Thermal Management for 5G Market Size, Share and Trends 2025 to 2034

Thermal Management for 5G Market Size and Forecast 2025 to 2034

The global thermal management for 5G market size accounted for USD 11.38 billion in 2024 and is predicted to increase from USD 12.02 billion in 2025 to approximately USD 19.62 billion by 2034, expanding at a CAGR of 5.61% from 2025 to 2034.The adoption of 5G devices has increased due to the increased need for high-speed data, driving the market. The rise in demand for more reliable and efficient thermal management solutions for 5G networks is boosting market growth.

Thermal Management for 5G Market Key Takeaways

• Asia Pacific dominated the global thermal management for 5G market in 2024.
• North America is anticipated to witness significant growth during the forecast period.

Artificial Intelligence (AI) Creates Room in Thermal Management for 5G

Artificial Intelligence is transforming thermal management for 5G market solutions. The ability of AI algorithms to provide real-time monitoring and real-time cooling mechanisms plays a major role in advancing thermal management solutions. Several features of A-based systems in thermal management solutions, such as better power performance, preventive maintenance (thereby preventing overheating), and increased operational efficiency through dynamic cooling systems, are the major merits of improving its importance. The smart cooling solutions will be the next generation of small and highly efficient 5G gadgets.

AI to enhance cooling solution capabilities will be the major trend for the adoption of thermal management solutions in 5G technology. Additionally, the growing emphasis on sustainability is increasing AI measurements in thermal management solutions. For instance, surge for sustainable cooling technologies that use recycled materials, consume less power, and have energy-efficient designs. The increased demand for more efficient and reliable thermal management solutions is expected to rise with AI implementation.

• In October 2024, Axiado Corporation, a leading AI-driven, hardware-anchored platform security solutions company, launched its Dynamic Thermal Management (DTM) solution, which is powered by Axiado’s Trusted Control/Compute Unit (TCU), for transforming the energy efficiency of AI data centers.

Market Overview

The thermal management solutions are used to manage heat generated by 5G devices and infrastructures while maintaining their operation and optimal performance. The thermal management for 5G market growth has been driven by increased adoption of 5G technology, adoption of edge computing, and ongoing advancements in thermal materials and systems. The increased demand for broad coverage and reliable connectivity, high speeds, and high capacity has driven the adoption of Sub-6 GHz and mmWave 5G technologies.

The trend of massive MIMO 5G technology is one of the major factors contributing to the demand for thermal management solutions. This technology is majorly preferred for data transfer rates and higher leading channels, which highly need baseband processing units, power consumption, and creating opportunities for the development and adoption of more efficient thermal interface materials. The increased need for thermal materials in antenna PCB, power amplifiers, and beamforming components is an emerging novel development in thermal management solutions.

The technology causes challenges for thermal management, such as denser IC distribution and increased heat dissipation, baseband processing, and power consumption. Additionally, the growing adoption of antenna developments, mMIMO, power amplifiers, and semiconductor technologies are creating opportunities for attaching materials and thermal interface materials and solutions for 5G technologies. Additionally, the thermal management for 5G market is projected to witness significant potential in the forecast period due to the rising adoption of edge computing, autonomous vehicles, and aerospace and defense applications.

Thermal Management for 5G Market Growth Factors

• One of the major trends leveraging the market growth is the increased adoption of 5G technologies. Thermal management solutions are essential for 5G technologies to manage heat generation in these technologies.
• The rise in the adoption of 5G technology led to the need for more reliable and efficient thermal management solutions to manage power consumption and heat generation. The demand for smart thermal management technologies is trending in the market.
• The increased demand for high-speed data and low latency in 5G technologies is driving the need for thermal management solutions to enhance operation reliability.
• The rising 5G infrastructure deployment, such as small cells and macro cells, is further surging in demands for thermal management solutions to manage heat generation by these systems.
• The demand for thermal management has further witnessed a spectacular boost due to the growing adoption of edge computing equipment.
• The increased data center infrastructures contribute to the high adoption of thermal management solutions to manage heat generated by high-density servers in the centers.
• Technological advancements such as smart thermal systems and advanced thermal interface materials are shaping the thermal management for 5G market potential for the future.

