Market forecast (2024-2032):

According to a new report by IMIR Market Research on Global the Market for Data Center Liquid Cooling was estimated at over USD 3.67 billion in 2023. Over the course of the forecast period (2024–2031), it is expected to increase at a compound annual growth rate (CAGR) of 23.43%, reaching a value of USD 14.07 billion by 2031.

The market for liquid cooling in data centers is expanding significantly due to the increasing demand for effective cooling solutions in data centers around the globe. The swift integration of cutting-edge technologies like big data analytics, cloud computing, and artificial intelligence is leading to higher power densities in data centers, which in turn is producing more heat. Conventional air-based cooling techniques are finding it difficult to meet the cooling demands, which results in inefficient operations and increased energy usage.

Enterprises are increasingly adopting liquid cooling solutions due to their superior temperature management, enhanced energy efficiency, and reduced operational costs. Liquid cooling systems enable efficient heat dissipation by promoting both direct and indirect heat transfer between liquid coolants and components. The industry is moving toward innovative cooling techniques including evaporative cooling and immersion cooling, which offer increased cooling efficiency, as a result of the growing trend of high-performance computing and data-intensive applications.

The use of liquid cooling solutions is being driven in part by sustainability programs and strict environmental restrictions, which allow businesses to minimize their carbon footprint and maximize energy use. As data centers aim for increased operating efficiency, lower energy consumption, and sustainable infrastructure, the industry is predicted to grow further, making liquid cooling an essential solution for data center cooling in the future.

Market Dynamics: Market Drivers-

Growing Need for Uses of Artificial intelligence (AI) and high-performance computers (HPC)

• The growing demand for high-performance computing (HPC) and artificial intelligence (AI) applications. The rise in data-intensive workloads, including machine learning, AI training, data analytics, and also scientific modelling, is causing high-density computer equipment in data centers to generate heat at previously unheard-of levels. The heat produced by these potent computer systems is difficult for conventional air-cooling systems to disperse effectively, which can result in thermal ineffectiveness, hot spots, and possible performance impairment. A simpler and more energy-efficient way to remove heat from computers, GPUs, and other crucial parts of the infrastructure of data centers is through the use of liquid cooling technology. Data center administrators can host demanding HPC and artificial intelligence (AI) workloads with greater cooling capacity, enhanced thermal control capabilities, or greater energy savings by utilizing immersion cooling techniques and liquid-cooled devices. The industry's demand for scalable, environmentally friendly, & excellent cooling solutions to suit changing computing needs and spur development in the data center conditioning market is shown in the growing use of liquid cooling technologies in data centers.

Increasing Attention to Sustainability & Energy Efficiency

• The increasing attention that data center operations are paying to sustainability and energy efficiency. The need for installing energy-efficient cooling systems is growing as data center administrators prioritize reducing power consumption, lowering carbon emissions, and lessening their environmental effect. According with traditional air-cooling techniques, liquid cooling technology has a number of benefits, such as higher power use effectiveness (PUE) metrics, lower fan energy consumption, and improved cooling capacity. Data center managers may optimize their cooling infrastructure, save a considerable amount of energy, and improve overall sustainability performance with liquid cooling technology.  Rear-door exchangers, immersion cooling systems, and direct-to-chip cooling are some of these alternatives.  Furthermore, data centers can function at warmer ambient temperatures thanks to liquid cooling technology, which opens the door to free cooling & economization techniques that further cut down on energy use and operating expenses. The demand for liquid cooling alternatives in the data center fluid cooling market is being driven by organizations seeking to reduce the environmental impact of data center operations and satisfy their ecological stewardship commitments. This is as energy saving and sustainability are receiving more attention.

Market Trends-

Implementing Immersion Cooling Technologies

• The growing use of immersion cooling techniques. The technique of dissipating heat produced by computer parts by cooling by immersion entails immersing servers and other computer hardware in a dielectric fluid, like mineral oil or synthetic coolant. More cooling effectiveness, less energy usage, and enhanced thermal control capabilities are just a few benefits that this approach has over conventional air conditioning systems. The immersion method approach cooling solutions enable data managers minimize hot spots, maintain ideal temperatures, and sustain HPC loads at higher power usage. Immersion cooling reduces the physical footprint and operating expenses of data center facilities by doing away with the requirement for intricate air handling systems. In the event data center operators look for creative solutions to resolve heat dissipation issues and increase energy efficiency, cooling by immersion is the recommended technique for cooling situations with high computer density.   Spending and market adoption in the data center liquid cooling sector are being driven by this trend.

