Global data centre cooling
market expected to grow
T
he global data centre cooling
market size is expected to reach
US$20.7 billion by 2025 expanding
at a CAGR of 13.5%, according to a study
conducted by Grand View Research.
Emergence of cloud computing
coupled with initiatives by government
organisations to promote the adoption of
cloud technology and enable prominent
vendors to introduce technological
advancements is driving the market growth.
For example, the government of the UAE
introduced various projects including
Smart Dubai and Smart Abu Dhabi, which
were aimed at bringing about Digital
Transformation and economic growth in
the country.
Such initiatives are expected to drive the
market in UAE.
www.intelligentdatacentres.com
For instance, Apple’s North Carolina data
centre facility operates completely on
sustainable, eco-friendly power sources
as data centre cooling is achieved through
the free-air cooling technique, allowing the
chillers to be off 75% of the time.
Additionally, there is a rise in pressure
from the local and federal government
agencies, environmentalists and the
general public for organisations to
implement green initiatives.
Therefore, high demand for eco-friendly
and cost-effective cooling solutions is
expected to propel the market growth.
However, high installation and
maintenance costs, electricity
consumption and carbon emissions are
some of the challenges affecting the
industry growth.
Further key findings from the
study suggest:
• • The telecom segment accounted
for more than 20% of the total market
share in 2018 owing to increased
penetration of 4G services and
development of 5G infrastructure that
has data-intensive networks
• • Furthermore, the growing
number of telecom subscribers using
smartphones and tablets is anticipated
to boost the demand for data centres,
thereby propelling the market growth
• • The Middle East region is
expected to witness substantial
growth owing to a rising need for
enhanced cooling techniques
• • Several IT companies including
Google, Oracle Corporation and Alibaba
have announced their plans to build
data centres in the Middle East
• • Europe is also anticipated to
witness a significant growth owing
to the cold weather conditions in
Nordic countries
• • The raised floor with containment
segment is expected to register the
fastest CAGR 6% from 2019 to 2025. ◊
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Rising numbers of data centres,
increasing usage of cloud computing and
an increased demand for eco-friendly
cooling technologies are some of the key
factors that are expected to boost the
market growth.
Data centre cooling accounts for
more than 30% of the total energy
consumption. In the current scenario,
companies are moving toward sustainable
cooling, which can save up to 80% or
more on energy costs for cooling.