What Could a 40% Reduction in Data Center Energy Use Mean for the Grid?

Rhea-AI Summary

Chemours highlights the potential impact of two-phase immersion cooling (2-PIC) technology on data center energy efficiency. As data centers' power consumption is projected to increase from 3% to 8% of U.S. power generation by 2030, 2-PIC technology could reduce energy consumption by up to 40%. The company's Opteon™ 2P50 dielectric fluid is designed specifically for this application. Implementation of 2-PIC in U.S. data centers could eliminate up to 21.6 terawatt hours of future capacity, equivalent to powering over 2 million American homes. This innovation addresses the growing cooling demands of next-generation computing chips, which traditional air cooling systems may not meet by 2026.

Positive

• Potential 40% reduction in data center energy consumption through 2-PIC technology
• Development of Opteon™ 2P50 dielectric fluid positions Chemours in growing data center cooling market
• Technology could eliminate 21.6 TWh of future capacity requirements

Negative

• None.

Insights

Technology Research Analyst

The introduction of Opteon™ 2P50 and two-phase immersion cooling (2-PIC) technology represents a significant market opportunity for Chemours in the rapidly growing data center sector. With data center power consumption projected to increase from 3% to 8% of U.S. power generation by 2030, the potential 40% energy reduction through 2-PIC technology could translate to substantial market adoption.

The timing is particularly strategic, as traditional air cooling systems are expected to become insufficient for next-generation chips by 2026. This creates a compelling market need that could drive widespread adoption of Chemours' cooling solution. The potential elimination of 21.6 terawatt hours of future capacity represents a significant value proposition for data center operators facing mounting energy costs and capacity constraints.

NORTHAMPTON, MA / ACCESSWIRE / November 21, 2024 / The Chemours Company
Adopting new technology can deliver energy efficiency gains while meeting AI and data center demands

The ballooning energy demands of artificial intelligence (AI) and data centers are driving big plans to potentially triple nuclear power capacity in the U.S. by 2050. From discussions of restarting a reactor at Three Mile Island to the deployment of small modular reactors, data centers need certainty about how they'll keep pace with data streaming and processing demands at a time when the grid is tapping out.

In the U.S. alone, Goldman Sachs has estimated that data centers, excluding cryptocurrency mining, will increase their power consumption from 3% to 8% of all power generated in the U.S. by 2030. Coupled with this massive growth is a near flatline in data center energy efficiency.

While the potential growth and restart of nuclear may offer a long-term solution to support energy demand, it does not address the root issue and is grabbing global headlines recently. Bloomberg reported that a calculation from RMI found that two-thirds of today's energy supply is wasted. That equates to roughly 5% of global GDP or $4.6 trillion annually.

While strategies to build clean energy capacity are undoubtedly critical to address long-term energy demand, improving energy efficiency may be the low-hanging fruit that can drive meaningful impact now and into the future.

Two-phase immersion cooling - a new type of cooling technology that allows data centers to submerge whole server racks in a high-performance dielectric fluid - represents a huge opportunity to reduce energy consumption as chips run faster and hotter. Broad industry adoption of two-phase immersion cooling (2-PIC) in the U.S. has the potential to eliminate up to 21.6 terawatt hours (TWh) of future capacity according to estimates, the equivalent of powering over 2 million American homes¹.

The potential energy efficiency gains are enormous - up to 40% of the energy data centers use today. Much of that efficiency is created by reducing the energy use associated with traditional data center cooling systems (e.g., air cooling), which, based on publicly available product roadmaps from major chip manufacturers, won't be able to meet the cooling needs of most next-generation, high-performance computing chips by 2026.

Chemours is proud to be at the center of 2-PIC technology as the innovator of Opteon™ 2P50, a new developmental dielectric fluid designed specifically for data center needs. Through the activities and collaborations of our Immersion Cooling Growth Venture team, we're working to expedite the commercialization of this fluid, elevate awareness, and drive the adoption of 2-PIC technologies.

As growing high-power computing and AI demands push the limits of what chips can deliver, 2-PIC can keep pace on the cooling side, establishing it as a technology for today and well into the future. So, while work continues to bring more energy capacity onto the grid, data center operators and hyperscalers can make meaningful progress on decreasing the total energy required through smart, sustainable technology adoption enabled by 2-PIC.

¹Based on data and modeling by Chemours using information from the U.S. Energy Information Administration (EIA); The Green Grid, Liquid Cooling TCO Calculation Tool; assumes 2-PIC provides a 90% improvement over air cooled systems

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Contact Info:
Spokesperson: The Chemours Company
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SOURCE: The Chemours Company

View the original press release on accesswire.com

FAQ

How much energy savings can Chemours' two-phase immersion cooling technology achieve in data centers?

According to the press release, Chemours' two-phase immersion cooling technology can achieve up to 40% reduction in data center energy consumption compared to traditional cooling methods.

What is the potential impact of Chemours (CC) 2-PIC technology on U.S. power grid?

The technology could eliminate up to 21.6 terawatt hours of future capacity requirements, equivalent to powering over 2 million American homes.

What is Chemours' (CC) solution for data center cooling challenges?

Chemours has developed Opteon™ 2P50, a dielectric fluid specifically designed for two-phase immersion cooling in data centers, addressing the cooling needs of next-generation computing chips.