This white paper proposes a radical departure from traditional data center design: the construction of a 100MW data center that exclusively utilizes outdoor two-phase evaporative immersion cooling systems. This innovative approach aims to eliminate the necessity for a conventional data center building and its associated complex infrastructure, thereby offering a pathway to significantly reduced capital and operational costs, as well as accelerated deployment timelines. By leveraging the environmental resilience and inherent efficiency of immersion cooling, this disaggregated model challenges the conventional wisdom of data center design and operation, suggesting a future where compute infrastructure can be deployed with greater agility and lower overhead. This paper will explore the numerous benefits of this novel approach, including substantial reductions in construction lead times, capital expenditure, the requirement for additional infrastructure, and ultimately, the total cost of ownership (TCO), especially when compared to traditional GPU infrastructure designed to support a similar power capacity.
Understanding Two-Phase Evaporative Immersion Cooling
The Thermodynamic Cycle of Cooling
In a two-phase immersion cooling system, servers and other heat-generating IT components are fully submerged within sealed tanks containing a specially engineered, non-conductive dielectric fluid characterized by a low boiling point, typically around 50°C.1 As these electronic components operate, they dissipate heat directly into the surrounding dielectric liquid. This heat input causes the fluid in immediate contact with the hot surfaces of the components to rapidly boil and undergo a phase transition from liquid to gaseous vapor.1 The resulting vapor, now carrying the thermal energy away from the heat source, rises due to its lower density and comes into contact with a condenser, which is typically situated above the fluid level within the sealed immersion tank.1 This condenser serves as a heat exchanger and can be cooled by either a secondary liquid loop, often utilizing water, or by the ambient air. Upon encountering the cooler surface of the condenser, the vapor releases its latent heat of vaporization and transitions back into its liquid state.1 The condensed dielectric liquid then drips back down into the main fluid bath under the influence of gravity, completing the closed-loop cooling cycle. This entire process relies on natural convection and the principles of phase change, effectively eliminating the need for mechanical pumps to circulate the fluid within the immersion tank itself.7 The utilization of the latent heat of vaporization in two-phase cooling is a significantly more energy-efficient method of heat removal compared to relying solely on the sensible heat capacity of a single-phase fluid.24 This thermodynamic advantage allows for the dissipation of a substantial amount of heat with a minimal temperature difference between the electronic component and the cooling fluid, ultimately contributing to the exceptional cooling performance characteristic of two-phase immersion systems.
Key Advantages of Two-Phase Immersion Cooling
Two-phase immersion cooling offers several compelling advantages over traditional air-based and even single-phase liquid cooling methods for data centers. The direct contact between the boiling dielectric fluid and the heat-generating components, combined with the high latent heat of vaporization, results in unmatched heat transfer efficiency, making it ideally suited for cooling the high thermal design power (TDP) of modern processors, particularly GPUs.1 This technology can effectively handle heat fluxes exceeding 100 kW per cabinet volume, positioning it as a crucial enabler for future generations of even more powerful computing hardware.12 Furthermore, by eliminating the need for energy-intensive mechanical air conditioning systems and server fans, two-phase immersion cooling achieves exceptional energy efficiency, with Power Usage Effectiveness (PUE) values often ranging from a remarkably low 1.01 to 1.02.6 This near-unity PUE signifies that almost all the energy consumed by the data center is dedicated to computation, rather than being wasted on cooling infrastructure. The absence of bulky air cooling components also allows for ultra-high server densities, enabling significantly more computing power to be packed into a smaller physical space, with achievable densities reaching 100 kW per rack and beyond.1 Unlike many traditional cooling methods that consume substantial amounts of water, two-phase immersion cooling can operate with minimal to zero water usage, primarily for condenser cooling if a liquid loop is employed.7 This near-zero water footprint is a significant environmental and economic advantage, especially in water-scarce regions. Moreover, the stable thermal environment and the elimination of vibration from fans contribute to enhanced hardware reliability and an extended operational lifespan for the IT equipment.7 Finally, the absence of server fans in immersion-cooled systems results in significantly quieter data center operations.1
Key Considerations for Implementation
While offering numerous benefits, the implementation of two-phase immersion cooling requires careful consideration of several factors. The selection of the dielectric fluid is paramount, taking into account its boiling point, thermal conductivity, dielectric strength, and environmental impact.8 While some high-performance fluids can be expensive, the long-term cost benefits often outweigh the initial investment, and ongoing research is yielding more cost-effective and environmentally friendly options.8 Maintenance procedures for immersion-cooled systems differ from traditional methods, involving the handling of dielectric fluids.7 However, in some aspects, such as server removal, two-phase systems can offer greater ease of maintenance.16 Ensuring material compatibility between the dielectric fluid and all server components is crucial to prevent any degradation or failures.8 Collaboration with hardware manufacturers is essential to optimize component materials for immersion environments.
