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Data Center Immersion Cooling Market size was more than USD 800 million in 2022 and will record over 15% CAGR from 2023 to 2032.
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Rising energy consumption by data centers, spiking global temperature levels due to climate change, and the desire for improved energy efficiency and cost savings, are driving the demand for new cooling systems across data centers. Other industries, besides data centers, like the automotive, aerospace, and manufacturing sectors, are also looking for more inventive cooling solutions to deal with the problems of heat dissipation and energy efficiency. For instance, complex cooling systems are needed in electric vehicles to manage the heat produced by their battery packs, and advanced manufacturing processes frequently rely on precise temperature control to guarantee product quality.
Report Coverage | Details |
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Base Year: | 2022 |
Market Size in 2022: | USD 800 Million |
Forecast Period: | 2023 to 2032 |
Forecast Period 2023 to 2032 CAGR: | 15% |
2032 Value Projection: | USD 4 Billion |
Historical Data for: | 2018 to 2022 |
No. of Pages: | 250 |
Tables, Charts & Figures: | 265 |
Segments covered: | Type, Cooling Fluid, End-Use and Region |
Growth Drivers: |
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Pitfalls & Challenges: |
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One of the things that could prevent the market for data center immersion cooling from expanding is the high cost of investment in HVAC cooling setups. Traditional HVAC cooling systems have high upfront infrastructure and equipment expenditures, as well as continuous maintenance and operating expenses. Because of this, it may be challenging for data center operators to defend the use of more modern, cutting-edge cooling techniques like immersion cooling. In addition, new competitors may find it challenging to enter the market due to the high upfront costs associated with HVAC conditioning setups if they lack the financial resources to do so. This may reduce competition and impede the market's overall expansion.
The COVID-19 pandemic impacted the data center immersion cooling market severely. Many organizations started going digital, especially with remote working trend which burdened data centers. With work-from-home policies, the number of video calls and online meetings increased, attributing the growing burden on data centers. However, new investments in data centers and the adoption of advanced cooling solutions could help mitigate the challenges faced by data centers over the coming years.
The market for data center immersion cooling is experiencing strong growth due to investments made in data center cooling solutions for ambiguous situations. Data centers are more vulnerable to power outages and other operational disruptions as a result of the escalating frequency and intensity of extreme weather events associated with climate change. By offering a more dependable and durable cooling system that is less susceptible to outside variables, immersion cooling can help mitigate these hazards.
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Based on type, the data center immersion cooling market is segmented into single-phase cooling and two-phase cooling. The single-phase cooling segment will cross USD 2 billion by 2032. Attributed to several factors, the single-phase cooling market share in the data center immersion cooling industry is increasing. The simplicity and use of single-phase cooling are two of its key benefits. Single-phase cooling systems simplify the cooling process and lower system complexity by pumping liquid coolant straight into the server or other IT equipment. These systems are smaller and can assist in minimizing the data center's total footprint. This might be a crucial factor to consider for businesses that want to minimize their environmental effect and make the most use of their existing space.
In terms of cooling fluid, the data center immersion cooling market is divided into mineral oil, fluorocarbons-based fluid, and synthetic fluid. The market share from the synthetic fluid segment will record over 15% CAGR from 2023 to 2032. Mineral synthetic fluids are a subset of dielectric fluid used to enhance IT equipment cooling performance and these fluids are environmentally beneficial. Since mineral synthetic fluids degrade more quickly and have less of an impact on the environment than traditional mineral oils, they are a desirable alternative for businesses trying to minimize their environmental impact.
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Based on end-use, the data center immersion cooling market is distributed into hyperscale, supercomputing, edge/5G computing, cryptocurrency, enterprise HPC, and others. The hyperscale segment will surpass USD 1 billion by 2032. Large-scale, high-density computing equipment produces a lot of heat. Immersion cooling technology is a preferred choice for operators aiming to maximize cooling efficiency since it is well-suited to handle the huge heat loads produced by hyperscale data centers.
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North America region is dominating the data immersion cooling market, reaching over USD 1.5 billion by 2032. Increasing interest in environmentally friendly and effective cooling fuel technology across the region is expected to drive growth in the regional market. Higher computer density, lower power consumption, and improved energy efficiency are other factors driving the market's expansion. As it enables higher processing densities without the need for conventional air conditioning systems, immersion cooling is a viable solution to these problems.
Submer, 3M, Vertiv, LiquidCool Solutions, DCX Liquid Cooling Company, Green Revolution Cooling, Midas Immersion Cooling, Asperitas, Bitfury Group Limited, and Fujitsu are significant players in the data center immersion cooling market. The competition between these businesses is based on things like product quality, cost, dependability, and customer service. They are contributing more and more effort into creating cutting-edge solutions that may assist businesses in boosting the performance and dependability of their computing systems. It also helps optimize their cooling infrastructure and consumes less energy.
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By Type
By Cooling fluid
By End-Use
The above information has been provided for the following regions and countries: