Data Center Liquid Cooling Global Market Report 2023: Need for Edge, Colocation, and Hyper-Scale Data Centers Presents Opportunities

DUBLIN, Jan. 19, 2023 /PRNewswire/ -- The "Data Center Liquid Cooling Market - A Global and Regional Analysis: Focus on Product, Application, and Country Analysis - Analysis and Forecast, 2022-2027" report has been added to ResearchAndMarkets.com's offering.

The global data center liquid cooling market was valued at $3.49 billion in 2022, which is expected to grow with a CAGR of 27.67% and reach $11.84 billion by 2027. The growth in the global data center liquid cooling market is expected to be driven by increased water scarcity and boosting number of edge, colocation, and hyper data centers.

Market Lifecycle Stage

The data center liquid cooling market is in a growth phase. Cooling is a standard part of data center operations as servers and networking devices constantly run 24/7, which increases the core temperature, which if not controlled, can lead to a data center outage.

Reducing water scarcity, climate actions, sustainable urban infrastructure, and recycling and reusability are some of the United Nations Sustainable Development Goals (SDGs) that are expected to drive innovations and improvements toward the adoption of liquid cooling technologies. Therefore, a growing number of data centers is resulting in a boost in the utilization of data center liquid cooling techniques.

Impact

• Data center liquid cooling highly impacts thermal management techniques with the use of dielectric coolants, which can be potentially used on high-density data centers. This dielectric liquid permits deploying CPU and GPU clusters much closer collectively, i.e., in high-density configurations, while protecting crucial elements from thermal and environmental risks.
• Data center liquid cooling bridges the gap between traditional and future data centers. It not only improves the data infrastructure system efficiency but also cuts by a huge margin the amount of energy consumed. This leads to reduced energy bills and carbon footprint.

Business Dynamics

Business Drivers

• Increasing Data Center Spending
• Growing Need for Hyper-Scale Data Centers
• Thermal Energy Recovery and Conversion from Data Centers
• Increasing Need for Sustainable Cooling Solutions
• Increasing Government Initiatives for Carbon-Neutral and Energy-Efficient Data Centers
• Need to Curb Water Usage Due to Increasing Water Scarcity
• Growing Number of Green and Smart City Projects
• Reduction in Operational Costs
• Extends the Life of Equipment and Hardware
• Resource Saving Technology
• Reduction of Floor Space Needed by Data Centers
• Sustainable Development Efforts and CSR Activities
• Rising Electricity Tariffs Globally
• High-Efficiency Cooling Solutions
• Emerging Technologies Promote Cost-Effectiveness
• AI-Assisted Automatic Cooling Control
• Power Usage Effectiveness (PUE) Optimization with Economic Cooling Solutions

Business Challenges

• High Investment Costs
• Alternative Technologies Existing in the Market
• Additional Costs in Case of System Failures and Fluid Leakages
• Fluid Leakages Add to Costs
• Data Center Liquid Cooling Systems Susceptible to Breakdowns
• Equipment and Hardware to be Pre-Designed and Modified

Business Opportunities

• Increasing Efficiency of Existing Data Centers
• Conversion of Old Buildings to Data Centers
• Increasing Demand for Data Centers
• Need for Edge, Colocation, and Hyper-Scale Data Centers
• Increasing Number of Distributed or Edge Data Centers
• Growth in Penetration Rate of Internet and Cloud Services
• Increased Rack Density
• Increased Adoption of Blockchain Technologies and Growing Demand for Crypto Mining
• Increasing Research and Development Activities
• Transition from Onsite Storage Facility to Cloud Connectivity
• Integration with Emerging Technologies

Market Segmentation

Segmentation 1: by End-Use Industry

• IT and Telecom
• Banking, Financial Services, and Insurance (BFSI)
• Government and Public Sector
• Manufacturing
• Healthcare
• Retail
• Others

The IT and telecom segment is the dominating application segment. With the introduction of new technologies such as 5G, IoT, virtual and augmented reality, and artificial intelligence, the telecommunications industry is evolving to cater to huge data processing. As a result, telecom data centers are also transforming to handle high data volume and low latency needs. The banking, financial services, and insurance (BFSI) segment is expected to anticipate the highest growth rate due to being digitized, which involves utilizing the most cutting-edge technology, which will boost the data center usage, thereby augmenting the data center cooling solutions.

Segmentation 2: by Data Center

• Hyperscale
• Colocation
• Enterprise
• Others

Segmentation 3: by Solution

• Indirect Cooling
• Direct Cooling

Based on liquid cooling, the indirect segment is expected to dominate the global data center cooling market since it is a highly efficient way to minimize energy usage while maximizing chilling capabilities. Moreover, the direct segment witnesses a higher growth rate due to emerging cooling solutions such as direct-to-chip and immersion.

Key Market Players and Competition Synopsis

• ALFA LAVAL
• Asetek, Inc
• Asperitas
• Black Box
• Boyd
• Chilldyne
• COOLIT SYSTEMS
• DCX The Liquid Cooling Company
• ExaScaler Inc
• FUJITSU
• Green Revolution Cooling, Inc
• Iceotope Technologies Limited
• LiquidStack and Allied Control
• Motivair Corporation
• Nortek Air Solutions, LLC
• Rittal GmbH & Co. KG
• Schneider Electric
• Submer
• Wiwynn
• ZutaCore
• JETCOOL Technologies Inc
• CoolestDC
• TMGcore, Inc.
• FLUIX Inc
• Ferveret

For more information about this report visit https://www.researchandmarkets.com/r/l42chx

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