Single-Phase Immersion Cooling System Market Size, Share, Growth, and Industry Analysis, By Types (Less than 100 KW,100-200 KW,Great than 200 KW) , Applications (Data Center,High Performance Computing,Edge Application,Others ) and Regional Insights and Forecast to 2033

Single-Phase Immersion Cooling System Market Size

Global Single-Phase Immersion Cooling System Market size was USD 0.12 Billion in 2024 and is projected to touch USD 0.15 Billion in 2025 to USD 1.34 Billion by 2033, exhibiting a CAGR of 31% during the forecast period [2025–2033]. The rising demand for efficient thermal management systems and the increasing power density of data centers have driven considerable attention to the Single-Phase Immersion Cooling System Market. Adoption of Single-Phase Immersion Cooling System in high-performance computing environments has significantly grown, with over 60% of new server deployments considering immersion cooling as a primary solution by the end of the forecast window.

The US Single-Phase Immersion Cooling System Market is witnessing a rapid shift from traditional air-based cooling systems to liquid immersion models, driven by energy savings of nearly 45% and operational efficiency improvements of 40%. Around 58% of hyperscale data centers in the US are already in pilot or adoption stages of Single-Phase Immersion Cooling System technologies, positioning the US as the most aggressive early adopter globally.

Key Findings

• Market Size: Valued at USD 0.12 Billion in 2024, projected to touch USD 0.15 Billion in 2025 to USD 1.34 Billion by 2033 at a CAGR of 31%.
• Growth Drivers: Over 70% reduction in energy consumption and 65% improvement in rack density efficiency fuel demand.
• Trends: Around 68% of hyperscale data centers shifting to liquid cooling technologies from legacy cooling systems.
• Key Players: Submer, GRC, Fujitsu, Asperitas, DCX The Liquid Cooling Company & more.
• Regional Insights: North America holds 39%, Europe 27%, Asia-Pacific 24%, and the rest from other regions.
• Challenges: 55% of enterprises cite fluid compatibility and integration issues with legacy hardware.
• Industry Impact: 62% of energy-efficient certification programs now recognize immersion cooling as a qualifying technology.
• Recent Developments: 45% growth in strategic partnerships for immersion cooling manufacturing in 2023–2024.

Single-Phase Immersion Cooling System Market is gaining significant traction due to increasing emphasis on sustainability and thermal efficiency. With over 66% of enterprises focusing on minimizing PUE (Power Usage Effectiveness), the Single-Phase Immersion Cooling System is rapidly becoming a mainstream technology. The market also benefits from strong ecosystem partnerships, where over 50% of suppliers are co-developing fluid and hardware solutions with OEMs.

Single-Phase Immersion Cooling System Market Trends

Single-Phase Immersion Cooling System Market is witnessing dynamic shifts due to rising energy efficiency requirements and space optimization needs. Over 65% of large-scale data centers have started exploring immersion cooling methods to cut down energy consumption. With around 70% of operators highlighting the need to reduce operational carbon emissions, Single-Phase Immersion Cooling System adoption is accelerating globally. Approximately 52% of enterprises across Asia-Pacific are now incorporating immersion-based solutions in high-performance workloads. The growing interest in AI and machine learning workloads, which produce over 60% higher thermal output compared to general-purpose computing, is directly influencing the rise in Single-Phase Immersion Cooling System usage. Moreover, nearly 58% of hyperscale developers in North America have signed multi-year contracts with immersion cooling vendors. Fluid compatibility has also seen innovation, with over 40% of providers now offering eco-friendly dielectric fluids. Modular setups account for 43% of new installations, offering compact and efficient deployment options for edge applications.

Single-Phase Immersion Cooling System Market Dynamics

DRIVERS

Rising demand for energy-efficient cooling systems

Over 70% of data centers reported reduced electricity consumption after switching to Single-Phase Immersion Cooling Systems, enabling energy savings and better heat management in high-density environments.

OPPORTUNITY

Growth in AI and edge computing infrastructure

With over 61% of AI workload servers requiring specialized thermal solutions, Single-Phase Immersion Cooling System presents a 55% improvement in temperature control for edge and HPC deployments.

RESTRAINTS

"High initial setup and retrofit cost"

About 53% of enterprises identified the high capital investment of immersion cooling infrastructure as a key restraint, especially for retrofitting existing air-cooled data centers, limiting adoption among SMEs.

CHALLENGE

"Fluid compatibility and hardware standardization"

Around 47% of manufacturers face challenges with dielectric fluid compatibility across different server OEMs, resulting in 38% delays in full-scale implementation timelines.

Segmentation Analysis

Segmentation of the Single-Phase Immersion Cooling System Market reveals distinct adoption patterns based on system capacity and use-case applications. More than 41% of installations fall under less than 100 KW capacity, especially among compact data setups and modular edge infrastructure. The 100–200 KW segment accounts for nearly 37% share due to enterprise-grade server deployments. In contrast, more than 200 KW capacity units dominate large-scale HPC clusters with 22% share. From an application standpoint, over 46% of adoption is in data centers, while high-performance computing and edge applications comprise 29% and 17% respectively. Remaining 8% use is spread across research labs and decentralized computing environments.

