Malaysia Data Center Cooling Market Size
| Study Period | 2018 - 2030 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 97.90 Million |
| Market Size (2030) | USD 290.90 Million |
| CAGR (2024 - 2030) | 19.90 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Malaysia Data Center Cooling Market Analysis
The Malaysia Data Center Cooling Market size is estimated at USD 97.90 million in 2024, and is expected to reach USD 290.90 million by 2030, growing at a CAGR of 19.90% during the forecast period (2024-2030).
- The most recent recommendation for most information technology (IT) equipment classes is a temperature between 18 and 27 degrees Celsius. Malaysia's mean annual temperature is 25.4°C. There is relatively little seasonal variability in average monthly temperature, ranging one degree Celsius between a minimum of 24.9°C in January and a maximum of 25.9°C in May.
- Manufacturers are increasingly considering hire-based equipment procurement strategies to address weather-based uncertainty without limiting purchasing power. Such a factor leads to a major driving demand for data center cooling solutions.
- The upcoming IT load capacity of the Malaysia data center market is expected to reach around 1.5K MW by 2030. The country's construction of raised floor area is expected to increase by more than 7.8 million sq. ft by 2030.
- The country's total number of racks to be installed is expected to reach more than 380K units by 2030. Cyberjaya-Kuala Lumpur is expected to house the maximum number of racks by 2030.
- Close to 25 submarine cable systems are connecting Malaysia, and many are under construction. One such submarine cable that is estimated to start service in 2024 is SEA-H2X, which stretches over 5,000 km with landing points from Kuching, Malaysia.
Malaysia Data Center Cooling Market Trends
IT and Telecom Held Significant Share in 2023
- As the digital landscape expands and data centers multiply, the need for efficient and sustainable cooling solutions has seen a significant uptick. This demand is largely fueled by the telecom sector's push to offer content, mobile, and cloud services, propelling a swift expansion in data center demand. Given the critical role these facilities play, maintaining their uninterrupted operation is paramount. With the increasing interconnection of data centers and the growing demand for WAN connectivity, there's a heightened strain on network resources, leading to elevated storage needs and energy consumption, hence the imperative for effective data center cooling.
- The advent of 5G technology is poised to boost consumption rates, driving a heightened demand for robust data storage solutions in the industry. Key to unlocking the full potential of 5G applications is the advancement of digital infrastructures, particularly data centers. Consequently, an increasing number of investors are inking deals in preparation for the imminent 5G rollout.
- Many cloud providers are entering the Malaysian market. For instance, in May 2024, Google announced a significant move, with plans to invest USD 2 billion in a Malaysian data center and cloud hub. Following suit, Microsoft also made headlines in the same month, revealing a USD 2.2 billion investment aimed at propelling Malaysia's cloud and AI initiatives.
Liquid-based Cooling is one of the Fastest-Growing Segment During Forecast Period
- As nations urgently combat the impacts of climate change, it's imperative that future infrastructure aims to cap temperature rises at 2°C above pre-industrial levels. The focus on smart district cooling systems in Malaysia is crucial for enhancing energy demand management.
- Managing thermal loads in telecom facilities and electronic enclosures is crucial. Liquid cooling, with its significantly higher heat-carrying capacity than air, emerges as a promising solution. For instance, water can carry approximately 3,500 times more heat than air. Implementing economizer-based liquid cooling and advanced metal interfaces can slash cooling energy consumption to just 5% of the data center's total energy usage. This conserves energy and aids in lowering carbon dioxide (CO2) emissions.
- The Malaysian data center market is witnessing a surge in investments, highlighted by AirTrunk's debut in the nation, unveiling plans for a 150+ MW data center. Equinix and Google have also revealed intentions to bolster Malaysia's data center landscape with their hyperscale facilities. Moreover, providers are adopting liquid cooling technology to lower power consumption in their data centers. A notable innovation in this realm combines indirect evaporative cooling (IEC) with direct-to-chip liquid cooling. This approach, especially favored by AirTrunk customers, allows for high-density rack deployment, cutting energy usage by as much as 20%. These advancements directly support the segment's growth trajectory.
Malaysia Data Center Cooling Industry Overview
The Malaysian data center cooling market has witnessed significant consolidation among key players, resulting in a heightened competitive landscape in recent years. Among the prominent players in this market are Rittal Gmbh & Co. KG, Schneider Electric SE, and Vertiv Group Corp. These industry leaders, boasting substantial market shares, are dedicated to expanding their customer base across the region. They employ strategic collaborative initiatives to enhance their market share and profitability. Moreover, companies such as STULZ Gmbh, Schneider Electric SE, and Vertiv Group Corp. offer liquid and air-based cooling products.
Malaysia Data Center Cooling Market Leaders
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Schneider Electric SE
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Rittal Gmbh & Co. KG
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Vertiv Group Corp.
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Johnson Controls Inc.
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Carrier Global Corporation
*Disclaimer: Major Players sorted in no particular order
Malaysia Data Center Cooling Market News
- July 2024: Munters Group acquired Geoclima Group, a move that strategically complemented Munters' business area data center technology (DCT). DCT is renowned for its cutting-edge climate solutions, including technologies like Oasis evaporative cooling and SyCool pumped refrigerant systems. By incorporating Geoclima's high-efficiency chillers into its offerings, DCT has bridged a crucial gap and enhanced its strategic positioning. This acquisition is poised to propel Geoclima into a more prominent role in the expansive data center market, promising growth opportunities that transcend its current scope.
