Global Immersion Cooling Market Research Report: Forecast (2024-2030)

Market Definition

Immersion cooling is a novel method of cooling electronics in data centers and high-performance computing that involves immersing them in a non-conductive liquid. Instead of using fans or air conditioning systems to dissipate heat, immersion cooling involves submerging hardware components, such as servers or GPUs, directly into a dielectric fluid.

Market Insights & Analysis: Global Immersion Cooling Market (2024-30):

The Global Immersion Cooling Market is estimated to grow at a CAGR of around 24% during the forecast period, i.e., 2024-30. The rising demands for cost-effective & energy-efficient cooling solutions within data centers are poised to propel market growth. This surge is largely driven by the global workforce's shift to remote operations and the substantial increase in e-commerce activities. Immersion cooling experiences a significant uptick in demand, primarily due to the widespread adoption of high-density computing solutions in data centers. Its superior cooling efficiency & thermal management capabilities enable data centers to accommodate more servers within confined spaces.

Moreover, the increasing focus on energy efficiency, driven by escalating energy costs and environmental concerns like carbon footprint & greenhouse emissions, further augments the market. Furthermore, in the US, the escalating need for IoT capabilities and cloud computing infrastructure is anticipated to spur demand, especially for hyper-scale data centers. These facilities play a pivotal role in efficiently storing & transferring data for digital platforms, handling high-volume traffic, and managing heavy computing workloads.

Besides, while these systems excel in extracting heat from IT equipment, challenges persist due to the high capital costs associated with additional components and hardware modifications. Service-related aspects pose potential challenges for Managed Service Providers (MSPs) and data center service partners. However, the integration of artificial intelligence and machine learning algorithms to optimize cooling processes and predict system behavior is anticipated to unlock promising growth opportunities for the Immersion Cooling Market in the future.

Global Immersion Cooling Market Driver:

Rising Engagement of Server Space to Support Industry Growth – The requirement for optimal performance does not always necessitate high-density servers in traditional data centers. Deep learning, machine learning, IoT, smart cities, AI, cloud computing, and blockchain all rely on extensive data processing. Immersion cooling systems, which can handle higher heat loads than air cooling, are becoming increasingly popular.

These non-hazardous and eco-friendly solutions effectively maintain the coolness of high-density server racks at a low cost. Hence, the benefits of using a non-toxic, less corrosive dielectric fluid for liquid immersion cooling are attracting a growing user base, further driving the Immersion Cooling Market ahead.

Global Immersion Cooling Market Challenge:

Limited Awareness to Impede Market Expansion – Immersion cooling, a novel method, finds diverse applications in high-performance computing (HPC), AI, ML, cryptocurrency mining, and data mining. This technique is highly embraced by several organizations, such as Microsoft's data center along the Columbia River's east bank, however, major end-users like Facebook and Amazon, among other hyper scalers, haven't fully embraced this technology.

Furthermore, many large corporations are only beginning to explore its potential, particularly for emerging technologies such as AI, machine learning, and cloud computing. Consequently, the Immersion Cooling Market growth is hindered by a lack of acknowledgment and adoption from these key end users.

Global Immersion Cooling Market Trend:

Emergence of Sustainable & Energy Efficient Immersion Cooling – Immersion cooling is the preferred method for high-data-density data centers as it maximizes efficiency. This method extends the life of complex data centers, protects them from various pollutants, and solves space constraints. This cooling method improves machinery efficiency & reduces energy consumption, aligning with carbon credit goals and lowering overall data center power usage. These liquid immersion cooling techniques have demonstrated significant client benefits and offer promising solutions for accommodating data center density growth.

Moreover, the Global Immersion Cooling Market players prioritize innovative cooling fluid technologies. Their primary goal is to meet end-user and industry demands while minimizing environmental impact and efficiently cooling IT components and data centers, thus becoming a trend in the market.

Global Immersion Cooling Market (2024-30): Segmentation Analysis

The Global Immersion Cooling Market study by MarkNtel Advisors evaluates & highlights the major trends & influencing factors in each segment & includes predictions for the period 2024–2030 at the global, regional, and national levels. In accordance to the analysis, the market has been further classified as:

Based on Cooling Fluid:

• Mineral Oil
• Synthetic Oil
• Fluorocarbon-based

In the Immersion Cooling Market, Mineral Oil takes the lead throughout the projected period. Mineral oils are popular among end users as they provide a cost-effective and energy-efficient cooling solution. It requires less energy for cooling because of its remarkable heat retention capacity, which is approximately 1,000 times greater than air. It acts as a thermal insulator, ensuring proper device functionality when submerged, and thus drives demand for immersion cooling systems. Hence, the ability to combine mineral oil from various sources and batches improves deployment and operational adaptability.

Global Immersion Cooling Market (2024-30): Regional Projection

Geographically, the Global Immersion Cooling Market expands across:

• North America
• South America
• Europe
• The Middle East & Africa
• Asia-Pacific

North America is expected to capture the largest share of the Global Immersion Cooling Market. To keep up with the digital economy's rapid expansion, data centers in this region are making significant investments in advanced high-performance computing servers. The increased heat output from these systems necessitates an increased workload for data center cooling equipment, raising cooling costs and decreasing overall revenue.

Furthermore, the global rollout of 5G networks has highlighted the importance of edge data centers, with the US among the early adopters of this technology. Notably, several US operators, including EdgePresence, EdgeMicro, and American Towers, have begun to invest in these centers. Therefore, this strategic move contributes significantly to the growth and expansion of the North American Immersion Cooling Market.

Global Immersion Cooling Industry Recent Development:

• October 2023: GRC (Green Revolution Cooling) Inc., a frontrunner in single-phase immersion cooling for data centers, has unveiled a groundbreaking data center solution, titled Next-Gen Immersion Cooled Data Centers in the Middle East & Africa. This innovative venture is the result of a collaboration between GRC, Dell Technologies, and DCV Industries.

Gain a Competitive Edge with Our Global Immersion Cooling Market Report

• Global Immersion Cooling Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size & share, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of the market dynamics & make informed decisions.
• This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
• Global Immersion Cooling Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.