AI Investing Glossary
What is liquid cooling and why does AI need it?
Liquid cooling removes heat from computer chips using coolant instead of air, typically through cold plates mounted directly on processors. AI racks now draw so much power that air cooling cannot remove the heat economically, making liquid cooling the default in new AI data center builds and a fast-growing supplier market.
Why it matters for AI investors
Cooling has shifted from an afterthought to a gating requirement: thermal capacity determines how many accelerators a building can host. Suppliers of cold plates, coolant distribution units, and chillers collect a rising share of each data center's construction budget, and their orders track AI rack deployments directly.
Tracked stocks in this layer
The largest names in the Cooling & Thermal category, ranked by market cap:
Market data as of the close on . Prices are end of day, not live.
Related reading
- What are AI infrastructure stocks? The 12 layers, explained · AI infrastructure stocks are the companies paid to build AI compute: chips, memory, networking, data centers, cooling and power. The 12 layers and the catch.
Frequently asked questions
Which companies benefit from the shift to liquid cooling?
The layer spans specialist liquid-cooling makers, large HVAC and chiller manufacturers reorganizing around data centers, and server assemblers integrating cooling at the rack level. Exposure varies widely, since many also serve commercial buildings and industrial markets, which is what the per-stock AI Exposure Scores on this site measure.
Related terms
See how this fits the whole picture in the Start Here guide, or browse the full glossary.