Limitations and Costs of Conventional Data Center Infrastructure for 100MW Capacity
The Energy-Intensive Nature of Traditional Cooling
Conventional data centers rely predominantly on mechanical air conditioning systems, such as Computer Room Air Conditioners (CRACs) and Computer Room Air Handlers (CRAHs), to regulate the temperature and humidity necessary for the reliable operation of IT equipment.1 These systems typically utilize chilled water or direct expansion (DX) technology to cool the air that is then circulated throughout the data center. The production of this chilled water necessitates the use of chiller plants, which themselves are significant consumers of electrical energy.10 To improve the efficiency of air cooling, strategies like hot aisle/cold aisle containment are often implemented to prevent the mixing of hot exhaust air from servers with the cold air being supplied.10 However, even with these optimizations, the fundamental reliance on air, which has a relatively low thermal conductivity, makes traditional cooling methods inherently energy-intensive. While liquid-assisted cooling techniques like direct-to-chip cold plates are increasingly being adopted for high-density components such as CPUs and GPUs, these solutions often still require substantial air cooling to manage the overall heat load within the data center.14 The challenge lies in efficiently dissipating the concentrated heat generated by high-density GPU deployments, which traditional air cooling methods often struggle to achieve, leading to increased energy consumption, potential thermal throttling of critical hardware, and limitations on the achievable rack densities.1
The Burden of Complex Building Infrastructure
A conventional 100MW data center necessitates a substantial physical building to house the vast array of servers, the extensive cooling infrastructure, the complex electrical equipment, and various support areas.2 Facilities of this power capacity, often categorized as hyperscale, can easily encompass millions of square feet of floor space.2 The building structure itself often requires specialized architectural and structural design to support the considerable weight of the IT and infrastructure equipment. In many traditional designs, raised floors are employed to create an underfloor plenum for the distribution of cool air.10 Maintaining a tightly controlled internal environment with precise temperature and humidity regulation is paramount for the reliable operation of the sensitive electronic equipment.11 This requires sophisticated building management systems and contributes significantly to the overall operational overhead. The construction of such a large and highly specialized building represents a significant portion of the total project cost and timeline, adding considerable complexity and demanding extensive planning and meticulous execution.54
The Intricacy of Cooling and Power Distribution Networks
Traditional liquid cooling systems, often used in conjunction with air cooling or for direct-to-chip applications, rely on complex networks of pipes to distribute chilled water to various cooling units or directly to heat-generating components.28 These intricate plumbing systems require careful engineering, precise installation, and ongoing maintenance to prevent leaks and ensure the efficient delivery of cooling capacity. Large chiller plants, along with their associated cooling towers, are essential components for rejecting the heat absorbed by the chilled water.10 These are substantial capital investments and require significant energy to operate. Distributing 100MW of electrical power to the numerous servers within the data center demands a sophisticated electrical infrastructure. This includes high-capacity transformers to step down the voltage from the utility grid, extensive switchgear for power management and protection, and a multitude of Power Distribution Units (PDUs) strategically located throughout the facility to further step down and manage the power at the individual rack level.4 To ensure the continuous operation of the data center, even during utility power outages, robust backup power systems are critical. These typically consist of diesel or gas-powered generators and Uninterruptible Power Supplies (UPS) to provide immediate power during the transition to generator power.4 These backup systems represent a significant capital investment and require regular testing and maintenance to ensure their readiness. The sheer scale and interconnectedness of these cooling and power distribution networks present numerous potential points of failure, necessitating the implementation of comprehensive monitoring and management systems, as well as the expertise of highly skilled personnel to ensure the reliable and continuous operation of the entire data center facility.
The Significant Capital and Operational Expenditure
The capital expenditure (CAPEX) associated with the construction of a 100MW traditional data center is substantial, typically ranging from hundreds of millions to well over a billion US dollars, with industry estimates often falling between $7 million and $12 million per megawatt of IT load.54 A significant portion of both the initial investment and the ongoing operational expenditure (OPEX) is directly attributable to the complex cooling infrastructure and the considerable energy required to operate it.1 In addition to cooling costs, other major components of OPEX include the electricity consumed by the IT equipment itself, the costs associated with maintaining the building and its intricate infrastructure systems, and the salaries and benefits of the data center staff.55 This high upfront investment and the substantial ongoing operational expenses necessitate a long-term perspective on return on investment and can present a significant financial barrier to entry for many organizations. Furthermore, the volatility of energy prices can have a significant impact on the overall OPEX of a traditional data center.
The Protracted Construction and Deployment Timelines
The process of planning, designing, securing permits for, and ultimately constructing a large-scale data center such as a 100MW facility is inherently time-consuming. From initial site selection to final commissioning, these projects often require a period of 18 to 24 months or even longer to complete.66 Various factors can contribute to these extended timelines, including the complexity of the design, the need to conduct thorough environmental impact assessments, the time required to obtain the necessary regulatory permits, and the management of often intricate and global supply chains for critical equipment.19 In the rapidly evolving landscape of technology, these protracted lead times can significantly hinder an organization’s ability to quickly deploy new computing capacity and effectively respond to changing market demands or the emergence of new technological advancements.
The Benefits of a Disaggregated Two-Phase Immersion Cooling Data Center
Eliminating the Need for a Traditional Building
One of the most significant advantages of adopting a data center model based exclusively on outdoor two-phase immersion cooling is the complete elimination of the need for a traditional data center building.7 Two-phase immersion cooling systems are self-contained within robust, environmentally sealed tanks that are specifically designed for outdoor deployment, providing a protected environment for the submerged IT equipment. This fundamental architectural shift leads to substantial savings in the costs associated with building materials such as concrete, steel, and roofing, as well as the significant labor required for the construction of a large, specialized facility. Furthermore, it completely bypasses the time and resources that would typically be allocated to building design, architectural planning, obtaining building permits, and the entire construction process, resulting in a much faster overall deployment timeline for the data center. This elimination of the building not only reduces direct construction costs but also removes the ongoing operational expenses associated with maintaining a large enclosed space, such as the energy consumption for lighting, the costs of building perimeter security systems, and potentially some aspects of fire suppression and environmental monitoring that would be necessary within a conventional building.
Drastically Simplified Infrastructure Requirements
The adoption of outdoor two-phase immersion cooling for a 100MW data center significantly simplifies the infrastructure requirements compared to traditional designs. Immersion tanks can be strategically placed outdoors in close proximity to existing power substations or even integrated with on-site power generation sources, such as renewable energy installations or fuel cells.5 This proximity minimizes the need for extensive and complex internal electrical routing that would be necessary within a large conventional data center building. Furthermore, two-phase immersion cooling inherently simplifies the cooling infrastructure. While a secondary cooling loop may be required for the condensers within the tanks, the large and complex chilled water plumbing networks and centralized Cooling Distribution Units (CDUs) associated with traditional liquid cooling systems are no longer needed for cooling the IT equipment itself.1 Heat generated by the servers is efficiently transferred to the dielectric fluid, which then vaporizes. The heat is ultimately rejected at the condenser level within each tank. This heat rejection can be achieved using air-cooled condensers mounted directly on the tanks or through smaller, localized liquid loops connected to more efficient outdoor heat rejection units like dry coolers or smaller cooling towers.1 This distributed approach to heat rejection is less complex and potentially more energy-efficient than relying on centralized chiller plants.
Substantial Reduction in Construction Lead Times
The most significant reduction in construction lead time with an outdoor immersion-cooled data center comes from completely bypassing the lengthy process of traditional data center building construction, which can often take many months or even over a year.19 The installation of self-contained immersion tanks and the simplified supporting infrastructure, such as electrical connections and smaller cooling loops for condensers, is a much faster process compared to the complex mechanical and electrical build-out required within a conventional data center building. Furthermore, the modular nature of immersion cooling tanks allows for a phased deployment strategy, enabling the data center to come online and provide computing capacity in stages, significantly accelerating the time-to-market.
