Press release
Rising Demand Drives Data Center Chiller Market Toward USD 13.89 Billion Valuation by 2035
Data Center Chiller Market Overview:
The Data Center Chiller Market is witnessing significant growth due to the rising demand for energy-efficient cooling solutions in data centers, cloud infrastructure, and IT facilities. Data center chillers play a critical role in maintaining optimal operating temperatures, preventing equipment overheating, and ensuring uninterrupted data processing. Valued at USD 5.799 Billion in 2024, the market is expected to reach USD 6.278 Billion in 2025 and expand to USD 13.89 Billion by 2035, growing at a CAGR of 8.26% during the forecast period of 2025-2035.
Competitive Landscape:
Key players in the Data Center Chiller Market focus on technological innovation, energy efficiency, and global expansion:
• Carrier (US)
• Trane Technologies (IE)
• Schneider Electric (FR)
• Johnson Controls (US)
• Daikin Industries (JP)
• Mitsubishi Electric (JP)
• Hitachi (JP)
• Rittal (DE)
• Airedale International (GB)
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Key Market Drivers:
• Rising Data Center Construction: Growing cloud computing, AI, and big data applications drive demand for efficient cooling solutions.
• Energy Efficiency Regulations: Governments and organizations prioritize low-energy chillers to reduce operational costs and carbon footprint.
• Technological Advancements: Advanced chiller systems with variable speed drives and IoT-enabled monitoring improve performance.
• Increased Data Storage Demand: Rapid growth in data generation requires reliable thermal management solutions.
• Growth in Hyperscale Data Centers: Expansion of large-scale data centers increases the adoption of high-capacity chillers.
Key Market Opportunities:
• Development of next-generation eco-friendly and low-GWP (Global Warming Potential) chillers.
• Integration with AI and smart building management systems for predictive cooling.
• Expansion in emerging markets investing in cloud infrastructure and data centers.
• Retrofitting legacy cooling systems with high-efficiency chillers.
• Growing demand for modular and scalable chiller solutions for flexible data center deployment.
Market Trends & Dynamics:
• Increasing adoption of liquid cooling solutions for high-density server environments.
• Focus on renewable energy-powered and sustainable chiller systems.
• Emergence of IoT-enabled monitoring and predictive maintenance in chillers.
• Expansion in colocation and edge data centers globally.
• Growing collaborations between chiller manufacturers and data center operators for customized solutions.
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Market Segmentation:
By Chiller Type:
• Air-Cooled Chillers
• Water-Cooled Chillers
• Hybrid Chillers
By Application:
• Data Centers
• Cloud Infrastructure
• IT & Telecom Facilities
• Edge Computing Centers
By End User:
• Hyperscale Data Centers
• Enterprise Data Centers
• Colocation Service Providers
• Government & Public Sector Data Centers
By Deployment Mode:
• On-Premise Chillers
• Modular & Scalable Chillers
By Region:
• North America
• Europe
• Asia Pacific (APAC)
• South America
• Middle East & Africa (MEA)
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Geographical Insights:
• North America: Leads the market due to the presence of large-scale hyperscale data centers, early adoption of energy-efficient chillers, and strong regulatory frameworks.
• Europe: Growth driven by government incentives for green data centers, renewable energy integration, and advanced IT infrastructure.
• Asia Pacific: Expansion supported by increasing data center investments in China, India, Japan, and South Korea.
• South America & MEA: Moderate growth attributed to emerging cloud infrastructure, IT expansion, and adoption of modular chiller solutions.
Future Outlook:
The Data Center Chiller Market is expected to grow steadily over the next decade, fueled by rising demand for energy-efficient cooling, expansion of data centers, and technological innovations in chiller design. With a projected CAGR of 8.26% (2025-2035), data center chillers will remain critical in maintaining reliable, high-performance, and sustainable IT infrastructure globally.
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