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Liquid Cooling Systems Market Trends That Will Shape the Next Decade: Insights from Impact Of Technological Advancements On The Liquid Cooling Systems Market
Liquid Cooling Systems
How Large Will the Liquid Cooling Systems Market Size By 2025?
In recent years, there has been a significant expansion in the size of the liquid cooling systems market. The market is projected to escalate from $5.99 billion in 2024 to $7.04 billion in 2025, with a compound annual growth rate (CAGR) of 17.5%. The formidable economic development in the emerging markets, the surge in the manufacturing sector, the growing demand for electric vehicles, and the increasing requirement for high-performance computing (HPC) systems have all been instrumental in driving growth during the historic period.
How Big Is the Liquid Cooling Systems Market Size Expected to Grow by 2029?
The market for liquid cooling systems is set to witness significant expansion in the coming years. The market value is projected to reach $14.73 billion by 2029, growing at a compound annual growth rate (CAGR) of 20.3%. The anticipated growth within the predictive period can be credited to the emergence of fresh data centres, increased demand from smartphone producers, government-driven initiatives, and escalating urbanization. The forecast period will see substantial trends such as a heightened focus on direct water-cooling technology, the implementation of 3D technology, increased attention towards self-contained liquid cooling systems, emphasis on new product launches, and strategic collaborations and partnerships.
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Which Key Market Drivers Powering Liquid Cooling Systems Market Expansion and Growth?
The upsurge of new data centers is a crucial driving force that will bolster the expansion of the liquid cooling systems market during the projected timeframe. Data centers are playing a critical role in the storage, management, and processing of massive data quantities as digital transformation surges and the demand for cloud computing services increases. However, these data centers emit a significant amount of heat from high-performing servers and networking equipment, thereby creating the need for effective cooling solutions. Liquid cooling systems are beneficial to data centers because they can deal with high-power densities and offer excellent heat dissipation. In line with a report by McKinsey, a worldwide management consulting company, it's estimated that the power consumption of data centers in the USA, which is proportional to the number of servers a data center can contain, will see an annual growth of 10% until 2030. This demand is projected to hit 35 gigawatts (GW) by 2030, an increase from 17 GW in 2022. Hence, the advent of new data centers is anticipated to propel the liquid cooling systems market in the future.
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What Long-Term Trends Will Define the Future of the Liquid Cooling Systems Market?
The liquid cooling system market is seeing a rise in popularity due to the key trend of technological advancements. To maintain their footing in the market, major industry players are developing cutting-edge technology. For example, in February 2022, Honeywell, a performance materials and technology company based in the US, launched Solstice E-Cooling. This revolutionary liquid heat transfer agent platform is far more efficient at cooling high-performance electronics than traditional air and water-based methods. This advanced cooling solution for electronics and data centers employs a two-phase liquid cooling technology, minimizing environmental impact while cooling electrical applications. The benefits of using Solstice E-Cooling include more even, energy-efficient cooling, improved heat rejection, and reduced pumping power.
What Are the Emerging 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 Global Leaders in the Liquid Cooling Systems Market?
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
Which are the Top Profitable Regional Markets for the Liquid Cooling Systems Industry?
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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