APAC Data Center Liquid Cooling Market size to hit $2.5 Bn by 2028

Published Date: 2022-07-18

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APAC Data Center Liquid Cooling Market size is poised to surpass USD 2.5 billion by 2028, according to a latest forecast report by Graphical Research.

Digitization has increased computing capability, necessitating the integration of massive chips into data centers. Advanced technologies for AI applications are transforming data center design and cooling needs. Data center servers demand high-power GPUs and CPUs to meet business processing needs. Manufacturers are introducing advanced semiconductor chips to optimize the performance of AI. For instance, in October 2021, Alibaba Group Holding Limited unveiled a custom ARM-based server chip for cloud computing data centers. The chip offers a 20% performance boost and 50% more energy efficiency. As the adoption of AI chips in data centers increases, the demand for effective cooling systems to reduce energy & space requirements will increase.

The COVID-19-enforced lockdowns in Asia Pacific disrupted supply chains due to restricted permissible transportation. Several Asia Pacific countries were subjected to severe lockdowns, resulting in massive economic losses due to the suspension of manufacturing operations. These factors, in turn, impacted data center liquid cooling demand in 2020. In 2021, Asia Pacific countries including China, India, and Singapore witnessed significant demand for data center liquid cooling solutions from cloud service providers. For instance, in November 2021, Oracle Corporation established a new cloud region in Singapore to fulfill Southeast Asia's rising demand for enterprise cloud services. Steady growth in the digitalization of the manufacturing industry in Asia Pacific is expected to enhance the sales of data center liquid cooling in 2022 as it helps to maintain an energy-efficient IT infrastructure.

The row or rack cooling technology effectively protects new high-density racks, allowing them to be thermally neutral with conventional room-based cooling systems. High-density workloads can be integrated with the existing low-density data center without making major changes to the cooling technologies. Government organizations are collaborating with leading data center providers to test the usage of liquid cooling in hybrid data centers. For instance, in June 2021, the Singapore government and Facebook jointly financed a USD 17 million initiative to address the critical demand for data centers that can function sustainably in tropical climates. Direct-to-chip cooling is being tested, which will employ an integrated hybrid heat sink that manages both air & liquid cooling and removes the need for connections & ducts.

Browse detailed statistical insights from the report, “Asia Pacific Data Center Liquid Cooling Market Forecast 2028 By End-use (Enterprise [BFSI, Retail & E-commerce, Government, Healthcare, Manufacturing, IT Enabled Services (ITeS)], Telecom Service Providers, Cloud Service Providers), By Component (Solution [Direct-to-Chip, Immersive {IT Chassis, Tub/Open Bath}], Services [Managed, Professional]), Research Report, COVID-19 Impact Statistics, Country Outlook, Price Trends, Historic Data, Growth Prospects, Competitive Industry Share” along with the table of contents (ToC) @

Increasing digitalization in the retail & e-commerce sector is helping the market growth as data center operators are adopting compact and noise-free liquid cooling solutions to maintain ideal & efficient operating conditions. To market products to the customers through the Internet, retailers are using reliable & strong online infrastructure and support. According to India Brand Equity Foundation (IBEF), the e-commerce sector in India is predicted to rise to USD 188 billion by 2025, up from USD 46.2 billion in 2020. Additionally, it is estimated to reach USD 350 billion by 2030. The e-commerce sector is expected to grow by 21.5% by 2022, reaching USD 74.8 billion. Data centers provide advanced IT services and solutions to the retail & e-commerce industry. This will increase the demand for liquid cooling that offers concentrated & dense cooling to targeted surface areas.

The data center liquid cooling in APAC market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue in USD from 2017 to 2028 for the following segments:

Asia Pacific Market, By Component

  • Solution
    • Direct-to-chip liquid cooling
    • Immersive liquid cooling
      • IT chassis
      • Tub/Open bath
  • Services
    • Managed
    • Professional

Asia Pacific Market, By End-use

  • Enterprise
    • BFSI
    • Retail & e-commerce
    • Government
    • Healthcare
    • Manufacturing
    • IT-enabled Services (ITeS)
    • Others
  • Telecom service providers
  • Cloud service providers

The above information has been provided for the following countries:

  • Asia Pacific
    • China
    • India
    • Japan
    • Singapore
    • Australia