USD 2.37 billion
Data Center Liquid Cooling Market Size, Share, Growth Analysis, By Data Center Type, By Type of Cooling, By Component, By Enterprise, By End User, By Region - Industry Forecast 2025-2032
Report ID:
SQMIG20E2063 |
Region:
Global |
Published Date: December, 2024
Pages:
202
|Tables:
116
|Figures:
77
Data Center Liquid Cooling Market Insights
Data Center Liquid Cooling Market size was valued at USD 2.93 Billion in 2023 and is poised to grow from USD 3.62 Billion in 2024 to USD 19.45 Billion by 2032, growing at a CAGR of 23.43% during the forecast period (2025-2032).
The data center liquid cooling market is experiencing significant growth driven by the escalating demand for efficient cooling solutions in data centers globally. With the rapid adoption of advanced technologies such as cloud computing, artificial intelligence, and big data analytics, data centers are witnessing higher power densities, resulting in increased heat generation. Traditional air-based cooling methods are struggling to keep pace with the cooling requirements, leading to operational inefficiencies and higher energy consumption.
As a result, organizations are increasingly turning to liquid cooling solutions, which offer enhanced thermal management, improved energy efficiency, and reduced operational costs. Liquid cooling systems, including direct and indirect methods, enable direct contact or transfer of heat from components to liquid coolants, enabling efficient heat dissipation. The market is witnessing a shift towards innovative cooling techniques such as immersion cooling and evaporative cooling, enabling higher cooling efficiency and supporting the growing trend of high-performance computing and data-intensive applications.
The stringent environmental regulations and sustainability initiatives are further driving the adoption of liquid cooling solutions, as they enable organizations to reduce their carbon footprint and optimize energy consumption. The market is expected to witness continued growth as data centers strive for improved operational efficiency, reduced energy consumption, and sustainable infrastructure, making liquid cooling an indispensable solution for the future of data center cooling.
US Data Center Liquid Cooling Market is poised to grow at a sustainable CAGR for the next forecast year.
Market snapshot - 2024-2031
Global Market Size
Largest Segment
Direct liquid cooling
Fastest Growth
Direct liquid cooling
Growth Rate
23.43% CAGR
Global Data Center Liquid Cooling Market ($ Bn)
Country Share for North America Region (%)
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Data Center Liquid Cooling Market Segmental Analysis
Global Data Center Liquid Cooling Market is segmented by Data Center Type, Type of Cooling, Component, Enterprise, End User and region. Based on Data Center Type, the market is segmented into Small & Mid-Sized Data Centers, Large Data Centers. Based on Type of Cooling, the market is segmented into Cold Plate Liquid Cooling, Immersion Liquid Cooling, Spray Liquid Cooling. Based on Component, the market is segmented into Solutions (Indirect, Direct), Services (Design & Consulting, Installation & Deployment, Support & Maintenance). Based on Enterprise, the market is segmented into Cloud Providers, Colocation Providers, Enterprises, Hyperscale Data Centers. Based on End User, the market is segmented into BFSI, IT & Telecom, Media & Entertainment, Healthcare, Government & Defense, Retail, Research & Academia, Others. Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & and Africa.
Analysis By Type
The largest market segment in the data center liquid cooling market is the indirect liquid cooling segment. Indirect liquid cooling involves the use of a liquid-to-liquid or liquid-to-air heat exchanger to transfer heat from the data center equipment to a liquid coolant, ensuring a controlled cooling environment. Indirect liquid cooling solutions offer scalability and flexibility, allowing data centers to adapt to changing cooling requirements. As power densities increase or new equipment is added, indirect liquid cooling systems can be easily expanded or modified to accommodate the growing demands.
