Market forecasts 21% annual growth in data center liquid cooling solutions through 2025.

According to a Global Market Insights, Inc. report from April 7, 2020, the market valuation of data center liquid cooling will cross $2.5 billion by 2025. The data center liquid cooling market growth will be driven by high demand for services such as consulting, maintenance and installation of solutions for managing overheating of devices. These services help organizations to save their expenses on hiring IT experts for evaluation and continuous monitoring of the system performance, encouraging industries to depend on manufacturers for maintenance services and thereby driving industry growth.

In 2017, large data centers dominated the market with an overall revenue generation of over 75%, due to adoption of these solutions to address dense and complex storage capabilities of their infrastructures. The rise of colocation and edge facilities across various industry verticals represents a major factor driving the growth of the large data center liquid cooling segment.

The Europe data center liquid cooling market will grow at a substantial rate through 2025 due to rise in construction of large-scale IT facilities by several major companies including Equinix, Facebook, and Portugal telecom. These global companies are expanding the size of their data centers due to a rapid increase in data storage requirements. Moreover, companies such as Facebook are planning to replace their traditional cooling technologies with water-based cooling.

Major companies participating in the data center liquid cooling market include Alfa Laval, IBM Corporation, Vertiv Co., Schneider Electric, Rittal GmbH & Co. Kg., Chilldyne Inc., and CoolIT Systems Inc. Industry players are targeting their offerings to large-scale companies that require effective heat management technologies. These companies are expanding their business presence across the globe and providing diversified solutions and services to customers for competing in the industry.