Zhi Tong Cai Jing·2025-08-07 00:55Core Viewpoint - The demand for liquid cooling solutions is expected to increase significantly due to the rising power density of AI servers utilizing custom ASIC chips and NVIDIA GPUs, leading to an expansion of market space [1][2]. Group 1: Market Dynamics - Cloud service providers are adopting liquid cooling solutions for ASIC chips, opening up new market opportunities [2]. - Meta is collaborating with Broadcom to develop custom ASIC chips, pushing the thermal design power of AI servers above 180 kW, which will utilize liquid cooling components [2]. - Google has been using liquid cooling solutions since the TPU 3.0, and global cloud service providers are advancing their self-developed ASIC layouts, indicating a significant increase in liquid cooling penetration [2]. Group 2: Future Projections - It is anticipated that the shipment volume of ASIC and NVIDIA GPU chips will see substantial growth by 2026, which will significantly enhance the market space for liquid cooling [2]. - The value of liquid cooling systems is estimated at approximately 8,000 yuan per kW, with the total market space projected to reach around 80 billion yuan if over 10 million ASIC and GPU chips are shipped by 2026 [2]. Group 3: Competitive Landscape - Domestic liquid cooling companies in mainland China are showing strong competitiveness and have significant opportunities for international expansion [3]. - Major players in the North American liquid cooling supply chain are primarily located in the U.S. and Taiwan, while mainland Chinese companies have improved in technology, product quality, and project experience [3]. - If domestic companies capture 30% of the projected 80 billion yuan market space, it could translate to a revenue potential of 24 billion yuan, indicating substantial earnings elasticity for related firms [3]. Group 4: Investment Strategy - The strong demand for liquid cooling driven by the rapid growth of customized ASIC chips from cloud providers is expected to significantly expand the liquid cooling market [5]. - Domestic liquid cooling enterprises have made notable advancements in technology and quality, with some already entering NVIDIA's supply chain, suggesting a promising outlook for international market penetration [5].