Data Center Thermal Management Market to Reach USD 32.38 Billion by 2032, at a CAGR of 16.1% — MarketsandMarkets™

Delray Beach, FL, Aug. 21, 2026 (GLOBE NEWSWIRE) -- The global Data Center Thermal Management Market is projected to grow from USD 13.24 billion in 2026 to USD 32.38 billion by 2032, at a CAGR of 16.1% during the forecast period. Growth is driven by the rapid expansion of AI, cloud computing, high-performance computing (HPC), edge computing, and digital transformation, which are increasing server power densities and heat loads. The growing deployment of GPUs and AI accelerators is accelerating the transition toward advanced liquid cooling technologies capable of managing high-density computing environments.

Get PDF Brochure — Market Data & Segmentation: https://www.marketsandmarkets.com/pdfdownloadNew.asp?id=64839895

Key Market Highlights

• Market Size (2026): USD 13.24 Billion
• Projected Market Value (2032): USD 32.38 Billion
• CAGR (2026–2032): 16.1%
• Largest Region: North America
• Fastest-Growing Region: North America, at a CAGR of 18.6%
• Largest Data Center Type: Hyperscale Data Centers
• Largest Type of Cooling: Room-based Cooling
• Largest Component: Liquid Cooling Systems
• Largest End-use Industry: BFSI
• Key Players: Vertiv Group Corp., Johnson Controls, Schneider Electric, Carrier, Daikin Industries, Mitsubishi Electric, Super Micro Computer, Modine, Trane, Lenovo, STULZ, Munters, Delta Electronics, CoolIT Systems, Eaton, Rittal, Submer, nVent, Alfa Laval, and Green Revolution Cooling.

Why This Market Matters

Data center thermal management is becoming a critical infrastructure layer for AI and high-performance computing. Modern CPUs, GPUs, and AI accelerators generate substantially higher heat loads than conventional IT equipment, making efficient heat removal essential for maintaining hardware reliability, maximizing computing performance, and controlling energy consumption.

Advanced solutions—including direct-to-chip liquid cooling, immersion cooling, coolant distribution units (CDUs), heat exchangers, precision cooling, and AI-enabled thermal monitoring—are increasingly being deployed to support high-density workloads.

Market Overview

The market encompasses air conditioning systems, chilling units, cooling towers, economizer systems, liquid cooling systems, control systems, and related services. Data center operators are increasingly combining conventional air cooling with advanced liquid cooling technologies as rack densities rise.

While traditional CRACs, CRAHs, chillers, cooling towers, and airflow management systems continue to serve a large installed base, AI-ready facilities are increasingly adopting liquid cooling because of its superior heat-transfer efficiency and ability to accommodate high-density GPU deployments.

Analyst Perspective

The rapid buildout of AI factories, hyperscale data centers, cloud infrastructure, and HPC facilities presents significant opportunities for thermal management providers. The emergence of direct-to-chip and immersion cooling is creating new demand for CDUs, pumps, manifolds, heat exchangers, coolants, and intelligent thermal controls.

At the same time, high capital investment, specialized infrastructure requirements, retrofit complexity, and the need to maintain cooling during power outages remain important challenges for data center operators. Sustainability pressures and the need to reduce carbon emissions are also pushing providers toward more energy-efficient and intelligent cooling architectures.

Speak to Our Analyst — Get Custom Insights: https://www.marketsandmarkets.com/Enquiry_Before_BuyingNew.asp?id=64839895

Segment Analysis

• By Data Center Type: Hyperscale data centers held the largest share, accounting for 44.2% of the market in 2025. Their large server populations, increasing rack densities, and growing AI/HPC workloads are driving demand for advanced thermal management systems.
• By Type of Cooling: Room-based cooling is expected to lead the market during the forecast period. CRACs, CRAHs, precision air conditioning, chillers, and cooling towers remain widely deployed across enterprise, colocation, and hyperscale facilities.
• By Component: Liquid cooling systems accounted for the largest share of 30.4% in 2025, reflecting the increasing importance of liquid-based solutions for high-density computing environments.
• By End-use Industry: BFSI was the largest end-use industry, accounting for 20.4% of the market in 2025, supported by the industry's dependence on high-availability data infrastructure and data-intensive applications.

