Yes. AI and high-performance computing (HPC) are increasing heat loads at the chip and rack level, making liquid cooling more relevant where air-only systems struggle to remove heat. That does not mean every data center is switching to liquid or that one design has won: direct-to-chip, rack-level heat exchangers, immersion, and hybrid systems suit different conditions.
What the market forecasts say—and why the numbers differ
Forecasts use different definitions of “liquid cooling.” An immersion-only estimate is narrower than a forecast covering liquid cooling across data centers, so the figures below should not be added together or treated as competing estimates of the same market.
| Source and scope | Forecast | How to read it |
|---|---|---|
| Grand View Research, global data-center liquid immersion cooling market | USD 2.12 billion in 2024; estimated USD 2.64 billion in 2025; forecast USD 7.22 billion in 2030, with a 22.3% CAGR for 2025–2030. | Immersion cooling specifically, not all liquid-cooling systems. The 2025 and 2030 values are forecasts. |
| McKinsey & Company, global data-center cooling market | USD 40–45 billion by 2030 overall, including USD 15–20 billion for liquid cooling. | A broader cooling-market forecast with its own category framing; it is not directly comparable to Grand View Research’s immersion-only estimate. |
| TrendForce, liquid cooling penetration in AI data centers | 14% in 2024 and projected 33% in 2025. | TrendForce projections, not a verified final measurement of 2025 adoption. |
The forecasts indicate expected expansion, but they do not establish a single, settled market size. Their scopes, assumptions, and methods differ.
Why AI and HPC are increasing demand
AI accelerators and HPC processors concentrate heat in powerful components, while denser server deployments can increase the amount of heat that must be removed from each rack. TrendForce reported 130–140 kW per rack for NVIDIA GB200/GB300 NVL72 configurations and characterized that product-specific density as beyond traditional air-cooling limits. It is a figure for those configurations, not a general statistic for data-center racks.
Do these 3 things before closing this tab:
1Clear out junk files and repair common Windows errors2Scan for outdated or missing drivers - takes under a minute3Repair Windows errors before they cause bigger problems#1 Best Overall
More broadly, the U.S. Department of Energy summarizes the Lawrence Berkeley National Laboratory’s 2025 update as projecting that data centers could consume 11.8% of U.S. electricity by 2030 in its central scenario, with a range of 9.5%–15.3%. This is a national electricity-use projection—not a measure of cooling-market revenue or proof that liquid cooling alone will reduce consumption. LBNL’s scenario-based forecast considers projected data-center equipment shipments and does not directly model future grid or on-site electricity supply.
Vertiv’s 2025 industry outlook also identifies AI-driven rack densification as a reason for investment in cold plates and immersion. That is a vendor’s view of industry trends, not an independent performance comparison.
How the main liquid-cooling approaches differ
ASHRAE describes several ways to use liquid in data centers. The key distinction is where heat is captured and how much air cooling remains part of the design. The U.S. Department of Energy’s 2024 design guide also distinguishes rear-door heat exchangers, cold plates, and single- or two-phase immersion.
| Approach | Where heat is captured | Air cooling and design implications |
|---|---|---|
| Rack-level or rear-door heat exchanger | A heat exchanger transfers heat from server exhaust air to liquid at or near the rack. | Server heat is still carried to the exchanger by air. The room may retain substantial air cooling; this is not the same as putting servers in a liquid bath. |
| Direct-to-chip cold plates | Liquid flows through channels in plates attached to high-heat components such as processors. | It captures heat at selected components, but other server parts may still need air cooling. The cold plate replaces a chip heat sink and transfers heat into a liquid loop. |
| Immersion | Some or all server equipment is submerged in dielectric fluid, which carries heat to a heat exchanger and facility water loop. | Because liquid contacts the equipment, the arrangement differs fundamentally from cold plates. Immersion systems may be single-phase or two-phase; the applicable system design determines how heat is carried away. |
ASHRAE notes that room systems commonly remain hybrid air-and-liquid systems except in full-immersion designs. Its handbook describes a coolant distribution unit (CDU) as heat-exchange and distribution equipment connecting facility water to a technology cooling system loop.
Free tools Windows power users keep installed
One-click scans. No signup required.
Rank #3
What operators need to evaluate before choosing a system
The right design depends on the facility and workload, not simply on whether liquid cooling is available. A retrofit with limited space for piping or water distribution is a different problem from a purpose-built AI facility. ASHRAE notes that direct component cooling can require dedicated distribution and specialized heat exchangers.
- Heat capture and target density: Determine what share of server heat the system will move to liquid and whether that matches the intended rack density.
- Remaining air requirements: Identify which components are not served by liquid and what airflow the room or rack will still need.
- Facility integration: Account for the CDU, water loop, piping, pumps, heat exchangers, and heat-rejection plant needed to connect IT equipment to the facility.
- Reliability and service: Plan for loop redundancy, cooling failures, component access, and maintenance procedures.
- Coolant and operating conditions: Specify the coolant and water-quality controls. ASHRAE identifies keeping coolant above the dew point as a design consideration to avoid condensation.
- Deployment constraints: Check whether an existing site can accommodate distribution and heat-rejection equipment, or whether a new facility can be designed around the cooling system.
There is no universally applicable system cost or independent, controlled head-to-head supplier test established by the sources cited here. A forecast for market growth does not, by itself, establish a project’s payback, energy savings, or water reduction.
Rank #4
Suppliers named in the market
Sources identify Vertiv, Schneider Electric/Motivair, CoolIT Systems, Submer, Iceotope, and Green Revolution Cooling among suppliers or market participants. This list establishes category relevance, not comparative performance, suitability for a particular deployment, or a ranking of suppliers.
Quick Recap
Best Value
- Data Center Coolant
- 25% Inhibited Propylene Glycol
- JeffCool ISF 25
- High thermal conductivity
References
- TrendForce, “Liquid Cooling to Scale in AI Data Centers, Penetration to Surpass 30% in 2025, Says TrendForce” (August 21, 2025).
- U.S. Department of Energy, “Powering America’s AI Future—Data Center Resource Hub” (2026; summarizes the LBNL 2025 update).
- Vertiv, “Data Center Trends 2025” (November 20, 2024).
- Grand View Research, “Data Center Liquid Immersion Cooling Market Report, 2030” (forecast page accessed September 30, 2026).
- ASHRAE, “Chapter 20. Data Centers and Telecommunication Facilities” (2023 Handbook chapter; accessed 2026).
- McKinsey & Company, “Keeping cool in the data age” (2025).
- U.S. Department of Energy, Best Practices Guide for Energy-Efficient Data Center Design (2024).
- ASHRAE Journal, “Liquid Cooling Cold Plates” (September 2025).
- Vertiv, “Vertiv expects powering up for AI, digital twins and adaptive liquid cooling to shape data center design and operations” (January 8, 2026).
Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.
