The poor thermal conductivity and low elongation-to-break ratio of titanium lead to the development of extreme temperatures (in excess of 550 °C) localized in the tool–chip interface during machining of its alloys. At such temperature level, titanium becomes highly reactive with most tool materials resulting in accelerated tool wear. The atomization-based cutting fluid (ACF) spray system has recently been demonstrated to improve tool life in titanium machining due to good cutting fluid penetration causing the temperature to be reduced in the cutting zone. In this study, the cutting temperatures are measured both by inserting thermocouples at various locations of the tool–chip interface and the tool–work thermocouple technique. Cutting temperatures for dry machining and machining with flood cooling are also characterized for comparison with the ACF spray system temperature data. Findings reveal that the ACF spray system more effectively reduces cutting temperatures over flood cooling and dry conditions. The tool–chip friction coefficient indicates that the fluid film created by the ACF spray system also actively penetrates the tool–chip interface to enhance lubrication during titanium machining.