Phoenix Business Journal on Air2O
Phoenix-based Air2O has surpassed more than $50 million in product orders and is planning an expansion of its north Phoenix manufacturing facility to keep up with demand for its HVAC systems used in mission critical facilities.
Air2O Cooling LLC has shipped over $30 million worth of its desiccant dehumidification systems used in lithium-ion battery facilities in the U.S. and is on track to complete $60 million in orders consisting of its various thermal management products by the end of the year, said Michael Sullivan, CEO and co-founder of Air2O.
“We focus on mission critical environments — industries like data centers, semiconductors and indoor agriculture,” Sullivan said. “Our big dollar success is desiccant dehumidification for lithium-ion battery manufacturers.”
Air2O, which also has offices in Europe and Southeast Asia, has been involved in large commercial projects worldwide, including data centers, and agricultural, semiconductor and battery facilities.
The company’s ELH product is equipped with state-of-the-art features and is specifically designed to meet the battery industry’s stringent low dew point requirements, preventing water contamination and premature chemical reactions, Sullivan said.
In addition, Air2O manufactures hybrid air conditioning systems that combine two-stage evaporative cooling with an “intelligent” control system that automatically responds and adapts to outside weather conditions by switching from evaporative cooling to air-conditioning when needed.
Air2O’s cooling systems are used in hangars for Southwest Airlines at Phoenix Sky Harbor International Airport and at Universal Studios Singapore in areas where people queue for amusement rides, Sullivan told the Business Journal in 2022.
The company also supplied 150 hybrid air conditioning units for the 2022 FIFA World Cup fan zone in Qatar and installed 5,000 of its custom-made jet nozzle diffusers to distribute cool air throughout the stadiums, the Business Journal previously reported.
In 2023, Air2O landed a $14.1 million investmentfrom France-based global renewable company Eren Groupe to expand its supply chain logistics, operations and workforce.
Company plans to double Valley footprint.
Sullivan and Moe Salem launched Air2O in 2007. Sullivan relocated from Europe to Arizona more than five years ago to grow the company, which has nearly 100 employees with 50 based in the Valley.
Air2O’s rapid order growth over the past 18 months is prompting a need for more manufacturing space, Sullivan said. “We’re looking to double our capacity in the next 12 to 18 months because we’re pretty much stretched at the moment,” he said.
The company currently operates a 50,000-square-foot manufacturing facility at 425 E. Pinnacle Peak Road. It expects to double its footprint by the end of the year and is considering potential sites near its existing facility, Sullivan said.
The company anticipates its expansion will create 50 new jobs, Sullivan added.
A vast majority of Air2O’s clients are out-of-state with projects in the Carolinas and Kentucky. The company is also currently working on a few projects for health care, pharmaceutical and data centers in Arizona, Sullivan said, but he would not disclose the customer names.
Air2O sees Arizona as a potential market for growth, given the state’s flourishing electric battery, data center and semiconductor industry development, he added. “We want people to be aware of the value that we bring for what we offer to the industry and how we can support clients, and engineers in Arizona and in the U.S.” Sullivan said.