Shift Towards Edge Data Center Deployments

• The goal of computing at the edge is to improve information processing capabilities, decrease latency, and improve performance by bringing computing power closer to the end users and Internet of Things devices. In order to facilitate quicker data transfer, real-time analytics, in addition low-latency applications for developing use cases like driverless vehicles, smart cities, or augmented reality, edge data centers are placed close to user populations or Internet of Things endpoints. The need for compact, eco-friendly cooling systems that function well in peripheral data center settings is being driven by the rise in edge computing deployments. Liquid cooling technology offers edge data centers a practical option that permits efficient heat removal in locations with constrained space and difficult operating conditions. Innovative technologies including modular liquid cooling systems, rack-based conditioning units, and self-contained cooling pods are made to meet the specific requirements of edge computing environments. The trend toward edge data center deployments is driving demand for liquid cooling systems designed specifically for computing edge applications globally. This need is fueling innovation and market growth in the data center liquid cooling sector.

Market Restraining Factors-

The initial capital outlay and implementation expenses

• The high upfront expenses of liquid cooling technologies in terms of capital investment and deployment.  The initial costs of putting liquid cooling infrastructures in place could be high, despite the fact that liquid cooling technology has many benefits, including improved thermal management and enhanced cooling efficiency. The data center operators have to modify their present structures and designs in order to get specialized cooling systems.  These adjustments include things like liquid cooling racks, pumps, distribution systems, & heat exchangers. The complexity and associated expenses of the project are increased when integrating and installing a liquid cooling system because it may also necessitate downtime, operations interruptions, and collaboration with other facility components. The IT Data Center Liquid Cooling Market may experience financial difficulties for data center operators due to the large initial investment in capital needed for liquid cooling solutions, especially for smaller businesses or organizations with tighter budgets. This will limit the market adoption and growth of liquid cooling technology. 

Report Coverage:

The report will cover the qualitative and quantitative data on the global Data Center Liquid Cooling Market. The qualitative data includes latest trends, market players analysis, market drivers, market opportunity, and many others. Also, the report quantitative data includes market size for every region, country, and segments according to your requirements. We can also provide customize report in every industry vertical.

Report Scope and Segmentations:

Data Center Liquid Cooling Market Players Analysis:

• Schneider Electric SE
• Vertiv Co.
• CoolIT Systems Inc.
• Asetek
• Rittal GmbH & Co. KG
• Green Revolution Cooling Inc.
• LiquidCool Solutions Inc.
• Midas Green Technologies LLC
• Submer Technologies
• STULZ GmbH
• Fujitsu Limited
• Huawei Technologies Co., Ltd.
• Nortek Air Solutions, LLC
• Mitsubishi Electric Corporation
• Delta Electronics, Inc.
• Airedale International Air Conditioning Ltd
• Munters Group AB
• Aqua Cooling Solutions Ltd
• Alfa Laval AB
• Iceotope Technologies Limited

Key Industry Developments:

• In May 2023, Rittal declared that it would be introducing a new range of data center liquid cooling devices. These goods will consist of micro-channel cooling systems, immersion cooling devices, and direct-to-chip cooling solutions.
• In April 2023, Green Revolution Cooling's acquisition by Schneider Electric was declared. One of the top suppliers of immersion cooling systems for data centers is Green Revolution Cooling.

Data Center Liquid Cooling Segmentation Analysis:

By Type

• Direct liquid cooling
• indirect liquid cooling

By Component

• Cooling pipes
• heat exchangers
• chillers
• pumps

By Cooling Technique

• Single-phase liquid cooling
• two-phase liquid cooling

By Data Center Type

• Enterprise data centers
• colocation data centers
• hyperscale data center

By Region

• North America (U.S., Canada, Mexico)
• Europe (Germany, France, UK, Italy, Spain, Russia, Rest of Europe)
• Asia-Pacific (China, India, Japan, ASEAN, Rest of Asia-Pacific)
• LAMEA (Latin America, Middle East, Africa)

Data Center Liquid Cooling Market Segmentation Insights:

The market scope is segmented because of by Type, by Component by Cooling Technique, by Data Center Type,

By Type

Based on the Type of the market is categorised into Direct liquid cooling, indirect liquid cooling.

The indirect liquid cooling segment is the largest market segment in the data center liquid cooling market. In order to provide a controlled cooling environment, indirect liquid cooling transfers heat from data center equipment to a liquid coolant via a liquid-to-liquid or liquid-to-air heat exchanger. Data centers can adjust to fluctuating cooling needs thanks to the scalability and flexibility of indirect liquid cooling solutions. Indirect liquid cooling systems are easily expandable or modifiable to meet increasing demands when power densities rise or new equipment is added.

On the other hand, the direct liquid cooling sector in the data center liquid cooling industry is expanding at the quickest rate. In order to effectively remove heat from heat-generating components like processors and GPUs, direct liquid cooling entails the direct contact of liquid cooling agents with components. As data center power densities rise, this market is expanding quickly, mainly because of applications related to artificial intelligence (AI) and high-performance computing (HPC). When looking for the best cooling options for data centers, direct liquid cooling is the method of choice because it has higher cooling efficiency and can withstand larger thermal loads.

