundancy for CRAC and CRAH units to increase the efficiency and productivity of this infrastructure in the global market. The growing popularity of using dual water feeds in datacenters with on-site water treatment plants will revolutionize this segment in the global market during the forecast period. The growing importance of ASHRAE facilities cooling guidelines and the Uptime Institute’s Tier standards for redundant design will encourage operate flexible designs in the segment in the global market. Colocation operators investing millions of dollars in developing facilities are involved in the adoption of efficient cooling systems and incorporate facility design. Increasing IT load will help generate more revenues in the data center cooling market over next few years.
Increasing deployment of the economizer and evaporative cooling systems to boost revenues in the global data center cooling market
The cooling technique segment in the global data center cooling market is classified into air-based cooling and liquid-based cooling. Air-based cooling segment occupied the largest market share in 2017, growing at a CAGR of approximately 7% during the forecast period. The increasing use of traditional CRACs and free cooling solutions to cool the IT infrastructure in facilities is augmenting the growth of this segment in the global market. Free cooling is gaining traction among facilities operators in the US, Europe, Nordic, Canada, and Japan. The growing adoption of evaporative coolers that facilitate partial cooling with indoor CRAC units will help transform the global data center cooling market over the next few years. The different types of air-based cooling solutions available in the global market are DX-based CRAC units, free cooling technique solutions, air-cooled chiller-based cooling, and dry coolers. Innovations in cooling infrastructures and the implementation of on-site water treatment plants will transform the global market.
Adoption of 2N CRAC or CRAH units will augment the evolution of the global data center cooling market during the forecast period
The global data center cooling market by cooling systems is divided into CRAC & CARH, chiller, cooling towers & dry coolers, economizers & evaporative coolers, and other cooling units. CRAC & CARH units segment dominated the market share in 2017, growing at a CAGR of approximately 5% during the forecast period. The deployment of hyperscale and mega facilities is driving the adoption of 2N CRAC or CRAH units in the global market. The focus on building flexible designs and the incorporation of additional units or unit of higher capacity as the per the requirement of the consumers is propelling the growth of this segment in the global data center cooling market. The construction of modern facilities that operate at a rack power density of over 10 kw will drive the demand for sophisticated systems in the market. The increasing use of CRAC and CRAH units to supply cold air and exhaust hot air from the data hall will boost development in the global market during the forecast period.
North America to contribute around 40% of the revenues in the global data center cooling market during the forecast period
The geographical segment in the global data center cooling market is categorized into the Americas, EMEA, and APAC. The Americas occupied maximum market share in 2017, growing at a CAGR of around 3% during the forecast period. In the Americas, the US generated most of the revenue through increased facility investments in South Eastern and South Western regions namely, Virginia and Texas. The US witnessed the highest number of facilities construction and it’s the largest revenue generator in the global market. The implementation of free cooling techniques such as evaporative coolers, economizers, and free cooling chillers among facilities in the Americas that experience cold winter conditions and peak summer conditions will boost revenues in the global data center cooling market. A few data centers in South Eastern and the Western US are likely to prefer chilled water systems with the economizer mode to facilitate partial cooling of the facility using outside air. The adoption of innovative cooling systems such as direct liquid cooling and liquid immersion cooling solutions will contribute to the evolution of the American market over the next few years.
Key Countries Profiled
The global data center cooling market includes many regional and global players who are intensifying the competition. The vendors are focusing on offering specific products or a complete range of infrastructure solutions to sustain the competition in the global market. The increase in innovations that lead to the development of new products will revolutionize the market over the next few years. The increased deployment of modular facilities in Southeast Asia (except Singapore), Latin America, MEA, and Eastern European countries will increase the competition in aid vendors to gain a larger market share and attract new sets of consumers. The adoption of energy efficient infrastructure and other innovative infrastructures that boost efficiency, reliability and availability of datacenter operations will boost revenues in the global data center cooling market.
The major vendors in the global market are:
Other prominent vendors include 3M, AIRSYS, Alfa Laval, Allied Control, Asetek, ClimateWorx International, Coolcentric (Wakefield-Vette), CoolIT Systems, Daikin Applied, Data Aire, Emicon, Geist Global, Green Revolution Cooling, KyotoCooling, Motivair Corp., Munters, Nortek Air Solutions, Nortek Humidity, Pentair, QCooling, and Trane.
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