Press release
Impact Of Emerging Data Centers On Liquid Cooling Systems Market Growth: A Key Driver Powering Liquid Cooling Systems Market Growth In 2025
Liquid Cooling Systems
What Is the Current Liquid Cooling Systems Market Size and Its Estimated Growth Rate?
Over the past few years, the market size of liquid cooling systems has experienced a swift expansion. The market is set to increase from $5.99 billion in 2024 to $7.15 billion in 2025, with a Compound Annual Growth Rate (CAGR) of 19.3%. Factors contributing to this growth during the precedential period include robust economic development in emerging markets, an upswing in the manufacturing industry, heightened demand for electric vehicles, and an elevated need for high-performance computing (HPC) systems.
Expectations are for the liquid cooling systems market size to experience a rapid expansion in the coming years, reaching a size of $15.26 billion in 2029, fueled by a compound annual growth rate (CAGR) of 20.9%. Factors propelling this growth during the forecast period include the development of new data centers, an increasing demand from smartphone manufacturers, initiatives from governments, and burgeoning urbanization. The period is also likely to witness trends such as an emphasis on direct water-cooling technology, usage of 3D technology, focus on self-contained liquid cooling systems, and concentration on product innovations, alongside strategic alliances and partnerships.
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How Are Emerging Segments Shaping the Liquid Cooling Systems Market Landscape?
The liquid cooling systems market covered in this report is segmented -
1) By Type: Liquid Heat Exchanger Systems, Compressor-Based Systems
2) By Component: Solution, Service
3) By End-Users: BFSI (Banking, Financial Services, And Insurance), Manufacturing, IT And Telecom, Automotive, Retail, Government And Defense, Healthcare, Energy, Other End-Users
Subsegments:
1) By Liquid Heat Exchanger Systems: Plate Heat Exchangers, Shell and Tube Heat Exchangers, Fin Fan Coolers
2) By Compressor-Based Systems: Chiller Systems, Refrigerant-Based Liquid Cooling Systems, Heat Pump Systems
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Which Growth Factors Are Influencing Liquid Cooling Systems Market Expansion?
The rise of new data centers is a significant component that will bolster the liquid cooling systems market's expansion during the projected period. As digital transformation and the need for cloud computing services escalate, data centers become increasingly essential in housing, administering, and processing vast data volumes. Yet, these data centers produce considerable heat from high-functioning servers and networking devices, demanding effective cooling solutions. Liquid cooling systems aid data centers in managing high power densities and offering optimal heat elimination. McKinsey, an international management consultancy, predicts that in the United States, data center power consumption (indicative of the data center's server capacity) will increase by 10% annually until 2030, with the demand forecasted to reach 35 gigawatts (GW) by 2030, an increase from 17 GW in 2022. Therefore, the rise of new data centers is predicted to be a major driving force for the liquid cooling systems market moving forward.
Who Are the Dominant Players Across Different Liquid Cooling Systems Market Segments?
Major companies operating in the liquid cooling systems market include Schneider Electric SE, Vertiv Holdings Co, Rittal GmbH & Co KG, Emerson Electric Co., Boyd Corporation,Asetek Inc, CoolIT Systems, Green Revolution Cooling Inc., Iceotope Technologies Limited, LiquidCool Solutions, Inc., Fujitsu, Antec Inc., Prime ABGB, Vedant Computers, EK Water Blocks, Thermaltake Technology Co., Ltd., FormulaMod, Bykski, ID-Cooling, Barrowch,Colorful Technology Company Limited, Stulz GmbH, XSPC, Phobya, Alphacool International GmbH, Laird Thermal Systems, DCX Liquid Cooling Systems, Kelvion, Baltimore Aircoil Company, RSC Group, Silent-Aire, AAON Inc, BasX, Corsair, NZXT, Swiftech, EVGA, Ascenty, ODATA, Terabyte, ChipArt, ACECO TI, UOL Diveo S.A., Saudi Fan Industries, Daxtech IT Solutions, Emitac Data Systems, Prologix Distribution, Arabian Thermal Aire Industries Co. Ltd, Gulf Data Hub, Liquidstack
What Liquid Cooling Systems Market Trends Are Gaining Traction Across Different Segments?
The emergence of technological advancements is a leading trend gaining traction in the liquid cooling system market. Leading players in the sector are harnessing advanced technologies to maintain their dominance in the market space. Take, for example, Honeywell, an American corporation specializing in performance materials and technology, which in February 2022 implemented Solstice E-Cooling. This revolutionary liquid heat transfer agent platform offers superior cooling for high-performance electronics, compared to traditional air and water cooling methods. This unique cooling solution for electronics and data centers employs two-phase liquid cooling technology, cooling electrical applications while reducing environmental impact. Solstice E-Cooling ensures more even, energy-efficient cooling, improved heat rejection, and reduced pumping power.
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Which Geographic Regions Are Expected to Dominate the Liquid Cooling Systems Market in the Coming Years?
North America was the largest region in the liquid cooling systems market in 2024. The regions covered in the liquid cooling systems market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
Frequently Asked Questions:
1. What Is the Market Size and Growth Rate of the Liquid Cooling Systems Market?
2. What is the CAGR expected in the Liquid Cooling Systems Market?
3. What Are the Key Innovations Transforming the Liquid Cooling Systems Industry?
4. Which Region Is Leading the Liquid Cooling Systems Market?
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