The "air conditioning paradox" is tied to climate change: the more the planet warms, the greater the need for cooling (due to the dangers of extreme heat as well as comfort within buildings), but the use of electricity-powered AC contributes to further warming. There is a need for innovation to break this cycle, but despite increases in efficiency in recent years, the industry has not changed much since its origins at the turn of the 20th century. This note provides an overview of the global industry with a particular emphasis on the United States. It presents data on global market demand, showing that the U.S. and Asia are the biggest users and the leading global manufacturers. It focuses on American market segments and distribution channels, and it outlines the role of electric utilities and incentives. It shows a consolidating industry with entrenched players, although digital tools are in increasing use. Corporate venture capital and stand-alone venture capital are being deployed in the search for new models and disruptive technologies.