By Component

Based on the Component of the market is categorised into Cooling pipes, heat exchangers, chillers, pumps.

Cooling pipes is the largest market segment in the data center liquid cooling market. The cooling liquid is circulated throughout the data center using cooling pipes, which are a crucial component of the liquid cooling system. Effective heat transfer and dissipation are made possible by these pipes, which guarantee the liquid coolant's efficient flow and distribution. Because cooling pipes are essential to preserving the ideal temperature in the data center, there is a significant demand for them.

Pumps is the section of the data center liquid cooling industry with the quickest rate of growth. In order to keep the liquid coolant moving throughout the cooling system, pumps are essential. They are in charge of keeping the coolant flowing continuously and making sure that heat is distributed and removed appropriately. The demand for dependable and efficient pump systems rises as data centers encounter higher cooling and power density requirements. The increasing use of liquid cooling solutions and the need for improved cooling performance are driving the pumps market's rapid expansion.

Regional Snapshots:

By region, Insights into the markets in North America, Europe, Asia-Pacific, and the rest of the world are provided by the study. North America is the largest market region in the data center liquid cooling industry. North America is home to numerous significant technological businesses and cloud service providers, and it also boasts a well-established data center infrastructure. The growing demand for data-intensive applications and services has resulted in a notable increase in the number of data center establishments in the region. Furthermore, North America has been a leader in implementing cutting-edge technologies like artificial intelligence, cloud computing, and the Internet of Things (IoT), which has led to increased power densities and cooling needs. Data center operators in North America are using liquid cooling solutions more frequently to solve these issues and increase overall data center performance, operational savings, and energy efficiency.

However, the Asia Pacific region is experiencing the fastest growth in the data center liquid cooling industry. The fast digitization, rising internet penetration, and expansion of cloud services and e-commerce are driving a rise in data center building and expansion in the region. Huge investments in data center infrastructure are being made in nations including South Korea, Japan, China, and India. The Asia Pacific region is seeing an increase in demand for data center liquid cooling systems due to the rise in power densities and the requirement for energy-efficient cooling solutions. The adoption of cutting-edge technologies like 5G, IoT, and AI in the area is also increasing demand for sophisticated cooling solutions.

Global Data Center Liquid Cooling Market Regional Analysis:

North America accounted for the highest xx% market share in terms of revenue in the Data Center Liquid Cooling market and is expected to expand at a CAGR of xx% during the forecast period. This growth can be attributed to the growing adoption of Data Center Liquid Cooling. The market in APAC is expected to witness significant growth and is expected to register a CAGR of xx% over upcoming years, because of the presence of key Data Center Liquid Cooling companies in economies such as Japan and China.

The objective of the report is to present comprehensive analysis of Global Data Center Liquid Cooling Market including all the stakeholders of the industry. The past and current status of the industry with forecasted market size and trends are presented in the report with the analysis of complicated data in simple language.

Data Center Liquid Cooling Market Report is also available for below Regions and Country Please Ask for that

North America

• U.S
• Canada

Europe

• Switzerland
• Belgium
• Germany
• France
• U.K
• Italy
• Spain
• Sweden
• Netherland
• Turkey
• Rest of Europe

Asia-Pacific

• India
• Australia
• Philippines
• Singapore
• South Korea
• Japan
• China
• Malaysia
• Thailand
• Indonesia
• Rest Of APAC

Latin America

• Mexico
• Argentina
• Peru
• Colombia
• Brazil
• Rest of South America

Middle East and Africa

• Saudi Arabia
• UAE
• Egypt
• South Africa
• Rest Of MEA

Points Covered in the Report:

• The points that are discussed within the report are the major market players that are involved in the market such as market players, raw material suppliers, equipment suppliers, end users, traders, distributors and etc.
• The complete profile of the companies is mentioned. And the capacity, production, price, revenue, cost, gross, gross margin, sales volume, sales revenue, consumption, growth rate, import, export, supply, future strategies, and the technological developments that they are making are also included within the report. This report analysed 5 years data history and forecast.
• The growth factors of the market are discussed in detail wherein the different end users of the market are explained in detail.
• Data and information by market player, by region, by type, by application and etc., and custom research can be added according to specific requirements.
• The report contains the SWOT analysis of the market. Finally, the report contains the conclusion part where the opinions of the industrial experts are included.

Key Questions:

• How much the global Data Center Liquid Cooling Market valued?
• Which region has the largest share in 2024 for the global Data Center Liquid Cooling Market?
• What are the driving factors for the market?
• Which is the leading segment in the global market?
• What are the major players in the market?

Research Scope of Data Center Liquid Cooling Market:

• Historic year: 2019-2022
• Base year: 2023
• Forecast: 2024 to 2031
• Representation of Market revenue in USD Million

Data Center Liquid Cooling Market Trends: Market key trends which include Increased Competition and Continuous Innovations Trends: