North America Data Center Cooling Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The North America Data Center Cooling Market Report is Segmented by Cooling Technology (Air-Based Cooling (CRAH, Chiller and Economizer, Cooling Tower (covers Direct, Indirect, and Two-Stage Cooling), and Others)), Liquid-Based Cooling (Immersion Cooling, Direct-To-Chip Cooling, and Rear-Door Heat Exchanger), End-User Vertical (IT & Telecom, Retail & Consumer Goods, Healthcare, Media & Entertainment, Federal & Institutional Agencies, and Other End-User Verticals), and Geography (United States, Canada, and the Rest of North America). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

North America Data Center Cooling Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

North America Data Center Cooling Market Size

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North America Data Center Cooling Market Summary
Study Period 2019 - 2030
Base Year For Estimation 2024
Forecast Data Period 2025 - 2030
Market Size (2025) USD 7.20 Billion
Market Size (2030) USD 12.58 Billion
CAGR (2025 - 2030) 11.80 %
Market Concentration Low

Major Players

North America Data Center Cooling Market Major Players

*Disclaimer: Major Players sorted in no particular order

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North America Data Center Cooling Market Analysis

The North America Data Center Cooling Market size is estimated at USD 7.20 billion in 2025, and is expected to reach USD 12.58 billion by 2030, at a CAGR of 11.8% during the forecast period (2025-2030).

The North American data center landscape is undergoing a profound digital transformation, driven by widespread internet adoption and evolving consumer behaviors. With internet penetration reaching 92% of the total US population by 2022, digital services have become deeply integrated into daily life. This digital surge is particularly evident in the e-commerce sector, where online sales accounted for 22% of all retail transactions in 2023, with Q1 2024 e-commerce sales reaching an impressive USD 289.2 billion. The proliferation of social media platforms, hosting over 246 million users in the United States alone, has further accelerated data generation and processing requirements.


Technological advancements in data center cooling systems are revolutionizing data center operations, with a strong emphasis on innovative cooling methodologies. In April 2024, Accelsius introduced its groundbreaking NeuCool system, a two-phase cooling solution capable of handling over 1,500 watts per server chip while maintaining an impressive Power Usage Effectiveness (PUE) of 1.08. This development represents a significant leap forward in cooling efficiency, particularly for AI-intensive applications. The industry is witnessing a shift toward data center liquid cooling technologies, with major players investing in research and development to enhance cooling capabilities while reducing energy consumption.


Sustainability initiatives are becoming increasingly central to data center cooling operations, with operators implementing various eco-friendly cooling solutions. The U.S. Department of Energy's recent allocation of USD 40 million toward liquid cooling research and development through its "coolerchips" initiative demonstrates the government's commitment to advancing sustainable cooling technologies. Major industry players are also contributing to this green revolution, as exemplified by Digital Realty's innovative cooling tower initiative in Singapore, which achieved monthly water savings of 1.24 million liters through advanced water treatment processes.


Infrastructure development continues to accelerate across North America, with significant investments in next-generation data center cooling infrastructure. In June 2023, Modine commissioned a state-of-the-art 5MW testing laboratory in Virginia, capable of testing air-cooled chillers up to 2.1MW and water-cooled chillers up to 5MW. This expansion in testing capabilities reflects the industry's commitment to validated, sustainable cooling solutions. The trend toward larger, more efficient facilities is further exemplified by Meta's announcement in May 2024 to construct a USD 800 million AI-enabled hyperscale facility in Montgomery County, spanning 715,000 square feet and incorporating advanced cooling technologies.

