Immersion Cooling Market by Type (Single-Phase Immersion Cooling and Two-Phase Immersion Cooling), by Cooling Fluid Type (Mineral Oil, Fluorocarbon-Based Fluid, Synthetic Oil, Deionized Water, and Others), by Application (High-Performance Computing, Edge Computing, Artificial Intelligence, Cryptocurrency, Mining, and Others) – Global Opportunity Analysis and Industry Forecast 2023 –2030

Market Definition

The global Immersion Cooling Market size was valued at 0.25 billion in 2022 and is predicted to reach 1.37 billion by 2030 with a CAGR of 23.2% from 2023-2030. Immersion cooling also known as liquid submersion cooling a method of submerging computer components such as servers, GPUs, ASICs, and other IT hardware. IT hardware includes memory, drives, and CPUs, in a dielectric fluid that is capable of removing heat efficiently and quickly.

Immersion cooling also reduces physical space requirements and is environmentally friendly since it eliminates the need for fans, air filters, and other components common to air cooling systems. IT Hardware or servers that are cooled through immersion cooling don’t require fans and the heat exchange between the warm coolant and cool water circuit usually occurs through a heat exchanger.

Market Dynamics and Trends

The demand for immersion cooling is significantly boosted due to the growing adoption of high-density computing solutions in data centres. Immersion cooling provides greater cooling efficiency and thermal management for high-density data centres, thereby allowing data centres to increase the number of servers within a limited storage. Also, the increasing need for energy efficiency due to rising energy costs coupled with growing environmental concerns such as carbon footprint and greenhouse emissions are further driving the growth of the immersion cooling market. 

However, the initial cost of implementing immersion cooling systems, which can be higher compared to traditional air-cooling methods along with the complex maintenance of systems are the factors restraining the growth of the immersion cooling market. The infrastructure required for submerging servers in a dielectric fluid and the associated equipment can involve significant upfront investments.

On the other hand, the introduction of artificial intelligence and machine learning algorithms to optimize cooling processes and predict system behaviour is further expected to create ample growth opportunities for the market in future. 

Market Segmentation and Scope of Study

The global immersion cooling market report is segmented on the basis of type, cooling fluid type, application and region. Based on type, the market is classified into single-phase immersion cooling and two-phase immersion cooling. Based on the cooling fluid type, the market is segmented into mineral oil, fluorocarbon-based fluid, synthetic oil, deionized water, and others. On the basis of vehicle application, the market is categorized into high performance computing, edge computing, artificial intelligence, cryptocurrency, mining, and others. Geographical breakdown and analysis of each of the aforesaid classifications include regions comprising of North America, Europe, Asia-Pacific, and RoW.

Geographical Analysis

North America dominates the global immersion cooling market share and is potently expected to remain dominant in the market during the forecast period. This is attributed to the rising number of data centres as immersion cooling required for efficient cooling of data centre servers. According to data published by United States International Trade Commission (USITC) in May 2021, there were over 2,600 data centres spread across the country.

Moreover, the regional presence of prominent players such as Green Revolution Cooling Inc., Midas Green Technologies, LiquidCool Solutions, and Hypertec Group that are actively engaged in adopting strategies such as product launches and collaboration is further boosting the growth of the immersion cooling market. For instance, in March 2022, Green Revolution Cooling Inc, launched immersion cooling pilot program, that offers data centre owners and operators to deploy an ICEraQ Series 10 immersion cooling system on a trial basis. 

Also, in February 2022, Hypertec Group launched CIARA TRIDENT, a high-performance technology product and solutions build for immersion cooling technology and paves the way toward a new and greener industry standard 

On the other hand, Asia-Pacific shows substantial growth in the global immersion cooling market owing to the growing demand for high-performance computing in industries such as IT & telecommunication, defense, and others in developing countries including India, China, and Japan. The IT & telecommunication industry in these countries is expanding rapidly, with a rising number of data centers and cloud computing facilities being established.

As the demand for data processing and storage increases, the need for efficient cooling solutions becomes crucial. Immersion cooling offers a compelling solution by providing enhanced cooling efficiency and thermal management for high-performance computing environments. Moreover, the rising awareness to reduce energy consumption along with the reduction of cost in data centers is further accelerating the growth of the immersion cooling market in the region.

For instance, in August 2022, OneAsia, launched an immersion cooling solution to reduce data center energy consumption and provide more reliable performance for a greener future by adopting innovative, sustainable technologies and practices. This innovative technology utilizes liquid-based cooling to enhance the efficiency and effectiveness of cloud-based solutions and data center services. With the introduction of immersion cooling, OneAsia aims to deliver improved performance and sustainability to its customers. This launch highlights OneAsia's commitment to adopting cutting-edge solutions in the field of data center services and underscores the growing interest in immersion cooling industry.

Competitive Landscape  

The immersion cooling industry includes several market players such as LiquidStack Holding B.V., Fujitsu, Green Revolution Cooling, Inc., Midas Green Technologies, LiquidCool Solutions, Inc., DCX - The Liquid Cooling Company, GIGA-BYTE Technology Co., Ltd., DOW, Hypertec Group, Inc., Submer and others. These market players are adopting various strategies such as product launches and collaboration to maintain their dominance in the global market.

For instance, in September 2022, Dow Inc. launched DOWSIL immersion cooling technology, for cooling hyperscale cloud and enterprise data centres with optimized efficiency and sustainability. The DowSI immersion cooling technology aims to address the increasing demand for high-performance computing while reducing energy consumption and minimizing environmental impact. 

Also, May 2022, Submer collaborated with BIT, to showcase immersion-powered cooling technology in The Netherlands. Through this partnership companies will be able to visit BIT’s colocation data centre and receive a live demonstration of SmartPodXL immersion technology. 

Moreover, in March 2021, LiquidStack partnered with Wiwynn to enable synergistic advancement of next-generation cloud IT infrastructure designed for two-phase immersion cooling in data centres, edge, and high-performance computing. This partnership aims to boost the development and adoption of two-phase immersion cooling technology in the data center industry. 

Key Benefits

• The report provides quantitative analysis and estimations of the immersion cooling market from 2023 to 2030, which assists in identifying the prevailing market opportunities.

• The study comprises a deep dive analysis of the immersion cooling market including the current and future trends to depict prevalent investment pockets in the market.

• Information related to key drivers, restraints, and opportunities and their impact on the immersion cooling market is provided in the report. 

• Competitive analysis of the players, along with their market share is provided in the report.

• SWOT analysis and Porters Five Forces model is elaborated in the study.

• Value chain analysis in the market study provides a clear picture of roles of stakeholders.

Immersion Cooling Market Key Segments

By Type 

• Single-Phase Immersion Cooling

• Two-Phase Immersion Cooling

By Cooling Fluid Type

• Mineral Oil

• Fluorocarbon-Based Fluid

• Synthetic 

• Deionized Water

• Others

By Application

• High-Performance Computing

• Edge Computing

• Artificial Intelligence

• Cryptocurrency

• Mining

• Others

By Region

• North America

  • U.S

  • Canada

  • Mexico

• Europe

  • UK

  • Germany        

  • France        

  • Italy

  • Spain

  • Denmark                 

  • Netherlands    

  • Finland                 

  • Sweden                 

  • Norway                 

  • Russia                 

  • Rest of Europe             

• Asia-Pacific

  • China

  • Japan

  • India

  • South Korea

  • Australia

  • Indonesia

  • Singapore

  • Taiwan

  • Thailand

  • Rest of Asia-Pacific

• RoW

  • Latin America

  • Middle East

  • Africa

Report Scope and Segmentation:

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