Solid State Cooling Market Size, Share, Forecast, & Trends Analysis by Type (Single, Multi, Thermocycler), Product (Refrigeration, Cooling), Technology (Thermoelectric, Electrocaloric), Application, and End-use Industry - Global Forecast to 2031

The Solid State Cooling Market is expected to reach $1.5 billion by 2031, at a CAGR of 9.8% from 2024 to 2031.

Solid State Cooling Market Size & Forecast

The growth of this market can be attributed to several factors, including the increasing demand for high energy-efficient cooling systems, the rising adoption of consumer electronics, and the growing use of solid-state cooling systems in medical devices & healthcare applications. Additionally, the increasing utilization of data centers and integration of solid state cooling systems with renewable energy sources is expected to create market growth opportunities. The initial high cost associated with setting up solid state cooling systems may restrain the growth of this market. However, the availability of high-performance and cost-effective materials for solid state cooling presents a significant challenge for market players.

Additionally, the integration of IoT and smart technologies in cooling solutions is a key trend in the solid state cooling market.

Solid State Cooling Market Growth Drivers

Rising Adoption of Consumer Electronics

Consumer electronics, a vast category that includes smartphones, tablets, gaming consoles, wearable devices, and home appliances, is set to benefit significantly from solid state cooling. The high-performance processors and high-density components in these devices generate substantial heat, necessitating efficient cooling solutions to prevent overheating and ensure reliable operation. Unlike traditional cooling methods that rely on mechanical components or refrigerants, solid state cooling offers the ability to provide precise temperature control without moving parts or noise. Solid state cooling solutions for devices like smartwatches help integrate high-performance sensors and processors, managing heat from powerful hardware and maintaining optimal performance during extended gaming sessions. This potential for precise temperature control without moving parts or generating noise makes solid state cooling a promising solution for the consumer electronics industry.

As the market for smartphones, laptops, tablets, and other electronic devices expands, there is an increasing consumer demand and technological advancements, thereby, creating a growing need for effective cooling to maintain optimal performance and extend the lifespan of these devices. According to the Press Information Bureau (Government of India) report published in July 2024, the global electronics market, valued at approximately USD 4.3 trillion, is dominated by countries including China, Taiwan, the U.S., South Korea, Vietnam, and Malaysia. The current value of India’s electronics production stands at approximately USD 101.0 billion as of the year 2023. All such factors, along with market consumer expectations for reliable and high-performance devices and the increasing need for higher-performance requirements in consumer electronics, are supporting the market growth in the coming years.

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Increasing Demand for High Energy Efficient Cooling Systems

Rising energy costs make it increasingly important for businesses and consumers to seek solutions that lower energy expenditure. Traditional cooling methods, including air conditioners and refrigerators, are known for their high energy use and reliance on refrigerants, making them more costly and environmentally harmful. Solid-state cooling system is much more efficient and consumes less energy compared to traditional systems. These systems use thermoelectric materials or other solid state technologies to manage heat without the need for moving parts or refrigerants. This helps eliminate the need for harmful refrigerants, reduce maintenance needs,  lower energy consumption, reduce environmental impact, improve reliability, and increase system longevity.

Some of the applications for high-energy-efficient cooling systems include data centers, consumer electronics, medical devices, industrial equipment, and automotive systems, mostly for electric vehicle (EV) battery cooling and climate control. Furthermore, government developments and initiatives regarding environmental regulations and sustainability goals further push the adoption of greener technologies. All such factors, along with rising energy costs and increasing consumer preference and awareness of energy efficiency and environmentally friendly products, are contributing to the market growth.

Solid State Cooling Market Trends

Integration of IoT and Smart Technologies in Cooling Solutions

Integration of IoT and smart technologies in cooling solutions involves embedding sensors, controllers, and data analytics capabilities into cooling systems. This enables monitoring, control, and optimization of cooling systems, and helps adjust performance dynamically. This also allows real-time data collection on temperature, energy consumption, and system performance, which can be used to optimize cooling efficiency and reduce energy usage. For instance, advanced climate control systems in vehicles use smart sensors to adjust cabin temperature based on external conditions and passenger preferences. Smart thermostats can adjust cooling based on occupancy patterns and environmental conditions.

Additionally, smart cooling systems in hospitals and labs ensure precise temperature control for sensitive equipment and pharmaceuticals. Such ability to monitor and control cooling systems in real-time aligns with the growing need for energy-efficient and adaptive cooling solutions. All such factors, along with the growing adoption of smart homes & buildings and the increasing need to optimize energy use in cooling systems, support the trend and contribute to the overall market growth in the coming years.