Market Scope

Market Dynamics

Drivers

High-frequency technology

High-frequency technology is a major factor contributing to the increased adoption of thermal management solutions. High-frequency technologies used in 5G devices generate high heat, which drives the need for effective thermal management solutions to minimize signal degradation and improve operation reliability. 5G technology requires higher power densities and heat generation, leading to demand for thermal management. For instance, the mmWave is a high-frequency technology that is the major application of 5G with incredible download speeds and ultra-low latency. The growing popularity of 5G-enabled devices, including smartphones and laptops, leads to a higher density of higher-power components, driving the need for thermal management solutions.

• In March 2025, DuPont announced cutting-edge advancements in circuit materials at Intelligent Asia Thailand 2025. The solutions are designed to improve fine-line technology, signal integrity, and thermal management, for which DuPont will exhibit at Booth #B342 in EH 102 at the Bangkok International Trade and Exhibition Centre (BITEC) from March 6 to 8, 2025.

Restraint

Cost and power consumption

The thermal management for 5G market is witnessing major restraint due to concerns about high cost and power consumption. Thermal management for 5G requires high power density, which leads to higher heat generation. The complexity associated with 5G systems causes difficulties for thermal management solutions implementation, which leads to expense. Additionally, the high cost associated with thermal management solutions for heat sinks, thermal interfaces, and fans hinders their adoption. Ongoing innovations and developments of cost-effective solutions are likely to overcome these challenges.

Opportunity

Smart thermal systems

The trend of immersion cooling and hybrid systems is lubricating innovative approaches in the development of more efficient thermal management solutions. The increased adoption of 5G infrastructure is creating significant challenges for existing thermal management solutions, which is driving a surge in the development of smart thermal systems. Additionally, the growing adoption of edge computing and Internet of Things devices is expected to enhance this demand in the upcoming period.

Increased adoption of edge computing and the complexity of 5G networks drive the need for advanced thermal management solutions like real-time thermal management systems to adjust real-time thermal performance in 5G infrastructure. The growing need for improved thermal efficiency, real-time monitoring, control, and improved reliability of thermal management solutions is a trending demand for smart thermal management systems.

Regional Analysis

Asia Pacific dominated the thermal management for 5G market due to various factors, including an increase in the adoption of 5G technology, demand for data centers and edge computing, and the presence of major market vendors. The presence of K5G equipment manufacturers, including ZTE, Samsung, and Huawei, drives a significant impact on market growth. The thermal management for 5G market is witnessing extreme growth in Asia Pacific driven by the broad adoption of consumer electronics, automotive, and 5G infrastructure. The high population and expanding urbanization also play a favorable role in market growth.

• In November 2024, ISRO partnered with IIT Madras for the launch of the Research Centre to Tackle Spacecraft Thermal Challenges. This partnership helps to launch a center to resolve thermal issues in spacecraft, advancing space tech in India.

China is leading the Asia Pacidic thermal management for 5G market due to the rapid adoption of 5G technology in the country. The vast automotive industry of China is the major factor leveraging the growth of the market in the country. Increased developments and adoption of electric and hybrid vehicles with 5G networks drive demand for thermal management solutions. Additionally, road demand for electronics manufacturing in large populations drives the need for thermal management solutions to cool down high-performance devices. The ongoing emphasis of China on advanced thermal materials for high-performance electronics is projected to continue dominance in the market expansion.

Japan and South Korea are leading regional markets due to a major focus on innovation and technology developments. The presence of strong electronics and telecom industries in these countries significantly impacts the market growth. These countries are witnessing rapid demands for 5G and the Internet of Things (IoT) devices. Additionally, governments support the development and deployment of 5G technology, stimulating further adoption of thermal management solutions.