- June 2024: Petronas Lubricants International partnered with Iceotope to launch a cutting-edge data center cooling fluid.
Malaysia Data Center Cooling Market Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumption and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Key cost considerations for Cooling
4.2.1 Analysis of the key cost overheads related to DC operations with an eye on DC Cooling
4.2.2 Comparative Study of the cost and operational considerations related to each Cooling technology - based on key factors such as design complexity, PUE, advantages, drawbacks, extent of utilization of natural weather conditions)
4.2.3 Key innovations and developments in Data Center Cooling
4.2.4 Key energy efficiency practices adopted in Data Centers
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Technological Developments and Energy Savings In Server Rooms To Drive Market Growth
5.1.2 Data Center Investments And New Data Center Construction To Drive Market Growth
5.2 Market Challenges
5.2.1 Higher Energy Consumption And Need For More Water For Data Center Cooling To Hinder Market Growth
5.3 Market Opportunities
5.3.1 Increasing Sustainability, Emergence of Green and Renewable Data Centers To Create Opportunity For Energy Efficient Data Center Cooling
5.4 Industry Ecosystem Analysis
6. ANALYSIS OF THE CURRENT DATA CENTER FOOTPRINT IN MALAYSIA
6.1 Analysis of IT Load Capacity & Area footprint of Data Centers (for the period of 2017-2030)
6.2 Analysis of the current DC hotspots and scope for future expansion in Malaysia
6.3 Analysis of major Data Center Contractors and Operators in Malaysia
7. MARKET SEGMENTATION
7.1 By Cooling Technology
7.1.1 Air-based Cooling
7.1.1.1 Chiller and Economizer
7.1.1.2 CRAH
7.1.1.3 Cooling Tower (covers direct, indirect, and two-stage cooling)
7.1.1.4 Other Air-based Cooling Technologies
7.1.2 Liquid-based Cooling
7.1.2.1 Immersion Cooling
7.1.2.2 Direct-to-Chip Cooling
7.1.2.3 Rear-Door Heat Exchanger
7.2 By Type
7.2.1 Hyperscalers (owned & Leased)
7.2.2 Enterprise (On-premise)
7.2.3 Colocation
7.3 By End-user Industry
7.3.1 IT and Telecom
7.3.2 Retail and Consumer Goods
7.3.3 Healthcare
7.3.4 Media and Entertainment
7.3.5 Federal and Institutional agencies
7.3.6 Other End-user Industries
8. COMPETITIVE LANDSCAPE
8.1 Company Profiles
8.1.1 Schneider Electric SE
8.1.2 Rittal Gmbh & Co. KG
8.1.3 Vertiv Group Corp.
8.1.4 Johnson Controls Inc.
8.1.5 Geoclima S.r.l.
8.1.6 Carrier Global Corporation
8.1.7 GIGA-BYTE Technology Co. Ltd
8.1.8 Eaton Corporation PLC
8.1.9 Right Power Technology Sdn Bhd
8.1.10 Huawei Digital Power Technologies Co. Ltd
- *List Not Exhaustive
9. INVESTMENT ANALYSIS
10. MARKET OPPORTUNITIES AND FUTURE TRENDS
11. ABOUT US
Malaysia Data Center Cooling Industry Segmentation
Data center cooling is a set of techniques and technologies to maintain optimal operating temperatures in data center environments. Data center cooling is critical as data center facilities 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 Malaysian data center cooling market is segmented into technology (air-based cooling [chillers and economizers, CRAH, cooling towers, and other air-based cooling technologies] and liquid-based cooling (immersion cooling, direct-to-chip cooling, and rear-door heat exchanger]), type of data center (hyperscaler, enterprise, and colocation), and end-user industry (IT and telecom, retail and consumer goods, healthcare, media and entertainment, federal and institutional agencies, and other end-user industries).
| By Cooling Technology | ||||||
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| By Type | |
| Hyperscalers (owned & Leased) | |
| Enterprise (On-premise) | |
| Colocation |
| By End-user Industry | |
| IT and Telecom | |
| Retail and Consumer Goods | |
| Healthcare | |
| Media and Entertainment | |
| Federal and Institutional agencies | |
| Other End-user Industries |
Malaysia Data Center Cooling Market Market Research Faqs
How big is the Malaysia Data Center Cooling Market?
The Malaysia Data Center Cooling Market size is expected to reach USD 97.90 million in 2024 and grow at a CAGR of 19.90% to reach USD 290.90 million by 2030.
What is the current Malaysia Data Center Cooling Market size?
In 2024, the Malaysia Data Center Cooling Market size is expected to reach USD 97.90 million.
Who are the key players in Malaysia Data Center Cooling Market?
Schneider Electric SE, Rittal Gmbh & Co. KG, Vertiv Group Corp., Johnson Controls Inc. and Carrier Global Corporation are the major companies operating in the Malaysia Data Center Cooling Market.
What years does this Malaysia Data Center Cooling Market cover, and what was the market size in 2023?
In 2023, the Malaysia Data Center Cooling Market size was estimated at USD 78.42 million. The report covers the Malaysia Data Center Cooling Market historical market size for years: 2018, 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Malaysia Data Center Cooling Market size for years: 2024, 2025, 2026, 2027, 2028, 2029 and 2030.
Malaysia Data Center Cooling Market Industry Report
Statistics for the 2024 Malaysia Data Center Cooling market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Malaysia Data Center Cooling analysis includes a market forecast outlook to for 2024 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
