Artificial intelligence is not just a hot topic—it’s literally heating things up. The rapid expansion of AI technology has caused a significant increase in energy consumption in data centers, leading to a surge in the need for advanced cooling systems. As data centers across the globe scramble to keep their servers cool, companies specializing in cooling technology are experiencing remarkable growth.

The Heat Challenge in AI and Data Centers

The rapid expansion of AI capabilities has driven a dramatic increase in electricity consumption for data centers. According to the International Energy Agency, electricity consumption in U.S. data centers is projected to rise by approximately 30% from 2022 to 2026, reaching 260 terawatt-hours. This amount represents about 6% of the total electricity demand in the country, equivalent to the energy needed to power 24 million American homes for a year. Most of this energy will be dissipated as heat, necessitating advanced cooling systems to maintain optimal operating temperatures.

Currently, most data centers rely on fans to circulate air and manage temperatures. However, as AI technology advances, resulting in more powerful and hotter chips, the limits of air cooling systems will be increasingly strained. One promising solution is the use of liquid cooling, which involves running liquid coolant through pipes in servers to absorb heat. Liquid cooling is far more efficient than air cooling; water, for example, can absorb more than 3,000 times more heat than air for the same volume increase in temperature. This efficiency allows for denser server arrangements, further optimizing data center operations.

The Growth of the Cooling Market

The market for server cooling systems is poised for significant growth. Goldman Sachs estimates that the server cooling market will expand from $4.1 billion in 2023 to $10.6 billion in 2026. Liquid cooling, in particular, is expected to gain popularity, with its penetration rate among AI servers projected to rise from 23% to 57% over the same period. Although liquid cooling systems are more costly—three to four times more than air cooling systems, according to J.P. Morgan—they offer better margins due to their complex design and superior performance in a more dense footprint as compared to air-cooled systems.

With major technology companies like Microsoft and Meta investing heavily in AI data centers, there is a natural excitement surrounding cooling technology. As the AI revolution continues, the demand for efficient cooling solutions will only grow, presenting a great opportunity for increased performance and better space utilization.

WGI’s Expertise in MEP Engineering Solutions

As the demand for advanced cooling systems intensifies, WGI’s MEP Engineering experts are well-equipped to address these challenges with comprehensive solutions tailored to the needs of modern data centers.

• Mechanical & HVAC Engineering: WGI’s team designs and implements sophisticated HVAC systems that ensure optimal temperature and humidity control, essential for maintaining the performance and longevity of AI servers.
• Plumbing Engineering: Our experts develop efficient plumbing systems for liquid cooling, incorporating state-of-the-art materials and technologies to ensure reliable and effective heat dissipation.
• Thermal Analysis: WGI provides detailed thermal analysis to identify heat sources and design cooling solutions that maximize efficiency and minimize energy consumption.
• Energy Modeling: Our energy modeling services help predict energy usage and optimize the design of cooling systems to reduce operational costs and environmental impact.
• Value Engineering: WGI employs value engineering principles to deliver high-performance cooling solutions that offer the best return on investment, balancing cost and functionality.

WGI is committed to helping clients navigate the complexities of cooling AI and data centers, providing cutting-edge MEP Engineering services that ensure their facilities operate efficiently and sustainably. As AI continues to evolve, so too will the need for innovative cooling solutions—and WGI stands ready to meet that demand.

Contact our team today to learn how WGI’s MEP experts can help you stay cool with the heat wave ahead!