Coolant Distribution Units Market for Data Centers Set to Reach USD3701 Million by 2031 Driven by Growing Demand for High-Efficiency Thermal Management

Coolant Distribution Units (CDU) for Data Center Market Size

The global market for Coolant Distribution Units (CDU) for Data Center was valued at US$ 971 million in the year 2024 and is projected to reach a revised size of US$ 3701 million by 2031, growing at a CAGR of 18.5% during the forecast period.

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Coolant distribution unit (CDU) is a system that enables smaller, more efficient, more precise liquid cooling in a data center at rack level, often integrating facility water. The CDU circulates coolant in a closed loop system within the rack on the secondary (Cooling Application) side and utilizes facility water on the primary (Heat Rejection) side. A CDU has a pump, reservoir, power supply, control board and a heat-exchanger as the key components. Filters, flow meters, pressure transducers, and other devices are also used in managing the operation of the CDU in conjunction with the Server Rack.

With data center workloads ever increasing due to advanced analytics, AI, and the digitization of every process, the average rack power draw has shot up considerably. And, as we know, with more power draw comes more waste heat that needs to be removed from the rack and eventually the white space. Based on this, liquid cooling technology is gradually replacing traditional air cooling technology to provide high performance solutions to data centers. As a key part of liquid cooling system, CDU will benefit from the permeability of liquid cooling in data centers accordingly.

Key players of CDU include Vertiv, Schneider Electric, nVent and so on. In addition, many companies are increasing their investment and R & D on cooling distribution unit. With more and more companies enter into the industry, the competition of the industry will be intensified further in the coming years.

For consumption, North America, Asia-Pacific and Europe are the key consumers. Among those regions, China is experiencing fastest growth, stimulated by related policies.

As data center footprints continue to shrink due to urbanization and real estate constraints, optimizing space utilization has become a pressing priority for data center managers. Liquid cooling solutions offer a compact and space-efficient alternative to traditional air cooling systems, enabling data centers to maximize their rack densities and floor space without compromising thermal performance. Moreover, the scalability of liquid cooling systems makes them well-suited for accommodating future growth and expansion. By modularizing cooling infrastructure and deploying liquid cooling units in a distributed manner, data centers can easily scale their cooling capacity in response to changing workload demands. This flexibility not only enhances operational agility but also streamlines the deployment of new IT equipment without the need for extensive retrofitting or reconfiguration.

In an era marked by growing environmental consciousness and stringent energy regulations, data centers are under increasing pressure to enhance their sustainability practices. Liquid cooling technologies present a compelling solution to address these concerns by reducing overall energy consumption and carbon footprint. Unlike air cooling, which relies on fans to circulate air and dissipate heat, liquid cooling systems leverage the superior thermal conductivity of liquids to efficiently remove heat from IT equipment. This results in lower cooling energy requirements and operational costs, translating into tangible environmental benefits and long-term cost savings for data center operators. Additionally, liquid cooling enables the reuse of waste heat for heating purposes, further maximizing energy efficiency and sustainability efforts.

By Type
• Liquid-to-Liquid CDU
• Liquid-to-Air CDU

By Application
• Internet
• Telecommunications
• Finance
• Government

Key Companies
Vertiv, Schneider Electric, nVent, CoolIT Systems, Boyd, Envicool, Nortek Air Solutions, Delta Electronics, Coolcentric, Nidec, DCX, Chilldyne, Kehua Data

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