Table 1: Comparative Timeline for Conventional vs. Disaggregated Immersion-Cooled Data Center Construction
Conventional Hyperscale Data Center | Disaggregated Immersion-Cooled Data Center | ||
Stage | Duration | Stage | Duration |
Site Selection & Permitting | 3-6 months | Site Selection & Permitting | 3-6 months |
Building Design | 3-6 months | Tank & Infrastructure Design | 2-4 months |
Building Construction | 12-18 months | Tank Manufacturing & Delivery | 4-8 months |
Infrastructure Installation | 6-12 months | Infrastructure Installation | 2-4 months |
Commissioning | 2-3 months | Commissioning | 1-2 months |
Total: 24 – 45 months | Total: 12 – 24 months |
Significant Reduction in Capital Expenditure
The capital expenditure (CAPEX) for a 100MW data center can be significantly reduced by adopting an outdoor two-phase immersion cooling approach. The elimination of the data center building itself represents the largest single source of potential cost savings, as it avoids the substantial expenses associated with building materials and construction labor.54 The simplified cooling infrastructure, which reduces or eliminates the need for large chiller plants, extensive plumbing networks, and numerous CRAC units, translates to substantial savings on equipment procurement and installation.1 The potential for more direct power connections and the possibility of eliminating rack-level PDUs can also lead to lower electrical infrastructure costs.37 Furthermore, the higher compute density achievable with immersion cooling can reduce the overall land footprint required for a 100MW capacity, potentially lowering land acquisition costs.1
Table 2: Estimated CAPEX Comparison Between Conventional and Disaggregated Immersion-Cooled 100MW Data Centers (Illustrative)
Cost Component | Conventional Hyperscale Data Center (100MW) | Disaggregated Immersion-Cooled Data Center (100MW) |
Land | $10M – $50M | $5M – $25M |
Building Construction | $700M – $1.2B | $0 |
Immersion Tanks & Fluid | $0 | $200M – $400M |
HVAC Systems | $100M – $200M | Simplified Cooling Infra: $30M – $60M |
Electrical Infrastructure | $150M – $300M | Simplified Electrical Infra: $80M – $160M |
Fire Suppression | $10M – $20M | Potentially Lower: $5M – $10M |
Other Infrastructure | $20M – $50M | $10M – $30M |
Total | $990M – $1.820B | $330M – $685M |
Reduced Requirement for Additional Infrastructure
The adoption of outdoor two-phase immersion cooling can also lead to a reduced requirement for certain additional infrastructure components typically found in conventional data centers. The inherent fire safety characteristics of immersion cooling, where servers are submerged in a non-conductive and often fire-suppressing dielectric fluid, can potentially lessen the need for complex and expensive traditional fire suppression systems required for a conventional data center building.8 While localized fire detection and suppression capabilities within the immersion tanks might be necessary 80, the overall facility-level requirements for fire protection could be significantly reduced. Furthermore, deploying the data center outdoors in immersion tanks might allow for bypassing some of the stringent building codes and regulations that are specifically applicable to enclosed data center structures.67 While zoning regulations and environmental permits would still likely apply, the elimination of the building removes a significant layer of regulatory complexity and potential hurdles related to internal climate control, ventilation, and structural integrity of a large enclosed space.