Segment Analysis: By Cooling Technology

Air-based Cooling Segment in North America Data Center Cooling Market

Air-based cooling dominates the North American data center air cooling market, holding approximately 53% market share in 2024. This segment encompasses various cooling technologies, including chillers, economizers, Computer Room Air Handlers (CRAH), and cooling towers. The widespread adoption of data center air cooling solutions can be attributed to their established infrastructure, lower initial investment costs, and familiarity among data center operators. Traditional air cooling methods continue to be preferred for facilities with moderate power densities, particularly in enterprise and colocation data centers. The segment's prominence is further reinforced by ongoing innovations in airflow management, containment solutions, and the integration of economizer modes that leverage natural cooling when ambient conditions permit. Major technology providers are continuously enhancing their air-based cooling solutions with advanced controls, variable speed fans, and smart monitoring capabilities to improve energy efficiency and operational reliability.

Market Analysis of North America Data Center Cooling Market: Chart for By Cooling Technology

Liquid-based Cooling Segment in North America Data Center Cooling Market

The liquid-based cooling segment is experiencing rapid transformation in the North American data center cooling market, with an expected growth rate of approximately 21% from 2024 to 2029. This remarkable growth is driven by the increasing adoption of high-performance computing, artificial intelligence, and machine learning applications that generate significant heat loads. The segment encompasses various technologies, including data center immersion cooling, direct-to-chip cooling, and rear-door heat exchangers, each offering unique advantages for different applications. The surge in demand is particularly notable in hyperscale facilities and AI-focused data centers, where traditional air cooling struggles to meet the thermal management requirements of densely packed, high-power processors. Major technology providers are investing heavily in research and development to enhance liquid cooling solutions, focusing on improved efficiency, reliability, and ease of deployment. The segment's growth is further supported by the increasing emphasis on sustainability and the superior energy efficiency offered by data center liquid cooling solutions compared to traditional air-based systems.

Segment Analysis: By Type

Hyperscalers Segment in North America Data Center Cooling Market

The hyperscalers segment dominates the North America data center cooling market, accounting for approximately 47% of the total market share in 2024. This dominance is driven by the massive scale of operations from cloud service providers and large internet companies with enormous storage, computing, and networking requirements. These facilities regularly achieve power usage effectiveness (PUE) figures between 1.1 and 1.4, indicating increased levels of efficiency well ahead of the industry average of 1.67. The segment's growth is further fueled by the rapid adoption of cloud computing services, the proliferation of big data and analytics applications across various industries, the growth of IoT devices, increasing demand for streaming media, and the surge in online gaming and e-commerce activities. With the growing demand for AI servers from hyperscale public cloud service providers, data center cooling requirements are expected to grow significantly, as AI-ready racks equipped with resource-hungry GPUs typically require 40-60kW cooling capacity compared to the traditional 10-14kW per rack in existing data centers.

Enterprise Segment in North America Data Center Cooling Market

The enterprise segment represents organizations maintaining private facilities for their IT infrastructure requirements. These data centers are particularly suited to organizations that require tailored networks or may benefit from economies of scale given the significant volumes of traffic and data being processed. With businesses increasingly running hundreds of applications, the demand for processing power in enterprise data centers has surged. For instance, running 168 dual-processor servers with data center immersion cooling consumes just 5% of the power needed for traditional air cooling, demonstrating the segment's focus on efficiency. Software solutions, such as Data Center Infrastructure Management (DCIM) software, play a pivotal role in reducing energy consumption and increasing cooling efficiency through data-driven analytics and AI. Most enterprise data center services come from Defense, BFSI, Telecom, and Government organizations, driven by factors including digital adoption, regulatory compliance, security requirements, and business continuity needs.

Remaining Segments in North America Data Center Cooling Market

The colocation segment represents a significant portion of the market, offering shared facility space for multiple tenants. These facilities vary in size from small to mega facilities and are classified from Tier 1 to Tier 4. Colocation providers operate data centers in strategic locations across North America, including major metropolitan areas, suburban regions, and edge locations, enabling businesses to position their IT infrastructure closer to their target markets. The segment has seen substantial growth due to increasing cloud adoption and rising data generation, particularly driven by the emergence of IoT, development of 5G networks, and the demand for high-speed streaming of online entertainment content. The segment's evolution is particularly notable in its adoption of advanced cooling technologies, with many providers incorporating data center liquid cooling as a standard feature in response to the surging demand for high rack density cooling solutions.

