Blog Post

The Shift Toward Liquid Cooling in Data Centers

Jan. 22, 2025

From cloud services and artificial intelligence (AI) to financial transactions and streaming platforms, modern computing is constantly evolving. These advancements benefit the efficiency and capabilities of society while simultaneously requiring two components for success: data centers and thermal management.

Data Centers

Data centers house computer systems, servers, networking equipment, and storage systems to process and manage large volumes of data efficiently and securely. The centers support cloud computing, e-commerce, streaming services, and corporate IT infrastructure. These facilities generate a copious amount of heat, requiring sophisticated thermal management systems to maintain optimal performance and prevent equipment failure.

There are many thermal management methods, including air cooling, single-phase liquid cooling, and two-phase evaporative cooling. Traditionally, air cooling has been the most popular method of thermal management for data centers. However, as data centers grow larger and more powerful, traditional air-based cooling systems are being replaced or augmented by liquid cooling. The shift is driven by the increasing power density of computing workloads, efficiency demands, and challenging space requirements.

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Types of Liquid Cooling Technology

There are three main types of liquid cooling for thermal management in data centers: chilled water systems, direct-to-chip, and immersion cooling.

Chilled Water Systems

Chilled water systems use chillers to produce cold water. The water then flows through a network of insulated pipes to cooling units within the data center. These units use fans to pull warm air from the server racks, pass the air over coils filled with the chilled water, and then release the cooled air back into the data center. The water absorbs the heat and returns to the chiller to be cooled again. Chilled water systems are energy efficient for large-scale operations, can be easily scaled to meet increasing demands, and allow for precise temperature and humidity control.

Direct-to-Chip Cooling

Direct-to-chip cooling pumps coolant through sealed tubing systems to deliver the cooled liquid directly to processors, graphics processing unit (GPUs), and other critical components. This method efficiently removes heat at the source, reducing the load on traditional air-cooling systems. Direct-to-chip cooling is widely used in high-performance computing environments, such as AI training facilities and supercomputers.

Immersion Cooling

Immersion cooling involves submerging entire servers or hardware components in a non-conductive, insulating fluid which absorbs the heat directly from the equipment and circulates it to external heat exchangers. This method is ideal for compact data centers where space and energy efficiency are critical. 

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Key Benefits of Liquid Cooling

Energy Efficiency

Liquid has a higher thermal conductivity and capacity than air, making it more effective at absorbing and transferring heat compared to air-based methods. Liquid cooling also reduces the reliance on energy-intensive fans and computer room air conditioning (CRAC) units.

Space Optimization

Space in a date center, or lack thereof, is a major factor in the shift from traditional air-based cooling methods to liquid thermal management. Servers cooled with liquid can be packed closer together, offering more computing power while maximizing the use of physical space and minimizing the need for large cooling infrastructure.

Reduced Noise and Vibration

As mentioned above, liquid cooling in data centers reduces the number of fans in operation which creates a quieter, more manageable environment for on-site technicians.

Sustainability

Water-cooled systems can reuse waste heat for other applications, with some systems utilizing closed-loop designs that minimize water consumption to meet environmental standards.

Dixon’s Thermal Management Solutions

thermal management products

Dixon understands the critical role that effective thermal management plays in the performance and longevity of data centers. Our extensive portfolio features a range of high-quality, proven components designed to optimize heat dissipation and ensure reliable operation. Backed by our experienced engineering team, we provide tailored solutions that address your unique data cooling challenges. As a member of the Open Compute Project, we are committed to helping you find The Right Connection®.  

Dixon’s thermal management solutions include combination nipples, hydraulic quick disconnects, sanitary valves, clamps, and more. For a complete product offering, visit the thermal management market page on our website.

Summary

The data center cooling and thermal management market is rapidly evolving and expanding. According to Markets and Markets, the global data center liquid cooling market is projected to grow from $4.9 billion in 2024 to $21.3 billion by 2030. This growth is driven by increasing data demands and sustainability pressures. Technologies like liquid cooling are shaping the future, helping companies achieve efficiency. Chilled water, direct-to-chip, and immersion cooling systems help facilities meet the challenges of increased computing power and server density. However, the success of these liquid-cooling systems depends heavily on the quality and reliability of the fluid transfer components that keep them running smoothly.

Dixon plays a vital role in this transformation, offering high-quality thermal management products built to last. As the data center industry continues to evolve, Dixon’s products and expertise will remain essential in building resilient, sustainable cooling systems that meet the demands of the future.

For more information, visit dixonvalve.com or call 877.963.4966.