Please Wait.....
Report
Latin America Data Center Cooling - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2025 - 2031)
Market Report I 2025-04-28 I 120 Pages I Mordor Intelligence
The Latin America Data Center Cooling Market size is estimated at USD 0.23 billion in 2025, and is expected to reach USD 0.48 billion by 2031, at a CAGR of 13.45% during the forecast period (2025-2031).
The growth of the Latin American data center cooling market is fueled by the rising adoption of cloud-based services, the region's expanding digital economy, increased integration of AI technologies, the ongoing deployment of 5G networks, and a notable shift toward renewable energy sourcing.
Under Construction IT Load Capacity: The upcoming IT load capacity of the Latin American data center market is expected to reach around 2,400 MW by 2030.
Under Construction Raised Floor Space: The region's construction of raised floor area is expected to increase by 8.6 million sq. ft by 2030.
Planned Racks: The region's total number of racks to be installed is expected to reach 430K units by 2030.
Planned Submarine Cables: Many submarine cable systems are under construction in the region. One such submarine cable, estimated to be built by the end of 2024, is Firmina, which stretches over 14,517 km with landing points in Las Toninas, Argentina; Praia Grande, Brazil; Myrtle Beach, SC, United States; and Punta del Este, Uruguay.
Latin America Data Center Cooling Market Trends
IT and Telecom Expected to Experience Highest Growth
- Latin America is at the forefront of the tech revolution, with Brazil, Mexico, Colombia, Argentina, and Chile emerging as its key players. Mexico boasts a USD 28 billion IT industry, making it the region's second-largest, while Brazil leads with a tech market valued at USD 45 billion. Notably, Brazil also allocates the highest percentage of its investments to technology.
- In 2022, Brazil secured the 54th position out of 131 countries in the Global Innovation Index. In 2023, investments in software, services, and hardware industries surpassed USD 46.2 billion (ABES). Additionally, In Brazil, approximately 630,000 professionals possess strong expertise in the IT field, with 133,000 focusing specifically on software development.
- Further, organizations in Mexico are steadfast in their investment plans for emerging technologies. Over the next two years, the adoption rates for these technologies are projected to double. Highlighting the trends: 5G is already in use by 42% of global companies; edge computing has seen a 25% adoption rate; IT automation stands at 45%; and while blockchain currently has a 16% adoption, it is anticipated to surge to nearly 30% in the coming two years.
- In the telecom industry, major players are prioritizing network infrastructure development, especially in developed nations. For example, in April 2024, America Movil, a leading telecommunications company from Mexico, announced its commitment to 5G investments. The company is scheduled to execute its capital expenditure plan, amounting to USD 7.1 billion, set for 2024. Such instances in the market are expected to create more need for data centers, boosting the demand for data center cooling infrastructure manufacturers in the coming years.
Brazil to Witness Highest Growth
- The growth of the Brazilian data center market is primarily driven by digital transformation, cloud adoption, data center expansion, the Internet of Things (IoT), e-commerce growth, telecommunications infrastructure (rollout of 5G technology), artificial intelligence (AI), big data, and government initiatives toward digitalization. These factors collectively contribute to the increasing demand for data center cooling solutions in the Brazilian market, driving both domestic and international players to invest in cooling systems to support the country's growing digital economy.
- Brazil's information and communications technology (ICT) industry is at the forefront of innovation, driving remarkable progress and creating a future-proof environment. Utilizing state-of-the-art technologies, the ICT industry opens up a world of possibilities while facing the challenges that define its growth.
- In 2023, Brazil's ICT industry raked in BRL 708 billion (USD 142 billion), marking a 5.9% real-term growth from 2022. Breaking down the figures, the IT segment led the charge, contributing BRL 422 billion reais, encompassing software, cloud services, hardware, and digital technologies. On the other hand, telecom services, covering voice, data, and network implementation, accounted for the remaining BRL 285 billion.
- Further, in 2023, the software market was poised for a 15.1% growth, propelled by the rising demand for security, data management, artificial intelligence (AI), and enhanced customer experience (CX) solutions. Notably, software-as-a-service (SaaS) is set to dominate, with an anticipated 27.6% surge, accounting for half of all software sales. Concurrently, general IT services, encompassing application management, consulting, and systems integration, are forecasted to witness a 6.7% uptick.
