Tiger Global invests $20 million into LiquidStack's Series B

LiquidStack has announced a significant boost to its financial resources with a $20 million Series B extension investment from Tiger Global.

This latest capital injection from the leading investment firm brings the total raised in the Series B funding round to $35 million. The funds will be directed towards expanding manufacturing capabilities, enhancing the company's direct-to-chip and immersion cooling product lines, and broadening commercial and research and development operations.

The global growth in data centre thermal management markets has been driven by increasing power and cooling demands required to support high performance computing (HPC) and artificial intelligence (AI). Research by Dell'Oro Group indicates that data centre liquid cooling is expected to become mainstream in the foreseeable future, with market value expected to escalate to $15 billion over the next five years.

Wahid Nawabi, Chairman of the Board of Directors at LiquidStack, emphasised the importance of AI in driving demand for innovative cooling solutions. "Every industry has its eye on AI, and data centres are now looking to liquid cooling to enable hyperscalers and global enterprises to capitalise on the vast potential of AI technologies," he said. "As a liquid cooling provider that not only offers both hybrid and holistic cooling approaches, but also has a proven track record of deploying these technologies on a very large scale, LiquidStack is well-positioned to be at the leading edge of a new era of data centre infrastructure."

LiquidStack's product portfolio includes advanced and energy-efficient liquid cooling solutions, among them:

• Direct-to-chip cooling: The company's coolant distribution unit (CDU) product line is compatible with advanced computing applications like generative AI and HPC. The CDW-1MW is the inaugural product in this line, offering a cooling capacity of 1,350 kW.
• Single phase immersion cooling: Utilising advanced flow technology, this solution optimises heat transfer and rejection, suitable for both data centre retrofit and modular containers.
• Two phase immersion cooling: A highly advanced cooling technology, this solution is designed to save space and enhance data centre efficiency with superior thermal management and minimal energy consumption.
• Micro data centres: The MicroModular and MacroModular centres provide 250 kW and 1.5 MW of liquid cooling, respectively, in small and full modular containers, ideal for local and regional edge and 5G applications.
• Full lifecycle services: These services include professional installation, proactive maintenance, and continuous support.

All of LiquidStack's products are designed and manufactured at its state-of-the-art facility in Carrollton, Texas. The company is planning to expand its direct-to-chip CDU roadmap to keep pace with the thermal demands of GPU and CPU chips. Investment will also continue in two phase and single phase solutions to support situations where holistic liquid cooling is more suitable than hybrid approaches.

Joe Capes, CEO of LiquidStack, commented on the importance of the new investment. "Liquid cooling has reached a pivotal moment in its trajectory, and the support of Tiger Global is a testament to the unique benefits LiquidStack's technology and approach offers the market," he said. "This new round provides a funding pathway for LiquidStack to fulfil its ambition as a full service liquid cooling provider and continue to offer the highest quality and most reliable liquid cooling products and services to meet customer needs."