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Air Conditioners Market
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The Air Conditioners Market is projected to reach $256.2 billion by 2031, growing at a CAGR of 5.8% from 2024 to 2031.

An air conditioner is a system designed to cool a space by removing heat and expelling it outside. Beyond cooling, air conditioners offer benefits such as reduced humidity, improved air quality, alleviation of asthma and allergies, enhanced mental well-being and concentration, fewer insects and parasites, and protection of furniture in residential areas.

An air conditioner functions by cooling a space through the extraction of heat and expelling it outdoors. The advantages of air conditioners extend beyond just cooling—they include reducing humidity, alleviating asthma and allergies, improving indoor air quality, enhancing focus and mental well-being, improving security (as windows remain closed), reducing insects and pests, and protecting furniture and personal belongings. These benefits make air conditioners essential in residential settings.

Two significant trends shaping the global air conditioners market today are the rise of connected air conditioners and solar-assisted air conditioning.

The Growth of Connected Air Conditioners

Connected air conditioners are transforming how users interact with their cooling systems. These smart AC units connect to the internet, allowing users to control temperature settings from anywhere via smartphones or tablets. This capability offers convenience, allowing easy adjustments whether users are at home, work, or traveling. A key feature is the automatic restoration of settings after power interruptions, reducing the risk of system failure due to voltage fluctuations.

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Moreover, smart air conditioners provide energy savings by enabling precise temperature customization. They automatically reduce energy output once the desired temperature is reached, lowering utility bills and carbon footprints compared to traditional air conditioners. Many manufacturers are introducing models with enhanced connectivity and advanced features:

  • In March 2021, Johnson Controls-Hitachi Air Conditioning India Ltd. introduced a new range of room air conditioners along with the airCloud Home app, which offers smart geo-fencing, voice control, and other advanced features.
  • In 2020, Panasonic Life Solutions India Pvt. Ltd. launched the largest range of connected air conditioners in India, signaling strong growth in the smart AC market.

Solar-Assisted Air Conditioning: A Sustainable Solution

Solar-assisted air conditioners are emerging as a sustainable alternative to conventional cooling systems. These ACs harness renewable energy from the sun, significantly reducing fossil fuel consumption and cutting energy costs. Natural refrigerants like lithium chloride, water, and zeolites, used in solar cooling systems, make them an eco-friendly option compared to traditional systems.

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Many companies are actively investing in solar-assisted ACs to meet the increasing demand for green energy solutions. For instance, in September 2022, Suzuma Innovations (Japan) launched India’s first solar thermal-assisted air conditioner, which operates directly on solar power, making it cost-effective and environmentally friendly. Available in 1-Ton, 1.5-Ton, and 2-Ton models, these units come with filters that eliminate PM 2.5, dust, pollen, and pet dander, ensuring cleaner air.

In addition, air conditioners powered directly by photovoltaic cells are now available. These advanced units, such as solar-powered heat pumps, utilize DC power generated by photovoltaic panels, further reducing the reliance on conventional electricity.

The increasing demand for energy-efficient solutions, coupled with the environmental benefits of solar-assisted and connected air conditioners, is expected to drive the growth of these technologies in the global market over the coming years.

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