Unprecedented Reduction in Total Cost of Ownership (TCO)
The disaggregated two-phase immersion cooling data center model offers the potential for a maximal reduction in the total cost of ownership (TCO) over the lifecycle of the infrastructure. This is primarily driven by the significant savings achieved in both capital expenditure (CAPEX) and operational expenditure (OPEX). As detailed in the previous section, eliminating the building and simplifying the infrastructure leads to substantial upfront cost reductions. On the operational side, the ultra-low PUE achieved by two-phase immersion cooling (potentially around 1.01-1.02) translates to massive energy savings on cooling, which typically represents a large portion of a data center’s OPEX.6 Reports indicate potential reductions in cooling energy use of up to 90%.8 The near-elimination of water consumption for cooling results in substantial savings on water procurement and treatment costs.7 The reduced need for maintenance on complex HVAC systems and server fans lowers operational expenses.7 Additionally, the extended hardware lifespan due to the stable thermal environment can lower replacement costs over time.7 Furthermore, the potential for capturing and reusing waste heat from the immersion systems could offer additional revenue streams or reduce other energy costs.8
Table 3: Projected TCO Comparison Over 10 Years (Illustrative)
Cost Component | Conventional 100MW Data Center (10 Years) | Immersion-Cooled 100MW Data Center (10 Years) |
CAPEX (Estimated) | $1.4 Billion | $500 Million |
Annual Energy OPEX (Est.) | $50 Million | $30 Million |
Annual Water OPEX (Est.) | $1 Million | $0.1 Million |
Annual Maintenance OPEX (Est.) | $5 Million | $3 Million |
Total TCO (10 Years) | $1.95 Billion | $831 Million |
Advantages for High-Performance GPU Infrastructure
Two-phase immersion cooling is particularly advantageous for high-performance GPU infrastructure, which is increasingly prevalent in demanding applications such as AI and machine learning.12 GPUs generate significantly higher heat densities compared to traditional CPUs, and two-phase immersion cooling provides the superior thermal management required to ensure optimal performance. The direct contact and highly efficient heat transfer of the boiling dielectric fluid enable GPUs to operate within their ideal temperature ranges, preventing thermal throttling and maximizing their computational output, which is crucial for the intensive processing demands of AI and ML workloads.7 The ultra-high server densities achievable with immersion cooling are also ideally suited for deploying large-scale GPU clusters in a more compact footprint, which can be particularly beneficial in space-constrained environments or for reducing latency in distributed computing architectures. In some cases, the enhanced thermal headroom offered by two-phase immersion cooling can even allow for the operation of GPUs at higher clock speeds (overclocking), further boosting performance for specialized applications like high-frequency trading or advanced scientific simulations.24
Environmental and Sustainability Impact
The proposed disaggregated data center model based on outdoor two-phase immersion cooling offers a significantly lower environmental footprint compared to traditional air-cooled data center facilities.8 The drastic reduction in energy consumption for cooling directly translates to lower carbon emissions and a reduced contribution to greenhouse gas accumulation associated with electricity generation.8 The near-elimination of water usage for cooling helps conserve precious freshwater resources, addressing a growing environmental concern in many regions globally.7 Furthermore, the potential for capturing and reusing the waste heat generated by the servers offers an opportunity to improve overall energy efficiency and further minimize the environmental impact of the data center.8 The selection and use of environmentally friendly dielectric fluids with low Global Warming Potential (GWP) and zero Ozone Depletion Potential (ODP) are crucial for ensuring that the cooling system itself does not contribute negatively to environmental degradation.8 By embracing this sustainable cooling technology and deployment model, organizations can align their high-performance computing infrastructure with increasingly stringent environmental regulations and demonstrate a strong commitment to corporate social responsibility and environmental stewardship.
Conclusion
The analysis presented in this white paper demonstrates that the construction of a 100MW data center utilizing exclusively outdoor two-phase evaporative immersion cooling systems offers a compelling and highly advantageous alternative to conventional data center designs. This innovative approach presents the potential for substantial reductions in construction lead times, significant savings in capital expenditure, a considerable simplification of supporting infrastructure, and ultimately, a dramatically lower total cost of ownership over the operational lifespan of the facility. The inherent efficiency of two-phase immersion cooling makes it exceptionally well-suited for managing the high heat densities associated with modern GPU infrastructure, enabling optimal performance for demanding computational workloads in fields like artificial intelligence and machine learning. Moreover, the disaggregated, outdoor immersion-cooled data center model offers significant environmental benefits, including a drastic reduction in energy consumption, near-zero water usage for cooling, and the potential for waste heat recovery, aligning with the growing global emphasis on sustainability. In conclusion, the evidence strongly suggests that a disaggregated 100MW data center built exclusively with outdoor two-phase evaporative immersion cooling systems represents a transformative and highly beneficial approach for meeting the ever-increasing demands of modern, high-performance computing in a cost-effective, rapidly deployable, and environmentally responsible manner.
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