Southeast Asia's Data Center Cooling Market Expected to Grow 15.45% to Reach USD Million by 2033, According to UnivDatos.

Key Highlights of the Report:

• The market is evolving at a very fast rate with the growing number of AI loads, the uptake of clouds, and the expansion of hyperscales, which is causing the heat generation across facilities to escalate, compelling the operators to implement more efficient cooling architectures.

• The adoption of liquid-based cooling and hybrid cooling systems, as well as AI-based cooling systems, is increasing at high rates as companies are interested in obtaining lower levels of PUE, lower energy costs, and the ability to meet the sustainability requirements of the regions.

• The level of competitive activity is increasing, and key cooling solution vendors continue to diversify and build technology relationships and concentrate on energy-efficient innovations to reinforce their presence in the region.

• Singapore is the leader in the region as it has a dense ecosystem of hyperscales and stringent regulations on efficiency, and Indonesia, Malaysia, and Thailand are rapidly developing markets because of digitalization and the new investments in data centers.

• The growth in the segment is backed by the growing investment in solutions like chillers, precision air conditioners, as well as modular cooling units, and more investments by cloud operators, telecom operators, BFSI operators, and colocation operators looking at scalable and future-ready infrastructure.

According to a new report by UnivDatos, the Southeast Asia Data Center Cooling Market is expected to reach USD Million in 2033 by growing at a CAGR of 15.45% during the forecast period (2025- 2033F). The rapid growth of hyperscale and colocation data centers, driven by cloud computing, AI workloads, and digital transformation programs, fuels the market across Southeast Asian countries. Also, the increasing adoption of the internet, the deployment of 5G, and government-initiated programs to digitize the economy are driving the demand for large-scale and energy-efficient data center deployments. Furthermore, the operational reliability requirement, combined with rising electricity prices and environmental regulations, is driving the adoption of high-efficiency cooling systems and investment in green infrastructure.

On May 15, 2025, Equinix, Inc. inaugurated its first International Business Exchange (IBX) data center in Jakarta, a joint venture with PT Astra International Tbk (“Astra”). This high-performance data center, known as JK1, offers access to over 50 global and local network service providers and internet exchanges, creating a robust ecosystem that supports businesses expanding in Indonesia. JK1 incorporates sustainability into its design, leveraging innovative technologies such as Cooling Array and liquid cooling technology, ensuring efficient heat management for high-density and high-performance computer workloads such as AI.

Driver: Surging Data Center Construction

The surging data center construction is providing the cooling market with a direct boost, as each new facility requires high-performance, energy-efficient thermal control. The emergence of hyperscale campuses, edge sites, and large colocation facilities in Southeast Asia is generating significant pressure for more efficient cooling solutions that can support higher rack densities and AI-intensive workloads. As countries such as Singapore, Indonesia, and Malaysia are now emerging as digital infrastructure locations of choice, developers are shifting their attention towards those solutions that reduce the PUE and adhere to stringent environmental guidelines. The intense construction also promotes greater control of liquid cooling, as well as modular and hybrid cooling systems. With investments flowing into new data centers, the vendors of cooling receive a broader technology runway and increased growth power throughout the region.

On June 17, 2025, EDGNEX Data Centers by DAMAC, a global digital infrastructure company backed by the DAMAC Group, a global conglomerate headquartered in Dubai, announced the development of a next-generation AI-powered data center in Jakarta, Indonesia, its second in the market. This milestone project marks one of Southeast Asia’s largest AI-dedicated developments, with a future projected capacity of 144 MW and a total investment of USD 2.3 billion.

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Following the land acquisition completed in March 2025 by DAMAC, the site has entered early construction phases, with the facility’s phase one expected to be ready for service by December 2026.

Segments that transform the industry

• Based on end-use industry, the market is segmented into IT and telecom, banking, financial services, and insurance (BFSI), media and entertainment, healthcare, government and defense, retail, and others. Among these, the IT and telecom segment held the dominant share of the Southeast Asia Data Center Cooling market in 2024. The continuous digitalization, deployment of 5G, and adoption of cloud technologies are driving the demand. Moreover, telecom companies are also updating existing facilities with efficient cooling to provide more data traffic and low-latency needs. This growth is increasing investment in new cooling facilities, especially colocation and edge data centers. On May 15, 2025, Equinix, Inc. inaugurated its first International Business Exchange (IBX) data center in Jakarta, a joint venture with PT Astra International Tbk (“Astra”). This high-performance data center, known as JK1, offers access to over 50 global and local network service providers and internet exchanges, creating a robust ecosystem that supports businesses expanding in Indonesia. JK1 incorporates sustainability into its design, leveraging innovative technologies such as Cooling Array and liquid cooling technology, ensuring efficient heat management for high-density and high-performance computer workloads such as AI.

Region that transforms the industry

• Indonesia is expected to grow at a significant CAGR during the forecast period (2025-2033). This is mainly driven by cloud development, digital transformation, and a young population with strong internet connectivity. The increased installation of modular and high-efficiency cooling systems is being driven by the proliferation of hyperscale facilities in the areas surrounding Jakarta and Batam. Moreover, companies are investing in local cooling systems to cope with increasing heat demands and lower energy bills. For example, DCI Indonesia officially launched JK6 on June 3, 2025, the eighth data center, located at the DCI-H1 Campus in Cibitung, West Java. With a capacity of 36 megawatts, JK6 is the largest single-built data center in Indonesia. JK6 sets a new standard in Indonesia’s colocation data center with 36 megawatts of AI-ready capacity by its liquid cooling systems, designed to support high-performance computing needs. This brings DCI’s total capacity to 119 MW across 3 locations, and is a concrete response to Indonesia's growing demand for reliable, secure, and scalable digital infrastructure.

Key Offerings of the Report

Market Size, Trends, & Forecast by Revenue | 2025−2033.

Market Dynamics – Leading Trends, Growth Drivers, Restraints, and Investment Opportunities

Market Segmentation – A detailed analysis of By Cooling Type, By Component, By Data Center Type, By End-Use Industry, By Country

Competitive Landscape – Top Key Vendors and Other Prominent Vendors