On the other hand, the fastest-growing segment in the data center liquid cooling market is the direct liquid cooling segment. Direct liquid cooling involves the direct contact of liquid cooling agents with heat-generating components, such as processors and GPUs, to efficiently remove heat. This segment is experiencing rapid growth due to the increasing power densities in data centers, particularly driven by high-performance computing (HPC) and artificial intelligence (AI) applications. Direct liquid cooling offers superior cooling efficiency and is capable of handling higher thermal loads, making it a preferred choice for data centers seeking optimal cooling solutions.
Analysis By Component
The largest market segment in the data center liquid cooling market is the cooling pipes segment. Cooling pipes are an essential part of the liquid cooling system, responsible for circulating the cooling liquid throughout the data center. These pipes ensure the efficient flow and distribution of the liquid coolant, enabling effective heat transfer and dissipation. The demand for cooling pipes is high due to their crucial role in maintaining the temperature balance within the data center environment.
On the other hand, the fastest-growing segment in the data center liquid cooling market is the pumps segment. Pumps play a critical role in circulating the liquid coolant throughout the cooling system. They are responsible for maintaining the continuous flow of the coolant, ensuring proper heat removal and distribution. As data centers experience increasing power densities and cooling requirements, the need for efficient and reliable pump systems grows. The pumps segment is witnessing rapid growth due to the rising adoption of liquid cooling solutions and the demand for enhanced cooling performance.
Global Data Center Liquid Cooling Market By Type
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Data Center Liquid Cooling Market Regional Insights
The largest market region in the data center liquid cooling market is North America. North America has a well-established data center infrastructure and is home to several major technology companies and cloud service providers. The region has witnessed significant growth in data center establishments, driven by the increasing demand for data-intensive applications and services. Additionally, North America has been at the forefront of adopting advanced technologies such as cloud computing, artificial intelligence, and Internet of Things (IoT), resulting in higher power densities and cooling requirements. To address these challenges, data center operators in North America are increasingly adopting liquid cooling solutions to improve energy efficiency, reduce operational costs, and enhance overall data center performance.
On the other hand, the fastest-growing region in the data center liquid cooling market is the Asia Pacific. The region is experiencing a surge in data center construction and expansion, fueled by the rapid digitization, increasing internet penetration, and the growth of cloud services and e-commerce. Countries such as China, India, Japan, and South Korea are witnessing significant investments in data center infrastructure. With the rise in power densities and the need for energy-efficient cooling solutions, the demand for data center liquid cooling systems is on the rise in the Asia Pacific region. Additionally, the region is witnessing the adoption of emerging technologies like AI, IoT, and 5G, which further drive the demand for advanced cooling solutions.
Global Data Center Liquid Cooling Market By Region
- Largest
- Fastest
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Data Center Liquid Cooling Market Dynamics
Data Center Liquid Cooling Market Drivers
Increasing Power Densities And Heat Generation In Modern Data Centers
- With the growing adoption of high-performance computing, artificial intelligence, and big data analytics, data centers are experiencing higher power densities, leading to increased heat dissipation requirements. Traditional air-based cooling methods are often insufficient to handle these thermal loads, resulting in operational inefficiencies and potential performance issues. Liquid cooling solutions offer superior heat dissipation capabilities, enabling more efficient cooling and ensuring optimal performance of data center equipment.
Data Center Liquid Cooling Market Restraints
Initial High Installation And Infrastructure Costs
- Implementing liquid cooling solutions requires upfront investment in specialized equipment, such as heat exchangers, cooling pipes, pumps, and chillers. Moreover, data centers may need to undergo modifications or retrofitting to accommodate the liquid cooling infrastructure. These initial costs can pose a challenge for organizations, especially smaller data centers or those with budget constraints. Additionally, the maintenance and operational costs of liquid cooling systems, including regular maintenance, fluid replacement, and monitoring, can add to the overall expenses.