Regional Analysis

North America is projected to be the largest and fastest-growing regional market, registering a CAGR of 18.6% during the forecast period. The region benefits from a strong presence of hyperscale data centers and rapid adoption of AI, cloud computing, and HPC infrastructure. Major technology companies are expanding AI-ready data center capacity to meet rising demand for generative AI and machine learning.

The region is also at the forefront of advanced thermal technologies, including precision cooling, direct-to-chip liquid cooling, immersion cooling, CRACs, CRAHs, and AI-assisted thermal monitoring, helping operators improve cooling efficiency, reduce PUE, and manage increasingly power-intensive workloads.

Key Industry Trends

• Rapid growth of AI and GPU-intensive data centers
• Increasing shift from air cooling toward liquid cooling
• Rising adoption of direct-to-chip liquid cooling
• Growing deployment of immersion cooling
• Increasing demand for coolant distribution units (CDUs) and heat exchangers
• Development of AI-enabled thermal monitoring and intelligent cooling controls
• Growing focus on Power Usage Effectiveness (PUE) reduction
• Increasing demand for high-density rack cooling
• Rising adoption of modular and scalable cooling infrastructure
• Growing emphasis on energy efficiency, sustainability, and carbon reduction
• Increasing need for retrofit solutions for legacy data centers

Competitive Landscape

Vertiv Group Corp., Johnson Controls, and Schneider Electric are identified as key players in the data center thermal management market, supported by strong market positions, broad product portfolios, and extensive global presence. Vertiv leads the market through its diversified thermal management portfolio, while Mitsubishi Electric is identified as an emerging leader based on its product innovation.

Other significant participants include Carrier, Daikin Industries, Super Micro Computer, Modine, Trane, Lenovo, STULZ, Munters, Delta Electronics, CoolIT Systems, Eaton, Rittal, Alfa Laval, Green Revolution Cooling, Submer, nVent, and DCX Liquid Cooling Systems. Companies are focusing on liquid cooling technologies, acquisitions, strategic partnerships, product development, capacity expansion, and AI-ready thermal management solutions to strengthen their positions in the rapidly evolving data center ecosystem.

Recent developments include Vertiv's acquisition of selected assets and technologies from BiXin Energy Technology to strengthen its liquid cooling capabilities, while Green Revolution Cooling secured investment from Samsung Ventures, HTS, and SK Enmove, supporting innovation and expansion in the data center cooling ecosystem.

Related Reports

Data Center Heat Exchangers Market

Data Center Chillers Market

About MarketsandMarkets™:

MarketsandMarkets™ has been recognized as one of America's Best Management Consulting Firms by Forbes, as per their recent report.

MarketsandMarkets™ is a blue ocean alternative in growth consulting and program management, leveraging a man-machine offering to drive supernormal growth for progressive organizations in the B2B space. With the widest lens on emerging technologies, we are proficient in co-creating supernormal growth for clients across the globe.

Today, 80% of Fortune 2000 companies rely on MarketsandMarkets, and 90 of the top 100 companies in each sector trust us to accelerate their revenue growth. With a global clientele of over 13,000 organizations, we help businesses thrive in a disruptive ecosystem.

The B2B economy is witnessing the emergence of $25 trillion in new revenue streams that are replacing existing ones within this decade. We work with clients on growth programs, helping them monetize this $25 trillion opportunity through our service lines – TAM Expansion, Go-to-Market (GTM) Strategy to Execution, Market Share Gain, Account Enablement, and Thought Leadership Marketing.

Built on the 'GIVE Growth' principle, we collaborate with several Forbes Global 2000 B2B companies to keep them future-ready. Our insights and strategies are powered by industry experts, cutting-edge AI, and our Market Intelligence Cloud, KnowledgeStore™, which integrates research and provides ecosystem-wide visibility into revenue shifts.

To find out more, visit www.MarketsandMarkets™.com or follow us on Twitter , LinkedIn and Facebook .

Contact:
Mr. Rohan Salgarkar
MarketsandMarkets™ INC.
1615 South Congress Ave.
Suite 103, Delray Beach, FL 33445
USA: +1-888-600-6441
Email: sales@marketsandmarkets.com
Visit Our Website: https://www.marketsandmarkets.com/
Report Code: CH 10587 | Published: 06 Aug 2026 | Report Pages: 300 | Market Data Tables: 250 | Figures: 70