Global Server Shipment Outlook and Liquid‑Cooling Market Trends in 2023

According to DIGITIMES Research, global server shipments fell 5.7% in Q2 2023, and a modest 1.5% rebound is projected for Q3 as manufacturers and cloud service providers adopt a cautious stance.

Traditional cloud demand remains weak, prompting North American CSPs to redirect part of their budget to high‑cost AI servers that support the rising demand for generative AI, while overall server procurement continues to decline.

TrendForce revised the 2023 global server shipment forecast to 13.835 million units, a 2.85% year‑over‑year decrease, citing reduced orders from major OEMs such as Dell and HPE and the impact of ESG considerations on server lifespan.

TrendForce also notes that AI server shipments are expected to grow over 10% year‑over‑year, though they still represent less than 10% of total shipments, limiting their ability to offset the overall market weakness.

IDC’s semi‑annual report on China’s liquid‑cooling server market shows the sector reached $1.01 billion in 2022, a 189.9% YoY increase, and projects a 56.6% CAGR through 2027, reaching $9.5 billion.

Key Chinese players such as Inspur, Chuangjufeng, and Ningchang dominate roughly 70% of the market, with telecom, internet, government, and education sectors accounting for over 80% of liquid‑cooling server purchases.

The report highlights that rising CPU and accelerator power consumption makes liquid‑cooling essential for improving data‑center density, reducing costs, and meeting PUE targets.

Several white‑papers and technical collections on liquid‑cooling technologies, immersion cooling, and AI‑focused cooling solutions are listed for further reading.