Segment Analysis: By End User

IT & Telecom Segment in North America Data Center Cooling Market

The IT & Telecom segment dominates the North America data center cooling market, holding approximately 28% of the market share in 2024. This dominance is primarily driven by the rapid expansion of 5G networks, cloud computing infrastructure, and the increasing adoption of edge computing technologies across North America. The segment's growth is further bolstered by major telecommunications providers expanding their data center footprints to support the rising demand for digital services and connectivity. The surge in data traffic, coupled with the implementation of advanced technologies like artificial intelligence and machine learning in telecom operations, has necessitated robust cooling solutions to maintain optimal performance of IT infrastructure. Additionally, the increasing focus on energy-efficient cooling solutions among telecom operators, driven by both cost considerations and sustainability goals, has contributed to the segment's market leadership.

Federal and Institutional Agencies Segment in North America Data Center Cooling Market

The Federal and Institutional Agencies segment is emerging as the fastest-growing segment in the North America data center cooling market, with a projected growth rate of approximately 17% from 2024 to 2029. This remarkable growth is primarily driven by increasing government initiatives towards digital transformation and the modernization of federal IT infrastructure. The segment's expansion is further fueled by substantial investments in advanced cooling technologies, particularly as federal agencies prioritize energy-efficient and environmentally sustainable solutions. The US Department of Energy's significant allocation of funding for developing high-performance, energy-efficient cooling systems for data centers demonstrates the government's commitment to advancing cooling technologies. Additionally, the growing emphasis on cybersecurity and data sovereignty has led to increased investments in dedicated government data centers, further driving the demand for sophisticated cooling solutions in this segment.

Remaining Segments in North America Data Center Cooling Market

The remaining segments in the market, including Retail & Consumer Goods, Healthcare, Media & Entertainment, and Other End Users, each play crucial roles in shaping the overall market dynamics. The Retail & Consumer Goods segment is driven by the explosive growth in e-commerce and digital retail operations, requiring robust data center infrastructure. The Healthcare sector's digital transformation, including electronic health records and telemedicine services, continues to drive demand for efficient cooling solutions. The Media & Entertainment segment is experiencing significant growth due to the surge in streaming services, online gaming, and digital content delivery platforms. These segments collectively contribute to the market's diversity and demonstrate the widespread adoption of advanced cooling solutions across various industries, each with unique requirements and challenges in maintaining optimal data center operations.

North America Data Center Cooling Market Geography Segment Analysis

Data Center Cooling Market in North America

The North American data center cooling market continues to dominate the regional landscape, commanding approximately 100% of the market share in 2024. The region's prominence is driven by several key factors, including the presence of major technology companies, extensive digital infrastructure, and increasing adoption of cloud services. The United States leads the market with the highest concentration of data centers globally, particularly in hotspots like Northern Virginia, Northern California, and Chicago. The market's growth is further propelled by the rising demand for energy-efficient data center cooling systems, especially as data centers evolve to accommodate artificial intelligence and machine learning applications. The region's regulatory environment, particularly regarding energy efficiency and environmental sustainability, has encouraged the adoption of advanced data center cooling technologies. Additionally, the presence of established cooling solution providers and continuous technological innovations in both air-based and liquid-based cooling systems has strengthened the market's foundation. The increasing focus on reducing Power Usage Effectiveness (PUE) and optimizing operational costs has led to greater adoption of innovative data center cooling solutions, particularly in hyperscale and colocation facilities. The market has also witnessed a significant shift towards liquid cooling solutions, driven by the need to manage higher power densities and improve energy efficiency in data centers.

