Data Center Liquid Cooling Market

The Data Center Liquid Cooling Market is expected to grow from USD 5.4 billion in 2026 to USD 29.1 billion by 2033, reflecting strong industry expansion and registering a CAGR of 27.2% during the forecast period from 2026 to 2033.

Emergence of Green Data Centers with Rising CO2 Emissions to Drive Market

Storage capacity has emerged as a significant opportunity for all of the main organisations in the data centre and storage space market, as the number of data-hungry consumers and applications has consistently increased. Globally, the volume of data will skyrocket in the coming years. This is anticipated to drive the data center liquid cooling market in the coming years. According to Huawei, worldwide data centre demand is predicted to climb 3 to 10 times by 2030. Green Data Center (GDC), which provides effective and eco-friendly solutions for data storage and energy consumption reduction, is expected to see high demand, owing to the positive outlook for data centre storage needs and new constructions brought about by regulations and the anticipated rise in need to reduce operational expenditure. Moreover, renewable energy data centres have a significant initial investment cost, despite the long-term savings and ROI.

Green data centre solutions include green power and cooling infrastructure solutions, as well as energy-efficient equipment and management systems, which drive the demand for green data centres over other types of data centres. With rising electricity usage, increased billings, and rising CO2 emissions from these data centres, the need for green data centres is expected to rise, propelling the data centre liquid cooling market in the region forward. According to the IEA, the volume of worldwide energy-related carbon dioxide emissions has consistently increased from 31.3 billion metric tonnes in 2019 to 33 billion metric tonnes in 2021. Such a high emission of greenhouse gases and carbon footprint is likely to drive the data center liquid cooling market in the coming years.

Enterprises Segment Likely to Dominate Data Center Liquid Cooling Market due to Enhanced Speed and Improved Reliability

During the forecast period, the enterprise segment will have the biggest share in the global data center liquid cooling market. Enterprises use data centers to store mission-critical data in order to run their businesses efficiently. Various businesses are establishing data center infrastructures to manage data and centralize an organization's IT infrastructure. Furthermore, these businesses must cut CAPEX and OPEX, which can be accomplished through effective data center operations. Enterprises favor liquid cooling systems, which can be ascribed to customers' growing IT requirements. By lowering downtime and enhancing disaster recovery capabilities, data center services help to reduce costs and preserve server availability. Furthermore, these services permit the rapid building and commissioning of data centers, which increases efficiency and lowers CAPEX. With these advantages, enterprises are increasingly offering incredible opportunities to global data center liquid cooling market.

North America to Drive Data Center Liquid Cooling Market Growth due to Early Adaption of Technology

During the projected period, North America is expected to account for the biggest market size, owing to increased technology adoption among North American organizations for decreasing data center energy consumption and the existence of a significant number of data center liquid cooling providers. With the rapid growth of cloud data centers for high-processing-power applications, servers must always operate at high speeds. Furthermore, growing cloud adoption and rising internet consumption among regional organizations are driving market revenue growth. Furthermore, businesses in this region are focusing more on the deployment of cost-effective and environmentally friendly cooling systems, which is fuelling market expansion.

People and businesses in the United States are increasingly using the internet. The country is the largest market for data center operations, and it is growing due to increased data consumption by end-users. The growing popularity of the Internet of Things (IoT) is a crucial driver for the US hyper-scale data center market, resulting in the construction of new facilities capable of handling exabytes of data created by both business users and consumers. Switch, for example, collaborated with Dell and FedEx to build edge data center facilities in the United States in 2020. DataBank, a colocation service provider, is investing around USD 30 million in EdgePresence, a US edge data center provider, to collocate customer workloads to edge centers in order to reduce service latency.

The Asia Pacific data center cooling market is predicted to develop due to an increase in internet traffic and the number of data centers due to tremendous computing requirements for AI and Media applications in the APAC region. The development of IT infrastructure in APAC's rising countries is boosting the industry. The growing building of hyperscale facilities with more than 50 MW of power capacity will fuel the market's demand for innovative infrastructure in APAC's developed nations over the next several years. According to the IEA, hyperscale data centers’ energy use has more than doubled from roughly 69.72 terawatt-hours in 2019, with a projected increase to 86.58 terawatt-hours in 2021. Concerns over data centers’ increasing share of energy spending have prompted governments across the region to periodically control energy consumption, which is the key reason pushing the market.

Competitive Landscape

Key Players:

• Schneider Electric
• LiquidStack
• Rittal GmbH Co. KG
• Green Revolution Cooling Inc.
• DCX Liquid Cooling Systems
• IBM
• Asetek
• Emerson Electric Co
• STULZ GMBH
• Alfa Laval

Market Segmentation

By Component

• Solution
• Services
• Design and Consulting
• Installation and Deployment
• Support and Maintenance

By Cooling Type

• Cold Plate Liquid Cooling
• Immersion Liquid Cooling
• Spray Liquid Cooling

By Data Center Size

• Small and Medium-sized Data Centers (500 sq. feet to 10,000 sq. feet)
• Large Data Centers (More than 10,000 sq. feet)

By End-user

• Cloud Providers
• Colocation Providers
• Enterprises
• Hyperscale Data Centers

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa