If you manage or design data centers, you already know this: heat is the invisible threat. With servers running round the clock, cooling isn’t just a background function—it’s core to performance, uptime, and reliability.
And when it comes to cooling large-scale infrastructure, two technologies dominate the conversation: Air Cooled Chillers and Water Cooled Chillers.
They both serve the same purpose—removing heat—but how they do it, and what that means for your operations, is where the difference lies.
So, let’s break it down. But first let’s understand What is a Data Center Cooling System and why a data center needs it?
What is a Data Center Cooling System?
A Data Center Cooling System is the infrastructure and technology used to remove excess heat generated by servers, storage units, and networking equipment within a data center. This maintains optimal temperature and humidity to ensure reliable operation and longevity of IT infrastructure.
Key Goals of a Data Center Cooling System:
- Maintain safe operating temperatures (typically 18–27°C or 64–81°F)
- Control humidity to prevent static and condensation
- Improve energy efficiency (PUE – Power Usage Effectiveness)
- Minimize environmental impact
Why Do Data Centers Need a Cooling System?
Data centers are built to run nonstop. Whether handling cloud applications, transactions, or machine learning workloads, the servers inside never sleep—and neither does the heat they produce.
Without an efficient Data Center Cooling System, all that heat buildup can lead to:
- Hardware failures
- Slower processing speeds
- Reduced lifespan of IT equipment
- Costly downtime
An effective Data Center Cooling System keeps temperatures within optimal limits, improves energy efficiency, and ensures that critical operations remain uninterrupted.
What is an Air Cooled Chiller?
Air cooled chillers are pretty straightforward. They use ambient air to remove heat from a system. Fans pull in outside air, push it across condenser coils, and carry heat away from the refrigerant. That’s it—no extra plumbing, no cooling towers, no complex installation.
These systems are self-contained and typically placed on rooftops or open outdoor areas. Because they’re compact and easy to install, they’re a go-to for smaller facilities and fast-track projects.
Why they’re popular:
- Easy to deploy and maintain
- Don’t require access to a water source
- Lower initial setup costs
- Ideal for moderate loads and less complex sites
But, there’s a trade-off. Air cooled chillers depend on outside air temperature. In hot climates, they may struggle to perform efficiently. They’re also noisier due to the large fans used for airflow.
What is a Water Cooled Chiller?
Water cooled chillers use a different approach. Instead of ambient air, they rely on water to absorb and dissipate heat. These systems circulate water through condenser coils and release that heat via a cooling tower.
This method is significantly more efficient—especially in larger facilities that operate 24/7. It also offers more stable cooling, regardless of outdoor weather conditions.
Why they’re preferred in mission-critical setups:
- Higher energy efficiency
- Quieter operation (since cooling towers can be located remotely)
- Better suited for high-density environments
- Long-term savings despite higher upfront investment
However, water cooled systems require more space, more infrastructure (like pumps, piping, and water treatment), and consistent upkeep.
Key Differences of Air Cooled Chillers and Water Cooled Chillers
| Feature | Air Cooled Chiller | Water Cooled Chiller |
| Heat Dissipation | Ambient air and fans | Water via cooling towers |
| Installation | Easier, standalone units | More complex, requires external infrastructure |
| Efficiency | Moderate, weather-dependent | High, stable in all climates |
| Maintenance | Simple, fewer components | Requires water treatment and tower upkeep |
| Best Suited For | Small to medium data centers | Large-scale, high-capacity environments |
| Environmental Impact | No water usage | High water usage, needs regulation |
| Noise | Louder (fans) | Quieter (remote towers) |
Air Cooled Chillers or Water Cooled Chillers: Which is the Best for a Data Center Cooling System?
Every Data Center Cooling System has to balance efficiency, reliability, and cost. The choice between Air Cooled Chillers and Water Cooled Chillers depends on your specific operational needs.
Choose Air Cooled Chillers if:
- Your data center is small or medium-sized
- You need a fast, straightforward installation
- You want minimal maintenance and lower water usage
- You’re dealing with moderate workloads
Choose Water Cooled Chillers if:
- You operate a large or hyperscale facility
- Energy efficiency is a high priority
- Your infrastructure supports cooling towers
- You can invest in long-term operational savings
Wrap Up
The demand for data—and the infrastructure to support it—is only growing. That means Data Center Cooling Systems must evolve too, offering efficiency, resilience, and flexibility.
While Air Cooled Chillers may not always match the efficiency of water-based systems, they shine in scenarios where simplicity, speed, and space constraints matter most. As cooling technology continues to advance, air cooled solutions are becoming smarter, quieter, and more efficient—making them an increasingly attractive option for modern data centers.
Still unsure which chiller system fits your needs best?We at Climaveneta India help facilities assess, design, and implement custom cooling strategies tailored for today’s digital demands—and tomorrow’s energy expectations.
