In the most general sense, air conditioning can refer to any form of technology that modifies the condition of air (heating, cooling, (de-)humidification, cleaning, ventilation, or air movement).

In common usage, though, "air conditioning" refers to systems which cool air.

In construction, a complete system of heating, ventilation, and air conditioning is referred to as heating, ventilation, and air conditioning (HVAC – as opposed to AC).

Modern air conditioning emerged from advances in chemistry during the 19th century, and the first large-scale electrical air conditioning was invented and used in 1902 by American inventor Willis Carrier in Buffalo, New York.

After graduating from Cornell University, Carrier found a job at the Buffalo Forge Company. While there, he began experimenting with air conditioning as a way to solve an application problem for the Sackett-Wilhelms Lithographing and Publishing Company in Brooklyn, New York. The first air conditioner, designed and built in Buffalo by Carrier, began working on 17 July 1902.

Designed to improve manufacturing process control in a printing plant, Carrier's invention controlled not only temperature but also humidity.

Carrier used his knowledge of the heating of objects with steam and reversed the process.

Later, Carrier's technology was applied to increase productivity in the workplace, and The Carrier Air Conditioning Company of America was formed to meet rising demand.

More Info: en.wikipedia.org