Electronics
Data Center Liquid Cooling Market Size, 2024-2033
USD Billion
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Market overview
| Study Period | 2024 - 2033 |
|---|---|
| Historic Year | 2024 |
| Base Year | 2025 |
| Forecast Period | 2026 - 2033 |
| Market Size (Base Year) | USD 5.9 Billion |
| Market Size (Forecast Year) | USD 30.4 Billion |
| Growth Rate (CAGR) | 22.7 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | North America |
| Market Concentration | Medium |
Data center liquid cooling removes heat from servers with a liquid instead of air. In the most common design, direct-to-chip cooling, metal cold plates sit on top of the processors and memory, and a coolant flows through them, carrying the heat to a coolant distribution unit, which pumps the coolant, controls its temperature and pressure and passes the heat to the building's water loop or to the room air.
The market covers cold plates and manifolds, coolant distribution units (in-rack, in-row and liquid-to-air units that sit beside the racks), immersion cooling tanks and fluids, rear-door heat exchangers and loop components such as quick disconnects and hoses. Chillers, dry coolers, cooling towers and building pipework on the facility side are outside the scope of this report.
Each new generation of AI accelerators draws more power, and racks of them now draw far more than air cooling can remove. Server makers and chip designers have made liquid cooling standard on their highest-density AI racks, and the largest cloud companies are building new data centers designed for liquid cooling from the start, including for their own custom accelerators.
Liquid cooling also uses less energy for cooling than air, allows warmer water temperatures that save chiller energy and lets operators fit more computing into the same building. Large equipment groups have bought specialist liquid cooling makers to offer cooling together with power systems, and suppliers are adding capacity quickly in Taiwan, China, North America, Europe and Korea.
However, the market depends heavily on spending by a small number of AI companies, and supply of cold plates, quick disconnects and large CDUs has been tight. Designs and standards are still changing, leaks and coolant quality are concerns for operators, and retrofitting existing air-cooled data centers is costly.
The global Data Center Liquid Cooling market is mainly classified based on component, accelerator platform and data center type. By component, the market is segmented into cold plates and manifolds, coolant distribution units (in-rack, in-row and liquid-to-air units), immersion cooling systems, rear-door heat exchangers and other components. By accelerator platform, the market is divided into Nvidia GPU racks, custom AI accelerator racks such as TPU and Trainium, and other AI and HPC servers. By data center type, the market covers hyperscale and AI cloud, colocation, and enterprise and HPC data centers.
By component, cold plates and manifolds and coolant distribution units together account for most of the market. Cold plates are made in very large numbers for every accelerator and memory package, while CDUs carry a high value per unit; liquid-to-air units that sit beside the racks are widely used where buildings lack water loops, and large in-row units are used in new AI facilities. Immersion cooling and rear-door heat exchangers are smaller segments.
By accelerator platform, racks built around Nvidia GPUs account for the largest share, while racks for custom accelerators from the large cloud companies grow fastest. By data center type, hyperscale and AI cloud operators account for the large majority, with colocation providers growing as they host AI customers.
North America is expected to hold the largest share of the global market, as the largest cloud and AI companies build their biggest AI campuses in the United States and order liquid-cooled racks in the largest numbers.
Asia-Pacific is expected to grow fastest, with AI clusters in China, Korea, Japan, India and Southeast Asia. The region is also where most cold plates and many coolant distribution units are made, by suppliers in Taiwan and China, although the market is counted where the systems are installed.
Europe is the third-largest market, with new AI data centers in the Nordic countries and other markets with cool climates and available power; the Middle East is building large AI campuses that use liquid cooling from the start.
Some of the major competitors in the global Data Center Liquid Cooling market include Vertiv Holdings Co, Delta Electronics, Inc., Asia Vital Components Co., Ltd. (AVC), Eaton Corporation plc (Boyd Thermal), Schneider Electric SE (Motivair), nVent Electric plc, Auras Technology Co., Ltd., CoolIT Systems (Ecolab Inc.), LiquidStack (Trane Technologies plc), Shenzhen Envicool Technology Co., Ltd., LG Electronics Inc., and Submer Technologies.
The Data Center Liquid Cooling industry is moderately concentrated: a few Taiwanese thermal component makers supply most cold plates for AI servers, while coolant distribution units are sold by large power and cooling equipment groups and specialists. Companies compete on capacity, reliability, qualification with chip designers and server makers, and the ability to deliver complete systems, and are strengthening their position through acquisitions of specialist liquid cooling makers, new factories and larger CDUs certified for the latest AI racks.
Ans: The Data Center Liquid Cooling market was valued at XX billion US$ in 2025 and is projected to reach YY billion US$ by 2033, at a CAGR of XX% during the forecast period.
Ans: Liquid cooling for custom AI accelerators, larger in-row coolant distribution units for new AI campuses, liquid-to-air units for existing buildings and service and coolant management are the major opportunities.
Ans: The main driver is the rising power and heat of AI accelerators, which makes liquid cooling necessary for the densest server racks.
Ans: North America is expected to have the largest share of the Data Center Liquid Cooling market, while Asia-Pacific is expected to grow fastest.
Ans: Cold plates and manifolds and coolant distribution units together are expected to dominate the market by component.
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