Latest News- Green AI Infrastructure Market: AI optimized servers is expected to lead the Product segment during 2025-2029

The Green AI Infrastructure Market is being driven by Stringent environmental regulations and growing ESG imperatives

The Green AI Infrastructure Market is expected to grow at a CAGR of 28.4% during 2024 and 2029. During this period, the market is also expected to show a growth of USD 14652.5 million. The global green AI infrastructure market is witnessing a significant transition from traditional air cooling to advanced liquid cooling solutions as the preferred thermal management approach for high-density AI computations. Air cooling, which utilizes computer room air conditioners and handlers to circulate chilled air, was once adequate for managing IT equipment heat. However, the emergence of new-generation AI accelerators, particularly GPUs with Thermal Design Powers (TDP) surpassing 700 watts and nearing 1000 watts per chip, necessitates a more effective cooling solution. The thermal density of modern AI server racks necessitates the inability to dissipate heat efficiently using air alone without excessive energy consumption. Consequently, liquid cooling, which utilizes water or other coolants to absorb and transfer heat, has become the go-to solution for energy-efficient and high-performance AI infrastructure. 

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Which Factors Are Causing a Surge in Market Growth?

The market is segmented based on

• Product
  • AI optimized servers
  • Energy efficient cooling systems
  • High performance storage and memory solutions
  • Renewable energy integration components
• End-user
  • Cloud service providers
  • Enterprises
  • Government
  • Research institutions and AI startups
• Deployment
  • Cloud based
  • Hybrid and edge-computing environments
  • On premises
• Geography
  • North America
    • Canada
    • US
  • APAC
    • China
    • India
    • Japan
    • South Korea
  • Europe
    • Germany
    • UK
    • France
  • South America
    • Brazil
  • Middle East and Africa

According to Technavio, There are several factors that are causing the market to flourish during the forecast period, which are as follows: 

• Stringent environmental regulations and growing ESG imperatives
• Economic imperative of reducing operational expenditures
• Proliferation of energy-efficient AI hardware and cooling technologies

However, the market also witnesses some limitations, which are as follows:

• High initial capital expenditure and system complexity
• Power grid limitations and renewable energy scarcity
• Lack of standardized metrics and risk of greenwashing

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Market Scope in Green AI Infrastructure Market Research Report

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Research Analysis Overview

The Green AI Infrastructure Market encompasses advanced technologies such as smart irrigation systems, AI-powered analytics, and environmental monitoring for data-driven decision-making in agriculture. These innovations include crop health assessment through sensors and satellite data analysis, yield prediction using farm optimization strategies and crop growth modeling, and resource allocation through automation technologies like precision spraying and variable rate technology. Additionally, risk management is enhanced through the use of weather station data and satellite data analysis, leading to sustainable practices like water conservation strategies and energy consumption reduction. Environmental impact and economic benefits are maximized through food waste reduction, supply chain visibility, farm productivity metrics, and waste management solutions.

Market Research Overview

The Green AI Infrastructure Market encompasses businesses specializing in ai-driven farming solutions, precision agriculture, sensor networks, and data analytics platforms. This market falls under the broader IT software industry, which comprises companies developing and producing application and system software, including database management software. According to Technavio, the IT software market size is determined by the consolidated revenue of entities offering various types of IT software, including cloud-based solutions. This market excludes those classified in the interactive home entertainment and systems software sub-industries.. Industries are leveraging the products belonging to the market for customer engagement, transactional notifications, and promotional offers.

Technavio Research
Jesse Maida
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