Data Center Chillers Market to Reach $2.81B by 2032 as AI and GPU Heat Loads Push Hyperscale Cooling Capacity
Dublin, Oct. 13, 2026 (GLOBE NEWSWIRE) -- "Data Center Chillers Market: Global Forecast to 2032" has been added to ResearchAndMarkets.com's offering.
Global Data Center Chillers Market to Reach USD 2.81 Billion by 2032
The global data center chillers market is projected to grow from USD 1.67 billion in 2026 to USD 2.81 billion by 2032, registering a CAGR of 9.0% during the forecast period. Market expansion is being driven by rising investments in hyperscale facilities, cloud-based applications, enterprise data processing, digital storage services, edge computing networks, and connected technologies.
Increasing deployment of artificial intelligence, GPU clusters, and high-performance computing is creating substantial heat loads and accelerating demand for high-capacity thermal management systems. Data center operators are also prioritizing energy efficiency, infrastructure resilience, scalability, and environmental compliance. These objectives are supporting the adoption of advanced chiller systems featuring low-GWP refrigerants, smart monitoring, variable-speed technologies, and automated load optimization.
Air-cooled chillers to hold the second-largest product share
By product, air-cooled chillers are expected to account for the second-largest share of the data center chillers market during the forecast period. Their market position is supported by relatively straightforward installation, lower upfront infrastructure requirements, reduced operational complexity, and minimal dependence on water management systems.
Air-cooled chillers are particularly suitable for edge data centers, modular facilities, and small- to medium-sized installations that prioritize deployment speed, maintenance flexibility, and compact footprints. Growing concerns about water scarcity are also strengthening demand, especially in regions where water availability presents operational or regulatory risks. Continued advancements in controls and energy-efficient system design are expected to improve performance and reinforce adoption across global data center projects.
Centrifugal chillers to capture the second-largest technology share
By technology, centrifugal chillers are projected to represent the second-largest market share. These systems are widely deployed in large-scale and hyperscale data centers requiring substantial cooling capacity and efficient operation under demanding workloads.
The expansion of cloud computing, artificial intelligence, and high-performance computing infrastructure is increasing demand for centrifugal chillers capable of managing dense server environments. Improved compressor designs, variable-speed drives, and intelligent monitoring capabilities are enhancing system reliability and reducing energy consumption per unit of cooling capacity. Investments focused on improving power usage effectiveness (PUE) are also expected to support segment growth.
Europe to remain the second-largest regional market
Europe is expected to account for the second-largest share of the data center chillers market during the forecast period. Growth is supported by the region's established digital infrastructure, strong colocation and hyperscale presence, and sustained investment in cloud computing and enterprise data management.
Digital transformation across finance, healthcare, manufacturing, telecommunications, and government services is increasing regional demand for data processing and storage capacity. At the same time, stringent energy efficiency regulations and sustainability mandates are encouraging operators to modernize existing facilities and deploy advanced cooling technologies in new developments. Expanding artificial intelligence, edge computing, and high-performance computing capacity will further increase requirements for reliable thermal management.
Competitive landscape
Major companies operating in the data center chillers market include Johnson Controls (Ireland), Trane Technologies (Ireland), Carrier (US), Daikin (Japan), and Vertiv Group Corp. (US). The report evaluates the market shares, product offerings, growth strategies, and core competencies of leading data center chillers manufacturers.
Primary participant profile
By Company Type: Tier 1 - 65%, Tier 2 - 20%, and Tier 3 - 15%
By Designation: Directors - 25%, Managers - 30%, and Others - 45%
By Region: North America - 30%, Asia Pacific - 40%, Europe - 20%, Middle East & Africa - 7%, and South America - 3%
Research coverage
The report segments the data center chillers market by product, technology, cooling capacity, and region. It analyzes market drivers, restraints, opportunities, and challenges while providing revenue estimates for the overall market and its principal segments. The findings can help established companies and new entrants assess the competitive environment, strengthen market positioning, and develop informed go-to-market strategies.
Key market insights
Drivers: Rising demand for energy-efficient centralized cooling, stringent PUE targets, rapid hyperscale and cloud data center expansion, increasing AI-era power densities, and sustainability mandates promoting advanced systems with low-GWP refrigerants.
Restraints: High upfront capital expenditure and the cost and complexity of retrofitting legacy facilities with cooling towers, condenser water loops, piping systems, and modern chiller infrastructure.
Opportunities: Growing adoption of liquid coolant and direct-to-chip cooling, modular and prefabricated chiller plants, and AI-driven and IoT-enabled management systems supporting predictive maintenance, load optimization, and energy efficiency.
Challenges: Maintaining redundancy for Tier III/IV uptime requirements, transitioning from legacy HFC-based fleets without disrupting operations, and addressing water scarcity risks associated with water-cooled deployments.