Historical Growth Analysis of North American Data Center Cooling Market (2019-2024)

The North American data center cooling market has demonstrated robust growth, registering approximately 8% CAGR from 2019 to 2024. This growth trajectory has been shaped by the rapid expansion of data center cooling infrastructure across the region, particularly in response to increasing digitalization demands. The period has witnessed significant technological advancements in cooling solutions, with a notable shift towards more energy-efficient and sustainable cooling technologies. The market's evolution has been characterized by increasing adoption of liquid cooling solutions, particularly in high-density computing environments. The growth has been further accelerated by the rising demand for edge computing facilities and the expansion of hyperscale data centers. The period has also seen substantial investments in cooling infrastructure upgrades, driven by the need to accommodate higher power densities and improve operational efficiency. The market has benefited from increasing awareness about environmental sustainability and the need to reduce carbon footprints in data center operations. Additionally, the growing adoption of cloud services and the expansion of colocation facilities have contributed significantly to the market's growth during this period.

Future Outlook of North American Data Center Cooling Market (2024-2029)

The North American data center cooling market is poised for substantial growth, with projections indicating approximately 14% CAGR from 2024 to 2029. This growth trajectory is expected to be driven by several transformative factors shaping the industry landscape. The increasing adoption of artificial intelligence and machine learning applications is anticipated to create unprecedented demands for high-density computing, necessitating more efficient data center cooling systems. The market is expected to witness a significant shift towards liquid cooling technologies, particularly in managing the thermal challenges posed by next-generation processors and GPUs. The focus on sustainability and environmental responsibility is likely to drive innovations in data center cooling technologies, with emphasis on reducing water consumption and improving energy efficiency. The expansion of edge computing infrastructure and the continued growth of hyperscale facilities are expected to create new opportunities for cooling solution providers. The market is also anticipated to benefit from ongoing technological advancements in areas such as immersion cooling and direct-to-chip cooling solutions. Additionally, the increasing focus on reducing operational costs while maintaining optimal performance is expected to drive the adoption of innovative data center cooling technologies across different types of data center facilities.

North America Data Center Cooling Industry Overview

Top Companies in North America Data Center Cooling Market

The North American data center cooling market is characterized by continuous innovation and strategic developments from major players like Schneider Electric, Johnson Controls, Vertiv, and Daikin Industries. Companies are increasingly focusing on developing energy-efficient data center cooling solutions, particularly in data center liquid cooling technologies, to address the growing demands of AI and high-performance computing workloads. Strategic partnerships and collaborations with technology providers have become commonplace, enabling comprehensive solution offerings and expanded market reach. Operational agility is demonstrated through investments in manufacturing facilities and service networks across key markets, while product portfolios are being enhanced with smart monitoring capabilities and sustainable data center cooling solutions. Market expansion strategies include acquisitions of specialized data center cooling technology providers, establishment of new production facilities, and development of region-specific solutions to meet varying customer requirements.

Market Dominated by Global Technology Conglomerates

The competitive landscape is primarily dominated by large multinational corporations with diverse product portfolios spanning multiple industries, though specialized cooling solution providers maintain significant market presence in specific segments. These major players leverage their extensive research and development capabilities, established distribution networks, and strong financial positions to maintain market leadership. The market shows moderate consolidation, with top players controlling significant market share while maintaining competitive pressure through continuous innovation and service quality improvements.


The market has witnessed increased merger and acquisition activity, particularly focused on acquiring innovative cooling technology startups and specialized solution providers. Companies are strategically expanding their capabilities in data center cooling infrastructure and immersion cooling technologies through these acquisitions, while also establishing partnerships with data center operators and technology providers. This consolidation trend is driven by the need to acquire specialized expertise, expand geographic presence, and enhance technological capabilities to address evolving cooling requirements in modern data centers.

Innovation and Sustainability Drive Future Success

Success in this market increasingly depends on developing energy-efficient solutions that address both environmental concerns and performance requirements. Incumbent players must focus on expanding their data center cooling system portfolios, strengthening their service networks, and developing integrated solutions that combine cooling with power management and monitoring capabilities. Companies need to establish strong partnerships with cloud service providers and hyperscale data center operators while investing in research and development to maintain technological leadership. The ability to provide customized solutions for different data center types and sizes while maintaining cost competitiveness will be crucial for market success.