- Regarding telecommunication expansion, in April 2024, the Brazilian government announced a strategic partnership with a prominent Mexican telecommunications entrepreneur to bolster its optic fiber and 5G infrastructure. The entrepreneur has committed to injecting an estimated BRL 40 billion into Brazil over five years. Considering the above instances, the IT and telecom segment is poised to generate a heightened demand for storage in the foreseeable future. This surge in storage needs is anticipated to boost the demand for data centers, fueling the need for data center cooling solutions.
Latin America Data Center Cooling Industry Overview
The Latin American data center cooling market exhibits a moderate level of consolidation among key industry players, having sharpened their competitive edge in recent years. Notable market leaders in this segment include Stulz GmbH, Rittal GMBH & Co. KG, Schneider Electric SE, Vertiv Group Corp., and Mitsubishi Electric Corporation. These industry giants, boasting significant market shares, are actively engaged in expanding their customer base throughout the region. Their growth strategies primarily hinge on strategic collaborative efforts aimed at enhancing market share and overall profitability. Moreover, companies such as Schneider Electric SE, Johnson Controls International PLC, and Mitsubishi Electric Corporation offer liquid and air-based cooling products.
Additional Benefits:
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support
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 Government initiatives and rising demand for digitalization are propelling market growth.
5.1.2 Growing trend towards green solutions drives the demand for the studied market
5.2 Market Challenges
5.2.1 Dynamic nature of regulations on cooling solutions
5.3 Market Opportunities
5.3.1 Adoption of AI in the Region Drives the Demand for Studied Market
5.4 Industry Ecosystem Analysis
6 ANALYSIS OF THE CURRENT DATA CENTER FOOTPRINT IN THE REGION
6.1 Analysis of IT Load Capacity & Area footprint of Data Centers (for the period of 2018-2030)
6.2 Analysis of the current DC hotspots and scope for future expansion in the Region
6.3 Analysis of major Data Center Contractors and Operators in the Region
7 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 Technologies
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 & 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
7.4 By Country
7.4.1 Brazil
7.4.2 Mexico
7.4.3 Chile
7.4.4 Rest of Latin America
8 COMPETITIVE LANDSCAPE
8.1 Company Profiles
8.1.1 Stulz GmbH
8.1.2 Rittal GMBH & Co. KG
8.1.3 Schneider Electric SE
8.1.4 Vertiv Group Corp.
8.1.5 Mitsubishi Electric Corporation
8.1.6 Daikin Industries Limited
8.1.7 Johnson Controls International PLC
8.1.8 Munters
8.1.9 Alfa Laval AB
8.1.10 Emerson Electric Co.
9 INVESTMENT ANALYSIS
10 MARKET OPPORTUNITIES AND FUTURE TRENDS
11 ABOUT US
- Not Sure / Need Reassuring
- Confirm Content
-
Content is provided by our partners and every effort is made to make Market Report details as clear as possible. If you are not sure the exact content you require is included in this study you can Contact us to double check. To do this you can:
Use the ‘? ASK A QUESTION’ below the license / prices and to the right of this box. This will come directly to our team who will work on dealing with your request as soon as possible.
Write to directly on support@scotts-international.com with details. Please include as much information as possible including the name of report or link so our staff will be able to work on you request.
Telephone us directly on 0048 603 394 346 and an experienced member of team will be on hand to answer.
-
- Sample Pages
-
With the vast majority of our partners we can obtain Sample Pages to support your decision. This is something we can arrange without revealing your personal details.
It is important to note that we will not be able to provide you the exact data or statistics such as Market Size and Forecasts. Sample pages usually confirm the layout or the Categories included in Charts and Graphs, excluding specific data.
To ask for Sample Pages by contact us through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Check for Alternatives
-
Whilst we try to make our online platform as easy to use as possible there is always the possibility that a better alternative has not been found in your search.
To avoid this possibility Contact us through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346 and a Senior Team Member can review your requirements and send a list of possibilities with opinions and recommendations.