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Data Center Liquid Cooling Market Competitive Landscape
The competitive landscape of the data center liquid cooling market is characterized by intense competition among key market players. Several prominent companies are actively engaged in providing innovative and efficient liquid cooling solutions for data centers. These companies focus on strategic initiatives such as partnerships, collaborations, mergers and acquisitions, and product developments to strengthen their market presence. They continuously invest in research and development activities to introduce advanced cooling technologies that offer improved efficiency, sustainability, and performance.
Top Player’s Company Profiles
- Asetek (Denmark)
- Rittal GmbH & Co. KG (Germany)
- STULZ GmbH (Germany)
- Vertiv Group Corp. (USA)
- Green Revolution Cooling (GRC) (USA)
- Iceotope Technologies (UK)
- LiquidStack Holding B.V. (Netherlands)
- Submer Technologies (Spain)
- CoolIT Systems (Canada)
- Chilldyne, Inc. (USA)
- DCX (Poland)
- Asperitas (Netherlands)
- Fujitsu (Japan)
- Alfa Laval (Sweden)
- Schneider Electric (France)
- Motivair Corporation (USA)
- Allied Control (Hong Kong)
- PEZY Computing (Japan)
- Coolcentric (USA)
- Horizon Computing Solutions (France)
Recent Developments
- In May 2023, Rittal announced that it would be launching a new line of liquid cooling products for data centers. These products will include immersion cooling units, direct-to-chip cooling solutions, and micro-channel cooling solutions.
- In April 2023, Schneider Electric announced that it would be acquiring Green Revolution Cooling. Green Revolution Cooling is a leading provider of immersion cooling solutions for data centers.
- In March 2023, Microsoft announced that it would be using two-phase immersion cooling in its data centers. Two-phase immersion cooling is a type of immersion cooling that uses a refrigerant to cool the servers.
Data Center Liquid Cooling Key Market Trends
- Rise of hyperscale data centers: Hyperscale data centers are large data centers that are used by cloud service providers and other large organizations. These data centers require a significant amount of cooling, which is driving the demand for more efficient and scalable cooling solutions. Liquid cooling is a scalable and efficient cooling solution that is well-suited for hyperscale data centers. Liquid cooling is a more efficient and scalable cooling solution that is well-suited for hyperscale data centers. Liquid cooling can help to reduce the power consumption of data centers by up to 50%, and it can also help to improve the reliability and uptime of data centers.
Data Center Liquid Cooling Market SkyQuest Analysis
SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Co-relates, and Analyses the Data collected by means of Primary Exploratory Research backed by robust Secondary Desk research.
According to our analyses, the data center liquid cooling market is poised for significant growth in the coming years, driven by several factors. The increasing power densities and heat generation in data centers, fueled by the adoption of advanced technologies such as cloud computing, artificial intelligence, and big data analytics, are the primary drivers of the market. Liquid cooling solutions offer superior heat dissipation capabilities, enabling more efficient cooling and ensuring optimal performance of data center equipment. The largest segment in the market is the indirect liquid cooling segment, which provides compatibility with existing data center infrastructure and mitigates the risk of direct liquid contact with sensitive electronic components. Meanwhile, the direct liquid cooling segment is the fastest-growing, thanks to its ability to handle higher thermal loads in data centers. North America dominates the market due to its well-established data center infrastructure and the presence of major technology companies. Looking ahead, the future scope of the data center liquid cooling market is promising, with emerging trends such as immersion cooling and evaporative cooling gaining traction for their enhanced cooling efficiency. Additionally, the market is expected to benefit from increasing environmental regulations and sustainability initiatives, as liquid cooling solutions help reduce energy consumption and carbon footprint in data centers. As the demand for efficient and effective cooling solutions continues to rise, the data center liquid cooling market is set to witness substantial growth in the years to come.