New entrants and contenders can gain market share by focusing on specialized data center cooling equipment solutions for specific applications or market segments, particularly in emerging areas like edge computing and AI infrastructure cooling. Success factors include developing innovative cooling technologies that offer superior energy efficiency, establishing strategic partnerships with system integrators and data center operators, and building strong service capabilities. The market shows moderate substitution risk as traditional air cooling solutions face competition from emerging liquid cooling technologies, while regulatory requirements for energy efficiency and environmental sustainability continue to shape product development and market dynamics.

North America Data Center Cooling Market Leaders

  1. Vertiv Group Corp.

  2. Stulz GmbH

  3. Schneider Electric SE

  4. Rittal GmbH & Co. KG

  5. Asetek A/S

  6. *Disclaimer: Major Players sorted in no particular order
North America Data Center Cooling Market Concentration
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North America Data Center Cooling Market News

  • March 2024: Boreas Technology, a specialist in data center cooling technologies, developed the Rear Door Cooling Device, which is designed for high-density environments. This innovation provides precision cooling with up to 50kW capacity. Experience efficiency, sustainability, and industry-leading standards with the rear door cooling device. Boreas Technology's new rear door cooling device allows efficient operation for cabinets expected to operate at high capacity and density in data centers, enabling effective heat management.
  • November 2023: Vertiv, a worldwide provider of critical digital infrastructure and continuity solutions, introduced a prefabricated modular data center, Vertiv SmartMod Max CW. It is mainly built to address the increasing demand for rapid deployment of computing. This configurable and scalable solution supports up to 200kW of total IT load in a single system and utilizes chilled water cooling for reduced environmental impact and energy efficiency.

North America Data Center Cooling Market Report - Table of Contents

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET INSIGHTS

  • 4.1 Market Overview (Coverage: A detailed analysis of the current regional trends related to Data Center Cooling are included in this section)
  • 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 Key innovations and developments in Data Center Cooling
    • 4.2.3 Key energy efficiency practices adopted in Data Centers

5. MARKET DYNAMICS

  • 5.1 Market Drivers (Key factors such as the increased emphasis on energy consumption, move towards green solutions are mapped based on their relative impact over the next 5-7 years)
  • 5.2 Market Challenges (Key factors such as the dynamic nature of regulations, evolving customer needs are mapped based on their relative impact over the next 5-7 years)
  • 5.3 Market Opportunities
  • 5.4 Comparison of raised floor with containment & raised floor without commitment
  • 5.5 Industry Ecosystem Analysis

6. ANALYSIS OF THE CURRENT REGIONAL DATA CENTER FOOTPRINT

  • 6.1 Regional Analysis of IT Load Capacity & Area Footprint of Data Centers (for the period of 2017-2030)
  • 6.2 Regional Analysis of the Established DC Markets and Emerging DC Hotspots in North America region (we will include coverage by highlighting major established and emerging DC markets)
  • 6.3 Regional Analysis of Regulatory Framework On DC Cooling

7. DATA CENTER COOLING MARKET SEGMENTATION

  • 7.1 By Cooling Technology (Key trends, market size estimates & projections for the period of 2022-2029 and future outlook)
    • 7.1.1 Air-based Cooling
    • 7.1.1.1 CRAH
    • 7.1.1.2 Chiller and Economizer
    • 7.1.1.3 Cooling Tower (covers direct, indirect & two-stage cooling)
    • 7.1.1.4 Others
    • 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 End-user Vertical
    • 7.2.1 IT & Telecom
    • 7.2.2 Retail & Consumer Goods
    • 7.2.3 Healthcare
    • 7.2.4 Media & Entertainment
    • 7.2.5 Federal & Institutional agencies
    • 7.2.6 Other end-users
  • 7.3 By Country ***
    • 7.3.1 United States
    • 7.3.2 Canada