Solid State Cooling Market Opportunity

Increasing Utilization of  Data Centers

The data center is a physical location that stores computing machines and their related hardware equipment. It contains the computing infrastructure that IT systems require, including servers, data storage drives, and network equipment. Data centers support a wide range of applications, from cloud computing and online services to enterprise IT operations. As data centers expand, they face significant challenges related to cooling. The dense concentration of high-performance servers generates substantial heat, which can impact system reliability, performance, and energy consumption. Unlike traditional cooling methods, which rely on mechanical components and refrigerants, solid state cooling approach is advantageous for data centers. Solid state cooling offers a solution that provides efficient, dependable, and compact cooling systems. It also eliminates the need for bulky mechanical systems, reduces energy consumption, and enhances cooling precision. Hence, companies in the market integrate solid state cooling data centers to improve heat dissipation efficiency, lower operational costs, and ensure the longevity of critical equipment.

Furthermore, as data centers expand their operations, there is a growing need for efficient energy management solutions. For instance, in April 2024, Vertiv Group Corporation (U.S.) launched Vertiv SmartAisle 3, a micro modular data center system that utilizes Artificial Intelligence (AI) to provide enhanced intelligence and enable efficient operations within the data center environment. Such developments emphasize the growing role of advanced cooling technologies, including solid state cooling, in supporting the efficient and reliable operation of data centers. All such developments, along with rising data consumption, and increasing demand for precise temperature control for high-density computing environments to prevent overheating, boost the demand for solid state cooling systems in the coming years.

Solid State Cooling Market Analysis: Key Findings

By Type: The Single-stage Segment to Dominate the Solid State Cooling Market, in 2024

Based on type, the global solid state cooling market is broadly segmented into single-stage, multi-stage, and thermocycler. In 2024, the single-stage segment is expected to account for the largest share of over 48.0% of the solid state cooling market. The large market share of this segment can be attributed to their simpler compact design and lower production costs compared to multi-stage or thermocycler systems, increasing use of single-stage systems in a variety of applications, including consumer electronics and small-scale cooling systems, and growing demand for efficient cooling systems for applications with less demanding temperature control requirements.

However, the thermocycler segment is projected to witness the highest growth rate during the forecast period of 2024–2031. This growth is driven by the increasing demand for precise temperature control, which is critical for applications including PCR in medical & research settings, the growing need for efficient, compact, and dependable thermocycling solutions for advanced biotechnological applications, laboratory & field applications, and medical diagnostics.

By Product: The Cooling Systems Segment to Dominate the Solid State Cooling Market, 2024

Based on product, the global solid state cooling market is broadly segmented into cooling systems and refrigeration systems. In 2024, the cooling systems segment is expected to account for a larger share of over 65.0% of the solid state cooling market. The large market share of this segment can be attributed to the increasing need for energy-efficient alternatives to traditional cooling methods focused on reducing energy consumption and operational costs, the increasing need for effective cooling in portable and wearable electronics, including smartphones and laptops, and growing need for space-saving, minimal vibration, and compact cooling solutions in automotive, and industrial applications.

However, the refrigeration systems segment is projected to witness a higher growth rate during the forecast period of 2024–2031. This growth is driven by the growing demand for eco-friendly and energy-efficient refrigeration solutions, increasing emphasis on reducing energy consumption and operational costs in commercial and residential refrigeration applications, growing technological advancements in solid state refrigeration, and increasing need for reliable and efficient refrigeration in the food and beverage industry.

By Technology: The Thermoelectric Cooling Segment to Dominate the Solid State Cooling Market, in 2024

Based on technology, the global solid state cooling market is broadly segmented into thermoelectric cooling, magnetocaloric cooling, electrocaloric cooling, cryogenic cooling, and other technologies. In 2024, the thermoelectric cooling segment is expected to account for the largest share of over 36.0% of the solid state cooling market. The large market share of this segment can be attributed to its high reliability and low maintenance requirements compared to traditional cooling systems, the growing use of thermoelectric cooling systems for applications including portable small appliances, electronics cooling, automotive, and medical devices, and the increasing demand for an eco-friendly alternative to conventional refrigeration and cooling technologies.

However, the electrocaloric cooling segment is projected to witness the highest growth rate during the forecast period of 2024–2031. This growth is driven due to its compact and high energy efficiency in cooling power per unit volume, making them ideal for space-constrained applications, and increasing demand for electrocaloric cooling systems for high-precision cooling applications in electronics, and medical devices.

By Application: The Solid State refrigerators Segment to Dominate the Solid State Cooling Market, in 2024

Based on application, the global solid state cooling market is broadly segmented into solid state refrigerators, heated & cooled mattresses, wine bottle coolers, telecom devices, thermal therapy devices, electronics & Peltier CPU cooling, thermoelectric battery thermal management, electronics kiosk cooling, zonal thermoelectric climate control, thermoelectric office chairs, mini in-vehicle Peltier refrigerators, and other applications. In 2024, the solid state refrigerators segment is expected to account for the largest share of over 27.0% of the solid state cooling market. The large market share of this segment can be attributed to the increasing use of solid state refrigerators for high energy-efficiency cooling, less maintenance, and low noise operation compared to traditional refrigerant-based systems making it suitable for noise-sensitive environments such as offices, medical facilities, and homes, and growing increasing regulations and consumer demand for eco-friendly refrigeration solutions

However, the thermal therapy devices segment is projected to witness the highest growth rate during the forecast period of 2024–2031. This growth is driven by the increasing use of solid state cooling technologies for precise and adjustable temperature control in thermal therapy devices, the growing prevalence of chronic pain and musculoskeletal conditions, and the increasing demand for advanced thermal therapy devices used for pain relief, muscle relaxation, and rehabilitation.

