In a significant move within the tech industry, infrastructure specialists have collectively spent over $10 billion on liquid cooling technologies this week, highlighting the growing demand for efficient cooling solutions in data centers. The surge in investment comes as the need for high-performance computing (HPC) infrastructure and artificial intelligence (AI) operations increases.
Eaton, a leader in power management solutions, has announced its intention to acquire the thermal division of Boyd Corporation for approximately $9.5 billion. This acquisition, which is subject to regulatory approval and expected to finalize in the second quarter of 2026, positions Eaton to enhance its offerings in liquid cooling technology designed to meet higher power demands. Notably, the purchase price reflects a staggering 22.5 times Boyd Thermal”s projected earnings for the upcoming year, with sales anticipated to reach $1.7 billion by 2026, predominantly from liquid cooling solutions.
Meanwhile, Vertiv, a digital infrastructure firm, is set to acquire PurgeRite Intermediate LLC for about $1 billion. This company specializes in optimizing cooling systems through mechanical flushing, purging, and filtration services. As the heat density in HPC and AI facilities rises, maintaining clean fluid loops becomes crucial for operational efficiency. “PurgeRite”s specialized services… support high-density computing and AI applications where efficient thermal management is critical to performance and reliability,” stated Vertiv CEO Gio Albertazzi.
The deal with PurgeRite, which may include an additional $250 million contingent on performance metrics in 2026, represents approximately ten times the expected earnings of PurgeRite for that year. These acquisitions follow a trend in the industry, including Schneider Electric“s acquisition of a controlling stake in cooling company Motivair for $850 million last year, with plans for a complete buyout in the future.
According to research by McKinsey & Company, the global investment needed for data centers to keep up with the increasing demand for computing power could reach $6.7 trillion by 2030. While retrofitting existing data centers with liquid cooling may be prohibitively expensive for smaller operations, the rapid expansion of new data centers—projected to be valued at $456.5 billion by 2030—indicates that infrastructure firms are strategically betting on the future of liquid cooling technologies.