8. COMPETITIVE LANDSCAPE

  • 8.1 Company Profiles
    • 8.1.1 Vertiv Group Corp.
    • 8.1.2 Stulz GmbH
    • 8.1.3 Schneider Electric SE
    • 8.1.4 Rittal GmbH & Co. KG
    • 8.1.5 Asetek A/S
    • 8.1.6 Alfa Laval AB
    • 8.1.7 Iceotope Technologies Limited
    • 8.1.8 Green Revolution Cooling Inc.
    • 8.1.9 Chilldyne Inc.
    • 8.1.10 Airedale International Air Conditioning Ltd.
  • *List Not Exhaustive

9. INVESTMENT ANALYSIS

10. MARKET OPPORTUNITIES AND FUTURE TRENDS

**Subject to Availability
*In the final report Company Profiles will be segmented into Air Cooling and Liquid Cooling Vendors. ***In the final report "Rest of North America" will be included in the 'By Country' segment.
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North America Data Center Cooling Industry Segmentation

The equipment, tools, methods, and procedures used to maintain an ideal operating temperature inside a data center building are collectively referred to as data center cooling. There is a growing need for energy-efficient cooling of IT equipment mainly due to the increased capacity and higher data density. In addition, advantages provided by technology and government support by imposing efficiency rules for data centers are anticipated to directly contribute to developing the data center cooling market in several applications, including IT, BFSI, telecommunication, etc.

The North American data center cooling market is segmented by cooling technology (air-based cooling (CRAH, chiller and economizer, cooling tower (covers direct, indirect & two-stage cooling), and others)), liquid-based cooling (immersion cooling, direct-to-chip cooling, rear-door heat exchanger), end-user vertical (IT & telecom, retail & consumer goods, healthcare, media & entertainment, federal & institutional agencies, and other end-user verticals), and geography (United States, Canada, and the Rest of North America). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.

By Cooling Technology (Key trends, market size estimates & projections for the period of 2022-2029 and future outlook) Air-based Cooling CRAH
Chiller and Economizer
Cooling Tower (covers direct, indirect & two-stage cooling)
Others
Liquid-based Cooling Immersion Cooling
Direct-to-Chip Cooling
Rear-Door Heat Exchanger
By End-user Vertical IT & Telecom
Retail & Consumer Goods
Healthcare
Media & Entertainment
Federal & Institutional agencies
Other end-users
By Country *** United States
Canada
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North America Data Center Cooling Market Research FAQs

How big is the North America Data Center Cooling Market?

The North America Data Center Cooling Market size is expected to reach USD 7.20 billion in 2025 and grow at a CAGR of 11.80% to reach USD 12.58 billion by 2030.

What is the current North America Data Center Cooling Market size?

In 2025, the North America Data Center Cooling Market size is expected to reach USD 7.20 billion.

Who are the key players in North America Data Center Cooling Market?

Vertiv Group Corp., Stulz GmbH, Schneider Electric SE, Rittal GmbH & Co. KG and Asetek A/S are the major companies operating in the North America Data Center Cooling Market.

What years does this North America Data Center Cooling Market cover, and what was the market size in 2024?

In 2024, the North America Data Center Cooling Market size was estimated at USD 6.35 billion. The report covers the North America Data Center Cooling Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the North America Data Center Cooling Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.

North America Data Center Cooling Market Research

Mordor Intelligence provides a comprehensive analysis of the data center cooling industry. We leverage our extensive expertise in data center thermal management and infrastructure assessment. Our detailed report covers crucial aspects, including data center liquid cooling technologies, advanced cooling system implementations, and emerging immersion cooling solutions. The analysis includes traditional data center HVAC systems, data center chiller units, data center CRAC and CRAH installations, along with innovative free cooling methodologies.

Stakeholders gain valuable insights into cooling equipment optimization and cooling infrastructure development. Our downloadable report PDF examines temperature control strategies and green data center cooling initiatives. The research explores cutting-edge heat management approaches, such as precision cooling solutions and climate control innovations. Our analysis emphasizes modular data center cooling technologies and air cooling advancements, providing decision-makers with actionable intelligence for strategic planning and implementation.