| Report Metric | Details |
|---|---|
| Market size value in 2022 | USD 2.37 billion |
| Market size value in 2031 | USD 15.76 billion |
| Growth Rate | 23.43% |
| Base year | 2023 |
| Forecast period | 2024-2031 |
| Forecast Unit (Value) | USD Billion |
| Segments covered |
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| Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
| Companies covered |
|
| Customization scope | Free report customization with purchase. Customization includes:-
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Table Of Content
Executive Summary
Market overview
- Exhibit: Executive Summary – Chart on Market Overview
- Exhibit: Executive Summary – Data Table on Market Overview
- Exhibit: Executive Summary – Chart on Data Center Liquid Cooling Market Characteristics
- Exhibit: Executive Summary – Chart on Market by Geography
- Exhibit: Executive Summary – Chart on Market Segmentation
- Exhibit: Executive Summary – Chart on Incremental Growth
- Exhibit: Executive Summary – Data Table on Incremental Growth
- Exhibit: Executive Summary – Chart on Vendor Market Positioning
Parent Market Analysis
Market overview
Market size
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- SWOT Analysis
KEY MARKET INSIGHTS
- Technology Analysis
- (Exhibit: Data Table: Name of technology and details)
- Pricing Analysis
- (Exhibit: Data Table: Name of technology and pricing details)
- Supply Chain Analysis
- (Exhibit: Detailed Supply Chain Presentation)
- Value Chain Analysis
- (Exhibit: Detailed Value Chain Presentation)
- Ecosystem Of the Market
- Exhibit: Parent Market Ecosystem Market Analysis
- Exhibit: Market Characteristics of Parent Market
- IP Analysis
- (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
- Trade Analysis
- (Exhibit: Data Table: Import and Export data details)
- Startup Analysis
- (Exhibit: Data Table: Emerging startups details)
- Raw Material Analysis
- (Exhibit: Data Table: Mapping of key raw materials)
- Innovation Matrix
- (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
- Pipeline product Analysis
- (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
- Macroeconomic Indicators
COVID IMPACT
- Introduction
- Impact On Economy—scenario Assessment
- Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
- Revised Market Size
- Exhibit: Data Table on Data Center Liquid Cooling Market size and forecast 2021-2027 ($ million)
- Impact Of COVID On Key Segments
- Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
- COVID Strategies By Company
- Exhibit: Analysis on key strategies adopted by companies
MARKET DYNAMICS & OUTLOOK
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- Regulatory Landscape
- Exhibit: Data Table on regulation from different region
- SWOT Analysis
- Porters Analysis
- Competitive rivalry
- Exhibit: Competitive rivalry Impact of key factors, 2021
- Threat of substitute products
- Exhibit: Threat of Substitute Products Impact of key factors, 2021
- Bargaining power of buyers
- Exhibit: buyers bargaining power Impact of key factors, 2021
- Threat of new entrants
- Exhibit: Threat of new entrants Impact of key factors, 2021
- Bargaining power of suppliers
- Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
- Competitive rivalry
- Skyquest special insights on future disruptions
- Political Impact
- Economic impact
- Social Impact
- Technical Impact
- Environmental Impact
- Legal Impact
Market Size by Region
- Chart on Market share by geography 2021-2027 (%)
- Data Table on Market share by geography 2021-2027(%)
- North America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- USA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Canada
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Europe
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Germany
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Spain
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- France
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- UK
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Europe
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Asia Pacific
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- China
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- India
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Japan
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Korea
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Asia Pacific
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Latin America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Brazil
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of South America
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Middle East & Africa (MEA)
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- GCC Countries
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Africa
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of MEA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
KEY COMPANY PROFILES
- Competitive Landscape
- Total number of companies covered
- Exhibit: companies covered in the report, 2021
- Top companies market positioning
- Exhibit: company positioning matrix, 2021
- Top companies market Share
- Exhibit: Pie chart analysis on company market share, 2021(%)
- Total number of companies covered
Methodology
For the Data Center Liquid Cooling Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Data Center Liquid Cooling Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Analyst Support
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Data Center Liquid Cooling Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Data Center Liquid Cooling Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
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