• In April 2024, Hyundai Motor unveiled its Nano Cooling Film to help customers in hot climates keep cool. The film helps to block external heat energy and emits internal radiant heat to the outside while maintaining high transparency to allow unobstructed vision.

North America is projected to contribute significant thermal management for 5G market share in the forecast period. North America is a hub for the early adoption of 5G technology. The growing demand for data centers, edge computing, and consumer electronics are the major factors leveraging market expansion in the region by increasing demand for efficient cooling solutions across various sectors. The presence of major 5G equipment manufacturers and robust technological ecosystems play a vital role in the region's market growth. Government investments in 5G infrastructure and technology are further helping to fuel the demand for thermal management solutions.  Countries like the United States and Canada are playing a spectacular role in the adoption of data center 5G technology and edge computing.

The United States is a home for the early adoption of 5G technology and infrastructure development.  The increased demand for high-performance data centers and networks has leveraged the high demand for effective thermal management solutions in the country. The growth in the implementation of AI, machine learning, and 5G networks has created a growth demand for cooling systems in data centers, making the adoption of thermal management solutions. The United States is surging adoption of 5G technology to drive economic growth and create new industries, which is expected to create new opportunities for the adoption and advancement of thermal management solutions in the country.

• In February 2024, the U.S. Department of Energy (DOE) invested $171 million, funding 49 programs across 21 states to reduce industrial greenhouse gas emissions. Along with industries like 3M, Buzzi Unicem, and Amy’s Kitchen, Electrified Thermal Solutions received an award for decarbonizing industrial heat in manufacturing.

Europe is considered to be a significantly growing area in the global thermal management for 5G market. Europe is home to the adoption of green technologies. The strict regulation for energy-efficient practices in industries like automotive and telecommunications is promoting the popularity of thermal management solutions in industrial infrastructures. The demand for 5G technologies has taken a major place in the region for the increased need for data transfer speeds and processing capabilities. The growing adoption of thermal management solutions in regions of automotive and industrial applications is a trending market growth. Europe’s green energy emphasis further creates space for AI integration and its popularity.

Germany contributes a major share in the regional market with countries' broad demand for data center cooling technologies. The presence of strong electronics and automotive industries is driving market expansion in Germany. Additionally, the German government has raised focus on supporting 5G developments, leading to offering a favorable environment for thermal management companies to grow in the country. Collaboration between research institutes and universities plays a major role in thermal management research and developments in the country.

Thermal Management for 5G Market Companies

• H.B. Fuller
• Dow
• Solvay
• Bergquist
• 3M
• Rogers
• Laird
• TDK
• Henkel

Leader’s Announcements

• In December 2024, Felix Ejeckam, CEO and co-founder of Akash Systems, announced the company's Diamond Cooled GPU servers will help NxtGen to deliver unparalleled performance and reliability to their customers while creating their position as a leader in AI and other computer Solutions.
• In October 2024, Gopi Sirineni, President and CEO of Axiado, announced that the company's newly launched Dynamic Thermal Management solution, powered by the TCU, is featured to provide cooling efficiency as well as to help strengthen the security foundation of data centers.

Recent Developments 

• In February 2025, Sonim Technologies, a U.S.-based leader in rugged mobile solutions, launched the Sonim XP Pro Thermal 5G smartphone, the latest addition to its flagship XP Pro series. This solution collaborates 5G connectivity, integrated thermal imaging, and exceptional durability into a sleek design that empowers professionals to work smarter, faster, and more efficiently.
• In December 2024, Akash Systems, the provider of cooling technology for data centers, artificial intelligence (AI), and space companies, signed a $27 million contract with NxtGen Datacenter and Cloud Technologies. Akash System announced the launch of its cooling server called Diamond to NxtGen’s data centers in India.