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Top Trends Transforming the Liquid Cooling Systems Market Landscape in 2025: Impact Of Technological Advancements On The Liquid Cooling Systems Market
Liquid Cooling Systems Market
Liquid Cooling Systems Market Size Growth Forecast: What to Expect by 2025?
In recent years, there has been a substantial increase in the size of the liquid cooling systems market. It is predicted to expand from a market size of $5.99 billion in 2024 to $7.15 billion in 2025, demonstrating a compound annual growth rate (CAGR) of 19.3%. This impressive growth during the historic period can largely be linked to robust economic development in rising markets, the expansion of the manufacturing industry, an amplified demand for electric vehicles, and an increase in the need for high-performance computing (HPC) systems.
How Will the Liquid Cooling Systems Market Size Evolve and Grow by 2029?
Anticipated to experience substantial expansion in the forthcoming years, the market for liquid cooling systems is predicted to reach a value of $15.26 billion by 2029, growing at a Compound Annual Growth Rate (CAGR) of 20.9%. This projected growth during the forecast period is influenced by factors such as the inception of modern data centers, an increase in demand from smartphone manufacturers, government initiatives and escalating urbanization. The forecast period also denotes key trends including an emphasis on direct water-cooling technology, the application of 3d technology, a concentration on self-sustained liquid cooling systems, and a pointed attention to product introductions and strategic alliances and collaborations.
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What Drivers Are Propelling the Growth of Liquid Cooling Systems Market Forward?
The rise of new data centers is a substantial factor propelling the expansion of the liquid cooling systems market in the projected timeframe. The increasing need for digital transformation and cloud computing services necessitates data centers' critical role in storing, managing, and processing large data volumes. Yet, these data centers produce significant heat from their top-performing servers and networking appliances, requiring effective cooling measures. Liquid cooling systems assist data centers in managing high power densities and delivering superior heat dispersion. McKinsey, a worldwide management consultancy, forecasts that data center power consumption in the USA, indicative of the server capacity, is set to grow by 10% annually until 2030. This will result in the demand reaching 35 GW by 2030, a significant increase from 17 GW in 2022. Thus, the rise of new data centers is anticipated to steer the growth of the liquid cooling systems market in the future.
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Which Emerging Trends Are Transforming the Liquid Cooling Systems Market in 2025?
The surge in technological advancements is a major trend shaping the liquid cooling system market. Leading players within this market are focusing on creating innovative technologies to maintain their market dominance. For instance, in February 2022, US-based Honeywell, a performance materials and technology firm, introduced Solstice E-Cooling. This innovative liquid heat transfer platform efficiently cools high-performance electronics, outperforming traditional air and water-based methods. This cutting-edge cooling system for electronics and data centers employs a two-phase liquid cooling technology, reducing environmental impact while cooling electrical applications. Furthermore, Solstice E-Cooling offers improved and energy-efficient cooling, superior heat rejection, and reduced pumping power.
What Are the Key Segments in the Liquid Cooling Systems Market?
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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Who Are the Key Players Shaping the Liquid Cooling Systems Market's Competitive Landscape?
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 Geographic Markets Are Powering Growth in the Liquid Cooling Systems Market?
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.
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