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Data Center Liquid Cooling Market – Growth, Trends, COVID-19 Impact, and Forecasts (2021 – 2026)

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New York, Jan. 25, 2022 (GLOBE NEWSWIRE) — Reportlinker.com announces the release of the report “Data Center Liquid Cooling Market – Growth, Trends, COVID-19 Impact, and Forecasts (2021 – 2026)” – https://www.reportlinker.com/p06221859/?utm_source=GNW
This has majorly shifted the focus towards a digital economy. Owing to the players in the market are making significant investments. For instance, China’s top cloud computing provider, Alibaba Cloud, has been investing billions in building next-generation data centers to support digital transformation needs in a post-pandemic world. In April 2020, Alibaba Cloud announced that it would invest CNY 200 billion in core technologies and the construction of future-oriented data centers over the next three years.

Key Highlights
Rising investments in high-density technology, high-performance computing, and increasing smart city initiatives are making state and local players engage in developing the most reliable and efficient methods to cool their data centers. Also, the increasing volumes of data generated create the demand for data centers, which consume a considerable amount of energy.
The energy consumption in data centers has been increasing with the growth in cloud computing technology. Thus, there has been a rising interest in the environmental performance of data centers. Hence, companies have started managing this concern on their premises.
With increasing technological advancements, the focus of companies is now shifting towards reducing power consumption to improve efficiency and reduce costs. Therefore, the demand for efficient facility systems is growing. Regulatory compliances remain one of the major challenges for data center vendors. For instance, the European Union has been proactively attempting to cut down on emissions and power consumption in data centers.
Moreover, the Netherlands government has issued strict guidelines based on PUE metrics to regulate DC power consumption in data centers. While these measures are needed to ensure environmental sustainability, they are de-stabilizing the data center vendor market in the short term.
Naturally, the cooling systems in the data centers are also being checked for efficiency. Data centers are complex and carry the uncertainty of quantity, timing, and location metrics. The cooling systems need to engage in high-density zones, and it can be an onerous task for traditional cooling mechanisms. A typical data center cooling system must be pre-engineered, standardized, and modular. They are required to be scalable and flexible to meet the data center needs. This is difficult in today’s world, with companies looking to cut down costs and being unwilling to spend much on high-end customized cooling systems.
Companies are also unsure of whether their cooling systems, which are currently in use, can sustain the future server load or not. This makes infrastructural changes frequent and the companies unwilling to invest much in newer cooling systems.
The current market is highly price-sensitive and low on differentiation. Datacenter operators also vary in potential downtime losses while shifting to new cooling systems. Hence, they are willing to overlook operational expenditure and continue to use outdated cooling systems. This trend slows the adoption of new technologies that are perceived to be untested.

Key Market Trends

Indirect Cooling is Anticipated to Account for a Significant Market Share

Indirect cooling has been the most common liquid cooling method, including liquid-to-chip, Indirect, or Direct-to-chip cooling systems. Indirect or Liquid-to-chip cooling, also called direct-to-chip or cold plate cooling, uses coolant on a cold plate inside the server and a chilled water loop to carry the heat outside.
In Today’s era, the data centers are entering into unprecedented compute and core count-hungry applications. Nowadays, data center operators and owners need to rethink increased densities and the challenge posed as conventional air cooling reaches its limits.
In data centers, there is a high market demand for high-performance, high frequency, and intense workload environments, multi-core computing, such as artificial intelligence (AI) and machine learning (ML), and challenging edge applications increase, end-to-end data center solutions. The benefits of the latest innovations in indirect or direct-on-chip liquid cooling and system integrator services, as in this data center owners, can address a wide range of needs across the enterprise.
Indirect or Direct-to-chip cooling uses liquid or phase-change heat-transfer mechanisms, or close to, the exposed rear surface of the silicon of the chip. It provides maximum power and heat dissipation at a minimum operating temperature. It also allows to work under operating conditions, and a processor can operate significantly faster than a processor cooled by other conventional means.

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North America is Anticipated to Hold a Dominant Market Share

In the United States, the demand and rate of adoption for cloud-based computing are rapidly increasing, owing to which data centers are ascending in the country, thereby propelling the utilization of data center liquid cooling.
Liquid cooling is now highly preferred over conventional air cooling due to its greater efficiency and higher economic violability. The United States is home to many tech giants, such as Facebook and Apple, wherein the volume of Big Data is tremendously increasing; moreover, companies are laying new strategies to ascend a number of data centers.
Companies are rigorously investing in data centers to meet the growing demand from respective operations. For instance, the rising demand for cognitive capabilities in the United States has led IBM Corporation to build four new cloud data centers in the country. This is likely to encourage the utilization of liquid cooling technology in these data centers, thereby propelling the market growth over the forecast period.
The data center investors are increasingly investing in liquid immersion and direct-to-chip cooling solutions. The importance of edge data centers has been aided by the emergence of 5G networks worldwide, and the United States is among the earliest adopters of the technology. Many operators in the United States, such as EdgePresence, EdgeMicro, and American Towers, have started investing in these centers.

Competitive Landscape

The data center liquid cooling market is highly competitive and consists of several major players. In terms of market share, few of the major players currently dominate the market. These major players with prominent shares in the market are focusing on expanding their customer base across foreign countries. These companies are leveraging on strategic collaborative initiatives to increase their market shares and profitability.

November 2021 – Liquid Stack joined the Supercomputing ‘21 Conference in St. Louis. The company showcased its first optimized two-phase liquid immersion cooled OCP open accelerator infrastructure (OAI) servers. Liquid Stack’s two-phase immersion cooling technology, combined with Wiwynn’s advanced hardware, enables unprecedented levels of computing power, efficiency, and space savings. The integrated demonstration features Wiwynn’s optimized high-performance OAI servers with Habana Gaudi processors in a 2-phase immersion-cooled Liquid Stack data tank.
January 2021 – Icetope Technologies Limited announced the launch of a highly scalable, GPU-rich, and liquid-cooled solution for the deployment of HPC and AI workloads in colocation integrating with Lenovo ThinkSystem SR670 servers. The Ku:l Data Centre solution can resist the increment in heat loads from processor roadmaps.

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Additional Benefits:

The market estimate (ME) sheet in Excel format
3 months of analyst support
Read the full report: https://www.reportlinker.com/p06221859/?utm_source=GNW

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