Taiwan Data Center Cooling Market Size
| Study Period | 2019 - 2030 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 29.30 Million |
| Market Size (2030) | USD 58.90 Million |
| CAGR (2024 - 2030) | 12.32 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Taiwan Data Center Cooling Market Analysis
The Taiwan Data Center Cooling Market size is estimated at USD 29.30 million in 2024, and is expected to reach USD 58.90 million by 2030, growing at a CAGR of 12.32% during the forecast period (2024-2030).
- Taiwan generally has warm weather throughout the year. There is no severe cold in winter, but the weather in summer is brutally hot and of high humidity. The annual average temperature in the northern part is around 21.7 and around 24.1 in the southern part. Extreme weather events threaten physical infrastructure such as power stations, electricity cables, and data center buildings. The above factor drives the major demand for data center cooling solutions.
- The upcoming IT load capacity of the Taiwanese data center market is expected to reach more than 300 MW by 2030. The country's construction of raised floor area is expected to increase to more than 1.4 million sq. ft by 2030.
- The country's total number of racks to be installed is expected to reach more than 75,000 units by 2030. Taipei is expected to house the maximum number of racks by 2030.
- Close to 14 submarine cable systems are connecting Taiwan, and many are under construction. One submarine cable estimated to start service in 2024 is Apricot, which stretches over 11,972 kilometers with landing points from Toucheng, Taiwan.
Taiwan Data Center Cooling Market Trends
The IT and Telecom Segment is Expected to Hold Significant Share
- The telecommunications industry is looking toward institutionalization to supervise and promote digital transformation, making the process a foundation for developing the digital economy and society.
- Taiwanese mobile data usage has skyrocketed in four years, ranking second globally after Finland. According to the Global System for Mobile Communications, Taiwanese use twice as much monthly data per SIM card holder as South Koreans, more than three times as much as Japanese, and nearly six times as much as Singaporeans. This exponential increase in data usage is leading to a significant demand for servers, equipment, and cooling solutions.
- The increasing demand for high-speed data access, particularly for cloud and Internet of Things (IoT) applications like smart home energy management, is expected to drive the rapid adoption of 5G services. With 5G networks providing faster speeds, greater capacity, and reduced latency compared to 4G LTE networks, the number of 5G subscribers is experiencing substantial growth. In Taiwan, the total count of 5G customers exceeded 1 million within five months of the technology's launch. By the close of 2021, 5G penetration surged to over 30%.
- To support telecommunications operators, the Taiwanese government allocated USD 650 million, distributed between 2019 and 2022, to subsidize the installation of 5G in the country. Also, telco providers invest in data center construction, leading to market demand.
- Taiwan accounts for over 60% of global semiconductor production, dominating over 90% of the most advanced chips. Beyond semiconductors, Taiwan leads in digitalization and smart city initiatives, integrating digital technologies such as IoT, big data, and AI across nearly all industry sectors. This rapid data generation fuels a surging demand for data centers in Taiwan. Such hyperscale facility construction will lead to primary power heat consumption and significant demand for cooling solutions.
Liquid Cooling to Hold Significant Growth
- In the ever-evolving landscape of data centers, efficient cooling solutions are crucial to maintain optimal performance and handle the increasing heat loads generated by modern IT equipment. Among the emerging technologies, liquid cooling systems have gained significant traction in recent years.
- A study conducted by the Uptime Institute found that liquid cooling systems achieved a power usage effectiveness (PUE) of 1.02, indicating remarkable energy efficiency gains. Companies like Microsoft and Google in Taiwan have implemented liquid cooling solutions in their data centers, resulting in significant energy savings.
- As Taiwan becomes a regional hub for many businesses, a growing investment in cloud computing leads to an increased demand for local data centers. The government is actively promoting digital transformation among Taiwanese enterprises. It is also dedicated to creating a cloud-based smart digital blueprint for local partners and connecting top-tier creative technologies for various industries.
- For instance, Microsoft launched its "Reimagine Taiwan" program in 2020, outlining intentions to build its first cloud data center area in Taiwan and make large investments in local talent and development to supply over 200,000 Taiwanese with digital skills in 2024. Such a factor highlights the increasing demand for liquid cooling due to the rise of cloud data centers in the country.
Taiwan Data Center Cooling Industry Overview
The Taiwanese data center cooling market has consolidated among key players, leading to a heightened competitive landscape in recent years. Schneider Electric SE, Green Revolution Cooling, and Munters Group AB stand out as major players in this industry. These prominent companies, holding significant market shares, have prioritized expanding their customer base across the region. They achieve this by employing strategic collaborative initiatives to enhance their market share and profitability.
In August 2024, Zettabyte forged a strategic alliance with Wistron Corporation, a prominent technology service provider, to establish Taiwan's inaugural hyperscale AI data center. Simon Lin, chairman of Wistron Corporation, expressed enthusiasm, stating: "Wistron is thrilled to partner with Zettabyte in constructing this hyperscale AI data center, leveraging cutting-edge liquid cooling AIDC systems."
Taiwan Data Center Cooling Market Leaders
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Schneider Electric SE
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Green Revolution Cooling
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Munters Group AB
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Submer Technologies
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AIREDALE INTERNATIONAL AIR CONDITIONING LTD.
*Disclaimer: Major Players sorted in no particular order
Taiwan Data Center Cooling Market News
- July 2024: Vantage Data Centers, a hyperscale data center provider, inaugurated its inaugural TPE11 facility in Taipei City, Taiwan. The new center boasts a robust 16 MW IT capacity tailored for cloud services and high-density deployments. With advanced liquid cooling technology, TPE11 is primed to cater to artificial intelligence (AI) and other data-intensive applications.
- June 2024: In a collaborative effort, Supermicro partnered with ASE, a company specializing in IC packaging and testing, and CSI, a system integrator, to inaugurate Taiwan's inaugural liquid cooling data center in Kaohsiung, located in the southern region. As part of this venture, ASE, with CSI's support, will seamlessly integrate Supermicro's liquid-cooled AI servers into the new data center, aiming to enhance ASE's R&D and production workflows.
Taiwan Data Center Cooling 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 Taiwan's booming High-tech Economy and Innovative Semiconductor Manufacturing Hub
5.1.2 Emergence of Green Data Centers
5.2 Market Challenges
5.2.1 Lack of Resources and Stringent Government Regulations
5.3 Industry Ecosystem Analysis
6. ANALYSIS OF THE CURRENT DATA CENTER FOOTPRINT IN TAIWAN
6.1 Analysis of IT Load Capacity and 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 Taiwan
6.3 Analysis of major Data Center Contractors and Operators in Taiwan
7. INDONESIA DATA CENTER 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
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 and 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 AIREDALE INTERNATIONAL AIR CONDITIONING LTD
8.1.2 Schneider Electric SE
8.1.3 Green Revolution Cooling
8.1.4 Munters Group AB
8.1.5 Submer Technologies
8.1.6 Johnson Controls International PLC (York International)
8.1.7 Fujitsu General Limited
8.1.8 Rittal GMBH & Co. KG
8.1.9 Asetek A/S
8.1.10 Alfa Laval Corporate AB
8.1.11 MALICO INC.
8.1.12 SUNON
- *List Not Exhaustive
9. INVESTMENT ANALYSIS
10. MARKET OPPORTUNITIES AND FUTURE TRENDS
11. ABOUT US
Taiwan 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 Taiwanese data center cooling market is segmented by technology (air-based cooling (chiller and economizer, CRAH, cooling towers, and other air-based cooling), liquid-based cooling (immersion cooling, direct-to-chip cooling, 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).
The report offers market sizes and forecasts in value (USD) for all the above segments.
| By Cooling Technology | ||||||
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| By Type | |
| Hyperscalers (owned and 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 |
Taiwan Data Center Cooling Market Research FAQs
How big is the Taiwan Data Center Cooling Market?
The Taiwan Data Center Cooling Market size is expected to reach USD 29.30 million in 2024 and grow at a CAGR of 12.32% to reach USD 58.90 million by 2030.
What is the current Taiwan Data Center Cooling Market size?
In 2024, the Taiwan Data Center Cooling Market size is expected to reach USD 29.30 million.
Who are the key players in Taiwan Data Center Cooling Market?
Schneider Electric SE, Green Revolution Cooling, Munters Group AB, Submer Technologies and AIREDALE INTERNATIONAL AIR CONDITIONING LTD. are the major companies operating in the Taiwan Data Center Cooling Market.
What years does this Taiwan Data Center Cooling Market cover, and what was the market size in 2023?
In 2023, the Taiwan Data Center Cooling Market size was estimated at USD 25.69 million. The report covers the Taiwan Data Center Cooling Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Taiwan Data Center Cooling Market size for years: 2024, 2025, 2026, 2027, 2028, 2029 and 2030.
Taiwan Data Center Cooling Industry Report
Statistics for the 2024 Taiwan Data Center Cooling market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Taiwan 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.