By End-use Industry: The Healthcare Segment to Dominate the Solid State Cooling Market in 2024

Based on end-use industry, the global solid state cooling market is broadly segmented into automotive, food & beverages, aerospace & defense, semiconductor & electronics, it & telecommunications, industrial/power generation, healthcare, and other end-use industries. In 2024, the healthcare segment is expected to account for the largest share of over 43.0% of the solid state cooling market. The large market share of this segment can be attributed to the increasing demand for advanced cooling solutions in medical devices, the growing need for precise and reliable temperature control for devices, including diagnostic equipment, drug storage, and surgical tools, and the growing adoption of thermal therapy devices and other medical equipment utilizing solid state cooling.

However, the semiconductor & electronics segment is projected to witness the highest growth rate during the forecast period of 2024–2031. This growth is driven by the growing trend towards efficient smaller, and more compact electronic devices, the increasing need for effective cooling solutions in high-performance computing (HPC) systems and data centers to manage heat and maintain performance, and a growing need for advanced cooling solutions to manage higher heat densities and improve system reliability

Geographical Analysis

North America to Dominate the Solid State Cooling Market in 2024

Based on geography, the global solid state cooling market is segmented into North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa. In 2024, North America is expected to account for the largest share of over 42.0% of the solid state cooling market, followed by Europe, Asia-Pacific, Latin America, and the Middle East & Africa. North America's large market share can be attributed to several key factors, including the increasing adoption of advanced solid state cooling technologies in electronics and medical sectors, growing emphasis on energy efficiency and sustainability cooling systems, growing demand for advanced cooling systems to manage battery temperature and enhance EV performance, and the increasing demand for advanced cooling solutions for power generation equipment to improve performance and reduce operational issues.

Moreover, the Asia-Pacific market is slated to register the highest growth rate of over 11.0% during the forecast period. The growth of this market is attributed to the region’s growing demand for advanced cooling solutions in manufacturing, automotive, and electronics sectors in countries like China, Japan, and South Korea, increasing government initiatives and support for sustainable technologies and energy efficiency, increasing demand for cooling solutions due to high-density server installations and data processing requirements, and growing need for efficient cooling for base stations and communication infrastructure to ensure reliable performance.

Solid State Cooling Market: Key Companies

The report offers a competitive analysis based on an extensive assessment of the leading players’ product portfolios, geographic presence, and key growth strategies adopted in the last three to four years. Some of the key players operating in the solid state cooling market are Ferrotec Holdings Corporation (U.S.), TE Technology, Inc. (U.S.), AMS Technologies AG (Germany), Coherent Corp. (U.S.), Phononic, Inc. (U.K.), Solid State Cooling Systems (U.S.), EIC Solutions, Inc. (U.S.), Crystal Co., Ltd. (Russia), Delta Electronics, Inc. (Taiwan), EVERREDtronics Ltd (China), Laird Thermal Systems, Inc. (U.S.), MERIT TECHNOLOGY GROUP Co., Ltd. (China), TEC Microsystems GmbH (Germany), Thermonamic Electronics(Jiangxi) Corp., Ltd. (China), Kryotherm (Russia), Xiamen Hicool Electronics Co., Ltd. (China), Align Sourcing LLC (U.S.), and Hi-Z Technology, Inc. (U.S.).

Solid State Cooling Industry Overview: Latest Developments from Key Industry

• In July 2024, Absolute EMS Inc. (U.S.) partnered with Ventiva Inc. (U.S.) in advanced thermal management to build Ionic Cooling Engine (ICE^®). Utilizing electrohydrodynamic (EHD) flow, ICE^®  can generate a solid state cooling force suitable for up to 30-watt Thermal Design Power (TDP) systems.
• In March 2024, Solid State Cooling Systems introduced the next-generation ThermoCube product line, ThermoCube II, which is globally recognized for its compact size, ease of use, and world-class reliability.
• In June 2023, Laird Thermal Systems, Inc. (U.S.) launched the new OptoTEC MSX Series of micro multistage thermoelectric coolers. These thermoelectric coolers can be integrated into various optical packages, including TO-39, TO-46, or TO-8, creating advanced Optical Thermoelectric Assemblies (TEAs). Optical TEAs are designed for high-performance image-sensing applications commonly used in analytical, industrial, and aerospace applications.
• In April 2023, Laird Thermal Systems, Inc. (U.S.) expanded its capabilities by offering micro thermoelectric coolers to support high-temperature applications with compact geometric space constraints. The micro OptoTEC™ MBX Series offers superior heat pumping capacity in a smaller footprint for space-constrained optoelectronic applications.

Solid State Cooling Market Research Summary

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