Global Immersion Cooling Market - Industry Trends and Forecast to 2029

Immersion Cooling Market Analysis and Size

According to the World Bank, global economic growth will increase by 3.2% in 2023, providing a significant opportunity for the IT infrastructure sector to thrive in a variety of locations. Rising data output and processing levels are expected to drive growth in the immersion cooling industry across all geographies. Carbon emission regulations, as well as the demand for high density and computation requirements, are all contributing to the growth of the immersion cooling market.

Data Bridge Market Research analyses that the immersion cooling market which was growing at a value of 211.17 million in 2021 and is expected to reach the value of USD 1135.41 million by 2029, at a CAGR of 23.40% during the forecast period.  In addition to the insights on market scenarios such as market value, growth rate, segmentation, geographical coverage, and major players, the market reports curated by the Data Bridge Market Research also include in-depth expert analysis, geographically represented company-wise production and capacity, network layouts of distributors and partners, detailed and updated price trend analysis and deficit analysis of supply chain and demand.

Immersion Cooling Market Scope and Segmentation

Market Definition

Immersion cooling, also known as liquid submersion cooling, immerses computer components such as servers, GPUs, ASICs, and other IT hardware such as memory, drives, and CPUs in a dielectric liquid to cool them (thermally conductive but electrically insulative). Based on the state of the coolant, there are two types of immersion cooling: single-phase cooling and two-phase cooling.

Global Immersion Cooling Market Dynamics

Drivers

• Growing need of server space

The required performance does not necessitate the use of high-density servers in traditional data centers. Deep learning, machine learning, the Internet of Things (IoT), smart cities, artificial intelligence (AI), cloud computing, and blockchain all require large amounts of data to be processed. Immersion cooling can handle higher heat loads than air cooling, so the market for immersion cooling systems is growing. Immersion cooling solutions, which are non-hazardous and environmentally friendly, can keep these high-density server racks cool at a low cost. The benefits of using a nontoxic, less corrosive dielectric fluid for liquid immersion cooling are attracting a growing number of end-users and driving the immersion cooling market.

• Increase in global carbon footprints

Immersion cooling is one type of advanced liquid cooling that has grown in popularity due to a number of factors, including the growing carbon footprint of the data center industry. According to a recent study by 3M, a well-known synthetic coolant supplier in the immersion cooling market, electronic components in data centers with traditional air-based cooling systems consume 38% of the electricity required to keep the building at an occupiable temperature.

Opportunities

• Environment friendliness

Immersion cooling also protects information technology equipment from environmental contaminants such as dust and sulphur, and it is a key driver of market growth. Furthermore, the high adoption in low-density data centers and the development of cooling solutions for deployment in harsh environments will provide ample growth opportunities for the immersion cooling market during the forecast period.

Restraints

• Lack of recognition

One of the major impediments to the growth of the immersion cooling market is the need for additional and specialized infrastructure, as well as a lack of recognition from various end users, while high investments in existing infrastructure are expected over the forecast period.

This immersion cooling market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the immersion cooling market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

Impact and Current Market Scenario of Raw Material Shortage and Shipping Delays

Data Bridge Market Research offers a high-level analysis of the market and delivers information by keeping in account the impact and current market environment of raw material shortage and shipping delays. This translates into assessing strategic possibilities, creating effective action plans, and assisting businesses in making important decisions.

Apart from the standard report, we also offer in-depth analysis of the procurement level from forecasted shipping delays, distributor mapping by region, commodity analysis, production analysis, price mapping trends, sourcing, category performance analysis, supply chain risk management solutions, advanced benchmarking, and other services for procurement and strategic support.

COVID-19 Impact on Immersion Cooling Market

The recent COVID-19 outbreak put additional strain on multiple economies and sectors. This shifted the emphasis to a digital economy. In terms of the role of immersion cooling, as data centres manage more next-generation applications such as the Internet of Things and Artificial Intelligence, they require higher-density processors, which generate more heat and thus necessitate more cooling power.

Expected Impact of Economic Slowdown on the Pricing and Availability of Products

When economic activity slows, industries begin to suffer. The forecasted effects of the economic downturn on the pricing and accessibility of the products are taken into account in the market insight reports and intelligence services provided by DBMR. With this, our clients can typically keep one step ahead of their competitors, project their sales and revenue, and estimate their profit and loss expenditures.

Recent Developments

• In August 2022 - In Hong Kong, OneAsia introduced an immersion cooling solution that significantly reduces data center energy consumption while providing more dependable performance. As the first data center operator in Hong Kong to offer this groundbreaking technology, OneAsia intends to expand the service to all of its other data centers in Greater China, East and Southeast Asia, and Japan.
• In March 2022 S.K. Lubricants, an American provider of liquid immersion cooling solutions for data centers, made a USD 25 million equity investment in GRC. The investment will help S.K. Lubricant expand its liquid-based thermal management operations and implement its green ESG strategy.

Global Immersion Cooling Market Scope

The immersion cooling market is segmented on the basis of type, cooling fluid type and application. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Type

• Single-Phase Immersion Cooling
• Two-Phase Immersion Cooling

Cooling Fluid Type

• Mineral Oil
• Fluorocarbon-Based Fluid
• Synthetic Oil
• Others

Application

• High Performance Computing
• Edge Computing
• Artificial Intelligence
• Cryptocurrency
• Mining
• Others

Immersion Cooling Market Regional Analysis/Insights

The immersion cooling market is analysed and market size insights and trends are provided by country, type, cooling fluid type and application as referenced above.

The countries covered in the immersion cooling market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, South Africa, Egypt, Israel, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

North America leads the immersion cooling market because of the high demand for immersion cooling from various applications such as high performance computing, edge computing, artificial intelligence, cryptocurrency mining, and others in this region

Asia-Pacific is expected to grow at a significant rate from 2022 to 2029 due to increased demand for data centres, an increase in the number of AI applications, and rising power consumption, 

The country section of the report also provides individual market impacting factors and changes in market regulation that impact the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.   

Competitive Landscape and Immersion Cooling Market Share Analysis

The immersion cooling market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to immersion cooling market.

Some of the major players operating in the immersion cooling market are:

• Schneider Electric (France)
• Vertiv Group Corp. (U.S.)
• STULZ GMBH (Germany)
• Eaton (U.S.)
• Fujitsu (Japan)
• Rittal GmbH & Co. K.G. (Germany)
• Daikin Applied (U.S.)
• Black Box Corporation (U.S.)
• ALFA LAVAL (Sweden)
• Nortek Air Solutions, LLC (U.S.)
• Airedale Air Conditioning (U.K.)
• 3M (U.S.)
• Coolcentric (U.S.)
• Delta Power Solutions (India)
• EcoCooling (U.K.)

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