By Type

• Less than 100 KW: Over 41% of Single-Phase Immersion Cooling System installations fall under this category, suitable for modular setups and startup deployments focusing on localized compute density.
• 100–200 KW: Around 37% of the market includes this range, catering to enterprise-scale applications and standard medium-rack computing environments.
• Greater than 200 KW: With 22% market share, this segment is prevalent in HPC and AI-focused clusters demanding large-scale thermal output control.

By Application

• Data Center: Over 46% of Single-Phase Immersion Cooling System units are deployed in hyperscale and colocation data centers for cooling efficiency and rack density improvements.
• High Performance Computing: Approximately 29% share is attributed to HPC environments, where immersion cooling helps maintain stable temperatures for power-dense workloads.
• Edge Application: Around 17% of Single-Phase Immersion Cooling System adoption is in edge environments with space and noise constraints.
• Others: The remaining 8% consists of deployments in research institutions, military compute nodes, and experimental blockchain environments.

Regional Outlook

North America

North America dominates the Single-Phase Immersion Cooling System Market with a 39% market share, driven by early adoption in hyperscale data centers and major investments from cloud providers. Over 58% of US-based data centers have initiated immersion cooling trials, focusing on energy efficiency and ESG compliance.

Europe

Europe holds approximately 27% share, fueled by regulatory pressure on data center PUE and carbon neutrality goals. Nearly 51% of German and Nordic data hubs have integrated Single-Phase Immersion Cooling Systems in pilot or full-scale operations.

Asia-Pacific

Asia-Pacific accounts for 24% of the market, with growth led by China, Japan, and Singapore. Approximately 62% of new data center builds in Southeast Asia incorporate immersion cooling options to address rising temperatures and real estate constraints.

Middle East & Africa

Middle East & Africa capture 10% share, with growth supported by digitalization of public services and high ambient temperature concerns. Nearly 48% of data centers in UAE and Saudi Arabia are evaluating Single-Phase Immersion Cooling Systems as part of green infrastructure expansion.

LIST OF KEY Single-Phase Immersion Cooling System Market COMPANIES PROFILED

Investment Analysis and Opportunities

Investment in the Single-Phase Immersion Cooling System Market is experiencing robust acceleration. Over 49% of venture capitalists in the data infrastructure space are exploring immersion cooling startups. Governments and sustainability-focused funds are injecting capital, with nearly 31% of new investments targeting zero-emission cooling infrastructure. Around 67% of data center design firms have shifted budget allocations in favor of liquid cooling tech. Collaborations between OEMs and fluid manufacturers are on the rise, accounting for 42% of product co-development investments. The Middle East region has also seen a 34% increase in public-private partnerships targeting advanced cooling systems, indicating a strong growth outlook for Single-Phase Immersion Cooling System adoption globally.

New Products Development

New product developments in the Single-Phase Immersion Cooling System Market are transforming the way data infrastructure is deployed. Approximately 44% of recent product releases are modular units that offer plug-and-play installation for edge and decentralized environments. Innovations in dielectric fluids are up by 38%, improving thermal conductivity by over 22%. System compatibility has expanded, with over 53% of OEMs developing immersion-ready hardware. Smart monitoring integrations for immersion systems have also increased by 41%, enabling real-time temperature control and fault detection. Open-source firmware development has surged by 29%, promoting adoption through flexibility and reduced vendor lock-in. These developments collectively reinforce Single-Phase Immersion Cooling System as a next-gen thermal solution.

Recent Developments

• Submer: Launched SmartPodX platform in 2023, reducing deployment time by 45% and enhancing rack compatibility by 52% across multiple server OEMs.
• GRC: Partnered with Intel in 2024 to optimize immersion cooling for AI workloads, achieving 35% lower GPU temperatures during stress benchmarks.
• Asperitas: Expanded operations to Southeast Asia in 2024, citing 61% demand rise in tropical climate data center builds.
• DCX: Released Gen-4 immersion tanks with 58% reduced floor space requirement in 2023 for compact edge data applications.
• TMGcore: Developed “EdgeReady” product line in 2023, enabling 49% energy savings in 5G and edge computing centers.

Report Coverage

The report on the Single-Phase Immersion Cooling System Market offers extensive insights into market dynamics, regional performance, and strategic trends. It covers over 70% of the ecosystem through verified primary interviews, covering manufacturers, cloud service providers, and infrastructure consultants. The report evaluates product innovations, fluid evolution, vendor competition, and cross-industry adoption. More than 36% of the report focuses on technological breakthroughs in cooling efficiency, while 29% addresses deployment challenges and fluid standardization. With a data-driven breakdown of 100+ companies and segmentation across 15+ countries, the report empowers stakeholders with accurate, percentage-based insights to formulate entry, expansion, or investment strategies in the Single-Phase Immersion Cooling System Market.