At 16.1% CAGR, the North America Data Center Cooling Market is Speculated to be Worth US$ 19,351.81 Million by 2031, Says Business Market Insights

According to Business Market Insights' research, the North America data center cooling market was valued at US$ 5,878.74 in 2023 and is expected to reach US$ 19,351.81 million by 2031, registering a CAGR of 16.1% from 2023 to 2031. Increasing demand for compute-intensive workloads and rising investments in data centers are among the critical factors attributed to the North America data center cooling market expansion.

Various industries are incorporating AI and machine learning to enhance customer experience, bolster cybersecurity measures, and revolutionize their business processes. The deployment of these technologies and the optimization of their value necessitate robust infrastructure capable of handling increasingly complex workloads. The compute-intensive nature of AI model training has driven the evolution of hardware to meet the escalating demands of AI and other advanced applications. For instance, in April 2024, Lenovo announced a comprehensive new suite of purpose-built AI-centric infrastructure systems and solutions to advance Hybrid AI Innovation from edge to cloud. Lenovo is delivering GPU-rich and thermally efficient solutions intended for computing intensive workloads across multiple environments and industries. In the financial services and healthcare industries, customers are managing massive data sets that require extreme I/O bandwidth, and Lenovo is providing the IT infrastructure solutions vital to the management of critical data. Across all these solutions is Lenovo TruScale, which provides the ultimate flexibility, scale, and support for customers to on-ramp demanding AI workloads completely as a service. In March 2024, NVIDIA announced the launch of NVIDIA Blackwell GPU architecture. The Blackwell GPU architecture is the world's most powerful chip, packed with 208 billion transistors. It is manufactured using a custom-built 4NP TSMC process with two-reticle limit GPU dies connected by 10 TB/second chip-to-chip link into a single, unified GPU. When electricity passes through a semiconductor, it creates heat. The more powerful the chip, the higher the heat released, which necessitates the need for cooling solutions in data centers.

The exponential growth in the volume of data owned by organizations has highlighted the need for progressively powerful tools and technologies to transform this data into actionable insights that boost tangible business outcomes. Over the years, computing hardware has continuously evolved to augment computing capacity, laying the foundation for the current era of high-performance computing. This evolution in computing hardware reflects a proactive response to the escalating demands of data processing, analytics, and transformative technologies. As enterprises continue to harness the potential of AI and machine learning, the ongoing evolution of computing hardware plays a pivotal role in enabling the efficient processing and utilization of vast amounts of data, thereby empowering organizations to make informed decisions and analyze data assets. The heightened computing capacity and demands for hardware have resulted in increased power consumption and heat generation. As a result, rising data center temperatures, attributed to the use of higher-density hardware, have highlighted the significance of liquid cooling as a crucial technology for mitigating these thermal challenges. Thus, the increasing demand for compute-intensive workloads drives the data center cooling market.

On the contrary, high cost associated with data center cooling hampers the growth of North America data center cooling market.

Based on component, the North America data center cooling market is segmented into air conditioning system, chillers, air handling units, cooling towers, heat exchangers, humidifiers, and others. The air conditioning system segment held 34.2% share of the North America data center cooling market in 2023, amassing US$ 2,011.84 million. It is projected to garner US$ 7,675.83 million by 2031 to expand at 18.2% CAGR during 2023–2031.

Based on cooling type, the North America data center cooling market is segmented into room based cooling, row based cooling, and rack based cooling. The room based cooling segment held 53.4% share of the North America data center cooling market in 2023, amassing US$ 3,138.46 million. It is projected to garner US$ 9,886.73 million by 2031 to expand at 15.4% CAGR during 2023–2031.

Based on data center type, the North America data center cooling market is segmented into hyperscale data center, colocation data center, wholesale data center, and enterprise data center. The hyperscale data center segment held 33.8% share of the North America data center cooling market in 2023, amassing US$ 1,986.75 million. It is projected to garner US$ 7,084.41 million by 2031 to expand at 17.2% CAGR during 2023–2031.

Based on industry vertical, the North America data center cooling market is segmented into IT and telecom, BFSI, healthcare, manufacturing, government and defense, media and entertainment, retail, energy, and others. The IT and telecom segment held 24.2% share of the North America data center cooling market in 2023, amassing US$ 1,420.02 million. It is projected to garner US$ 5,644.62 million by 2031 to expand at 18.8% CAGR during 2023–2031.

Based on country, the North America data center cooling market is segmented into the US, Canada, and Mexico. The US held 85.9% share of North America data center cooling market in 2023, amassing US$ 5,047.55 million. It is projected to garner US$ 17,173.42 million by 2031 to expand at 16.5% CAGR during 2023–2031.

Key players operating in the data center cooling market are Asetek, Inc; Mitsubishi Corp; Stulz SpA; Vertiv Group Corp.; Aspen Systems, LLC.; Daikin Industries Ltd; Delta Electronics Inc; Danfoss AS; Motivair Corporation; Madison Industries; Fujitsu Ltd; Rittal GmbH & Co KG; Schneider Electric SE; Trane Technologies Plc; Black Box Corporation; Carrier Global Corp; Alfa Laval AB; Hewlett Packard Enterprise Development LP; Boyd Corp; and Evapco Inc, among others.

Contact Us
Phone: +16467917070
Email Id: sales@businessmarketinsights.com