Data Center Liquid Cooling Market size worth over $3bn by 2026
Published Date: July 14, 2020 Authors: Ankita Bhutani, Preeti Wadhwani
Data Center Liquid Cooling Market size is set to surpass USD 3 billion by 2026, according to a new research report by Global Market Insights, Inc.
Compute-intensive applications, such as IoT and AI, are driving the requirement for high chip performance. These power-dense applications use Graphical Processing Units (GPUs) that require efficient cooling. A rapid rise in demand for these applications further increases the chip density, decreasing rack space. Liquids have a high magnitude of heat capacity than air. The heat-carrying capacity of liquids is around 3,500 times greater than that of air. Once the heat is transferred to the liquid, it can be efficiently removed from the data center. The traditional cooling equipment becomes inefficient in high chip density rack, driving the demand for data center liquid cooling market.
Growing concerns over increasing energy consumption by the equipment are fueling the need for energy-efficient data center liquid cooling solutions. The rise in the energy consumed by data centers has prompted several government organizations to focus on Power Usage Effectiveness (PUE) and energy consumption reductions.
Direct-to-chip liquid cooling technology to gain traction due to its effectiveness in isolating and dissipating heat while facilitating compactness in data centers
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The Direct-to-Chip (D2C) cooling technology segment in the data center liquid cooling market will witness steady growth during the forecast timeline. The direct-to-chip data center liquid cooling technology eliminates the need for expensive chillers, resulting in the reduction of CapEx for operators. The elimination of chillers and the use of coolants directly on chips further reduce the energy consumption of data centers, resulting in lesser downtime, lower electricity bills, and high PUE. For instance, in April 2020, Rittal GmbH & Co. KG and its partner company ZutaCore launched Rittal HPC Cooled-by-ZutaCore. The direct-to-chip data center liquid cooling solution offers high-performance cooling for data centers.
Datacenter market players are focusing on ways to increase the density without compromising on the compactness of the infrastructure. Rack-based cooling systems operate inside the enclosure, eliminating the need for in-row cooling systems. In D2C liquid-cooled systems, the use of hot & cold aisle is eliminated, providing more space for IT infrastructure to be aligned in the desired way. Furthermore, the elimination of fans used in traditional air-cooled systems further increases the available space.
Browse key industry insights spread across 250 pages with 348 market data tables and 30 figures & charts from the report, “Data Center Liquid Cooling Market Size By Component (Solution [Direct-to-Chip Liquid Cooling, Immersive Liquid Cooling], Services [Managed Services, Professional Services]), By End-use (Enterprise [BFSI, Government, Healthcare, Manufacturing, IT Enabled Services (ITeS)], Telecom Service Providers, Cloud Service Providers), Industry Analysis Report, Regional Outlook, Application Potential, Competitive Market Share & Forecast, 2020 – 2026” in detail along with the table of contents:
Demand for efficient data center liquid cooling solutions from cloud service providers owing to growing demand for cloud technologies
With a sharp rise in cloud data centers for high processing power applications, such as machine learning & AI, servers are required to function constantly with the highest possible speeds. Efficient thermal management becomes crucial in keeping data centers running smoothly with a minimal downtime. Reducing the energy usage and total cost of ownership has become a key factor for data center market players to manage massive data center infrastructures. Demand for high-performance data center liquid cooling solutions that enable cloud service providers to render seamless and uninterrupted data center services to customers will be showcased in the coming years.
Rapid cloud adoption and an increase in the number of internet services among enterprises operating in the U.S. and Canada are proliferating the data center liquid cooling market share for hyper-scale facilities. In January 2020, iland Internet Solutions, a cloud service provider of secure hosting of infrastructure, launched a new cloud region in Canada, with its new data center facility in Ontario. The development of the cloud computing & data center industry in the region will boost the market demand for advanced cooling solutions.
Advanced IT infrastructure in North America will support the growth of the data center liquid cooling market
North America market will observe substantial growth from 2020 to 2026, which is attributed to the presence of key players such as HP, IBM, and Facebook. The industry players are constantly advancing their data centers with servers, racks, and other IT equipment, increasing the demand for data center liquid cooling equipment. These trends coupled with energy-efficient cooling strategies are being widely adopted throughout the country. Regulatory bodies, such as the American Society of Heating and Refrigeration and Air-Conditioning Engineers (ASHRAE), The U.S. Energy Association (USEA), and the U.S. Energy Information Administration (EIA), have updated standards for humidity and temperature conditions for computing equipment.
Product portfolio expansion in data center liquid cooling remains a key growth strategy among market participants
The data center liquid cooling market is niche with established players dominating the industry value chain. Market players are collaborating and partnering with other stakeholders to offer innovative solutions for High-Performance Computing (HPC) and edge data centers. For instance, in November 2019, Asetek, Inc. expanded its liquid-cooled server product portfolio that specifically targeted applications such as AI and HPC. Based on Asetek liquid cooling technology, integrated rack systems from Supermicro will optimize the output by maximizing processor and interconnect performance. This will enable efficient cooling in high-density CPUs and GPUs.
Prominent companies operating in the data center liquid cooling market include Mitsubishi Electric Corporation, Submer Technologies, STULZ GmbH, The 3M Company, Schneider Electric SE, Silverback Migration Solutions, Inc., Iceotope Technologies Limited, Rittal GmbH & Co. KG, Midas Green Technologies LLC, Ebullient, Inc., Green Revolution Cooling, Inc., Liquid Cool Solutions, Inc., Vertiv Group Corporation, Alfa Laval AB, Black Box Corporation, Allied Control Ltd. (Bitfury Group Limited), Asetek AS, Chilldyne Inc., CoolIT Systems Inc., and IBM Corporation.