Data Center Liquid Cooling Market Size By Component (Solution [Direct-to-Chip, Immersive {IT Chassis, Tub/Open Bath}], Services [Managed, Professional]), By End-Use (Enterprise [BFSI, Retail & E-Commerce, Government, Healthcare, Manufacturing, IT Enabled Services (ITeS)], Telecom Service Providers, Cloud Service Providers), COVID-19 Industry Analysis, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2022 - 2028
The global data center liquid cooling market is poised to record lucrative growth through 2028 due to increasing requirement for energy efficient cooling solutions in companies. Additionally, the use of artificial intelligence (AI) to power automated decision making and advanced analytics, coupled with surging adoption of cloud services by companies, is likely to further bolster market deployment over the forecast timeline.
Liquid cooling offers several benefits, such as smaller footprint, greater energy efficiency, enhanced server reliability, and low total ownership cost with very less noise. Data centers are adopting liquid cooling solutions to maintain efficient and ideal operating conditions. Notably, the energy devoted to liquid cooling can be recycled to warm water or buildings, efficiently minimizing the carbon footprint of air conditioning because of increased utilization of advanced engineering coolants, which has positively impacted business growth.
The data center liquid cooling market has been classified in terms of component, end-use, and region to outline the industry’s anticipated growth broadly. Based on component, the data center liquid cooling market has been divided into solution and services.
Under solution, the market has been further segregated into immersive (tub/open bath and IT chassis) and direct to chip. The IT chassis segment is estimated to witness substantial growth through 2028 owing to rising adoption of high-density GPUs with increased energy consumption. The tub/open bath segment is likely to observe strong growth by 2028 owing to increased focus of data center operators on deploying natural resources for efficient cooling of equipment.
Under services, the market has been segmented into professional and managed. The professional segment is slated to record considerable growth by 2028. Increasing data center construction activities are supporting market growth of professional services that are required for saving additional costs from errors and inefficient implementations.
On the basis of end-use, the data center liquid cooling market has been bifurcated into enterprise, cloud service providers, and telecom service providers. Under enterprise, the market has been categorized into BFSI, retail & e-commerce, government, healthcare, manufacturing, IT enabled services (ITeS), and others. Out of these, the BFSI segment is speculated to accrue considerable growth over the study timeframe due to high uptake of robust data center infrastructure to store and process critical customer data, which is projected to impel data center liquid cooling market.
The retail & e-commerce segment is foreseen to amass substantial gains through 2028. Mounting demand for enhanced shopping experiences offered by online platforms is foreseen to boost the adoption of data center liquid systems across the retail & e-commerce industries.
The IT enabled services (ITeS) segment is expected to grow at a notable pace over the review timeline supported by soaring demand for cost effective data centers, which is calculated to boost the adoption of colocation service providers deploying advanced cooling systems.
The cloud service providers segment is slated to exhibit steady growth by 2028. Escalating uptake of cloud computing solutions that require energy-efficient data centers is anticipated to support segmental progress.
From the regional standpoint, the Europe data center liquid cooling market is projected to record sizable expansion over the forecast period. Increased adoption of contactless payment system is supporting the demand for advanced thermal management systems used by data centers in the BFSI industry, which is speculated to foster regional market outlook.
Meanwhile, the Middle East & Africa data center liquid cooling industry is primed to garner a notable share in the global market by the end of 2028. Prevalent digitalization in the government sector is foreseen to drive data center liquid cooling market development in MEA.
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