Liquid Cooling: The Inevitable Future of AI Infrastructure
Data centers hit a wall around 30 kilowatts per rack, and while logic suggested liquid cooling would naturally take over, the opposite happened. Rack densities decreased instead of increasing. Servers sat half empty, yet their fans—consuming up to half of the system’s total power—continued to roar.
Then came the AI revolution.
Practically overnight, workloads spiked, and racks that once drew 30 kilowatts now demanded 70, 120, even 300 kilowatts. In the next two years, racks pulling 600 to 800 kilowatts will be common. By 2030, we could be looking at 2 megawatts per rack. Suddenly, liquid cooling isn’t a niche technology—it’s a necessity.
Why AI Made Liquid Cooling Essential
That’s Bobby Kinstle talking. A single AI server today can draw 25 kilowatts—over ten times more than a traditional server from just a few years ago. That means one server could fill an entire rack by itself, an obviously inefficient use of space and power.
Liquid cooling solves this problem. What was once seen as “too expensive” or “too risky” is now a core requirement for high-performance and AI computing. And once liquid enters the data center, it’s here to stay. As Bobby quips, “It’s like eating ice cream for the first time—you want it with every meal.”
When he calls himself a “liquid cooling superfan,” it’s not hyperbole. His passion for this technology stretches back to 2006, when squeezing half a megawatt of computing power into a cargo container felt groundbreaking. But even then, the data center industry wasn’t ready to fully embrace liquid cooling. For years, Bobby waited—watching air cooling dominate despite its limits. Now, thanks to AI, he’s finally seeing the industry catch up to what he’s known for nearly two decades.
Designing with Liquid Cooling
Air-cooled servers require massive heat sinks and careful component layouts to avoid thermal bottlenecks. Designers often spend significant time ensuring airflow doesn’t preheat sensitive components like optical transceivers.
Liquid cooling changes the game entirely. For Direct Liquid Cooling (DLC), cold plates can be placed directly on top of heat-generating components, connected through efficient plumbing loops. Airflow is still used, but only for moderate temperature control. The result? Cooler, denser systems with simpler, more flexible layouts.
This freedom allows engineers to revisit long-stagnant server design principles. “The basic server hasn’t changed much in 30 years,” Bobby says. “Now we have the opportunity to be creative again.”
The Performance Advantage
Beyond density, liquid cooling delivers a measurable performance edge. By keeping chips 20–30°C cooler than air-cooled systems, processors consume less power and sustain higher turbo speeds longer. Instead of short bursts of peak performance, CPUs can maintain maximum frequencies indefinitely for optimal performance.
In Bobby’s own experience designing small liquid-cooled gaming PCs, these systems consistently outperformed larger air-cooled desktops because they could hold higher turbo speeds 100% of the time.
A Rapidly Expanding Market
The floodgates have opened. Industry forecasts show liquid-cooled servers will grow from just 5% of shipments in 2025 to nearly 40% in 2026—a sevenfold increase. Analysts predict a 21% annual growth rate for years to come. Companies like Hyve Solutions are already ramping up liquid cooling infrastructure to meet this surge.
Lessons from Other Industries
For those still hesitant about bringing “liquid” into the data center, Bobby offers perspective. The technology has been battle-tested elsewhere for years:
- Gaming PCs: Over 1 million consumer-grade liquid coolers shipped annually since 2013.
- Electric vehicles: Tesla’s innovative Octa Valve dynamically routes heat between batteries, motors and cabins for optimal efficiency.
- Home mini split air conditioning systems: Mini-split units already use liquid heat exchange to simplify and improve reliability.
In short, liquid cooling isn’t exotic—it’s proven, necessary and sustainable.
The Future Is Fluid
Liquid cooling has arrived. What was once niche and experimental is now essential to the next generation of AI, data center and computing performance. As Bobby puts it, “It’s time for our industry to realize that liquid cooling is a must. It’s here—and it’s here to stay. Just like ice cream.”