-
- Confirm Content
- Prices / Formats / Delivery
- Prices
-
All prices are set by our partners and should be exactly the same as those listed on their own websites. We work on a Revenue share basis ensuring that you never pay more than what is offered elsewhere.
Should you find the price cheaper on another platform we recommend you to Contact us as we should be able to match this price. You can Contact us though through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Discounts
-
As we work in close partnership with our Partners from time to time we can secure discounts and assist with negotiations, this is part of our personalised service to you.
Discounts can sometimes be arranged for speedily placed orders; multiple report purchases or Higher License purchases.
To check if a Discount is possible please Contact our experienced team through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Available Currencies
-
Most Market Reports on our platform are listed in USD or EURO based on the wishes of our Partners. To avoid currency fluctuations and potential price differentiations we do not offer the possibility to change the currency online.
Should you wish to pay in a different currency to that advertised online we do accept payments in USD, EURO, GBP and PLN. The price will be calculated based on the relevant exchange rate taken from our National Bank.
To pay in a different above currency to that advertised online please Contact our team and a quotation will be sent within a couple of hours with payment details.
-
- Licenses
-
License options vary from Partner to Partner as is usually based on the number of Users that will benefitting from the report. It is very important that License ordered is not breached as this could have potential negative consequences for you individually or your employer.
If you have questions or need confirmation about the specific license we recommend you to Contact us and a detailed explanation will be provided.
-
- Global Site License
-
The Global Site License is the most comprehensive license available. By selecting this license, the Market Report can be shared with other ‘Allowed Users’ and any other member of staff from the same organisation regardless of geographic location.
It is important to note that this may exclude Parent Companies or Subsidiaries.
If you have questions or need confirmation about the specific license we recommend you to Contact us and a detailed explanation will be provided.
-
- Formats
-
The most common format is PDF, however in certain circumstances data may be present in Excel format or Online, especially in the case of Database or Directories. In addition, for certain higher license options a CD may also be provided.
If you have questions or need clarification about the specific formats we recommend you to Contact us and a detailed explanation will be provided.
-
- Delivery
-
Delivery is fulfilled by our partners directly. Once an order has been placed we inform the partner by sharing the delivery email details given in the order process.
Delivery is usually made within 24 hours of an order being placed, however it may take longer should your order be placed prior to the weekend or if otherwise specified on the Market Report details page. Additionally, if details have been not fully completed in the Order process a delay in delivery is possible.
If a delay in delivery is expected you will be informed about it immediately.
-
- Shipping Charges
-
As most Market Reports are delivered in PDF format we almost never have to add additional Shipping Charges. If, however you are ordering a Higher License service or a specific delivery format (e.g. CD version) charges may apply.
If you are concerned about additional Shipping Charges we recommend you to Contact us to double check.
-
- Prices
- Ordering
- By Credit Card
-
We work in Partnership with PayU to ensure payments are made securely in a fast and effortless way. PayU is the e-payments division of Naspers.
Naspers operates in over 133 International Markets and ranks 3rd Globally in terms of the number of e-commerce customers served.
For more information on PayU please visit: https://www.payu.pl/en/about-us
-
- By Money Transfer
-
If you require an invoice prior to payment, this is possible. To ensure a speedy delivery of the Market Report we require all relevant company details and you agree to maximum payment terms of 30 days from receipt of order.
With our regular clients deliver of the Market Report can be made prior to receiving payment, however in some circumstances we may ask for payment to be received before arranging for the Market Report to be delivered.
-
- By Credit Card
- Security
- Website security
-
We have specifically partnered with leading International companies to protect your privacy by using different technologies and processes to ensure security.
Everything submitted to Scotts International is encrypted via SSL (Secure Socket Layer) and all personal information provided to Scotts International is stored on computer systems with limited access in controlled environments.
-
- Credit Card Security
-
We partner with PayU (https://www.payu.pl/en/about-us) to ensure all credit card payments are made securely in a fast and effortless way.
PayU offers 250+ various payment channels and eWallet services across 4 continents allowing buyers to pay electronically, whether on a computer or a mobile device.
-
- Website security