Panasonic Launches Liquid Cooling Systems Business for Generative AI Data Centers in Europe

Panasonic Corporation declared that its liquid cooling system business is shifting to generative AI data centres in Europe. On March 4, 2026, Panasonic started to take orders on two Coolant Distribution Units (CU) models (400kW and 800kW) and two free-cooling chillers (800kW and 1,200kW). The company is even looking to take even bigger capacity CDUs with orders due in March 2026, which have a capacity of 1,200kW and above.

Advancing Cooling Solutions for AI-Driven Data Centers

With the increasing number of data center equipment around the globe, cooling technologies have become a pressing need. The traditional air-cooling systems have been chilled water-based. However, the rise in heat generation of high-performance graphics card processors employed to run generative AI models has forced the industry to resort to more advanced liquid cooling solutions.

Panasonic has developed new CDUs that have improved heat exchange and circulation of coolants. This enables air-cooling and liquid cooling. These characteristics provide higher energy transfer, less power consumption, and less space. The CDUs may be indirectly implemented in colocation data centers and hyperscale.

According to Precedence Research, the Data Center Chillers Market size was calculated at USD 4.80 billion in 2025 and is predicted to increase from USD 5.23 billion in 2026 to approximately USD 11.26 billion by 2035, expanding at a CAGR of 8.90% from 2026 to 2035 due to the high-performance computing and AI workloads, there is increased demand for energy-efficient cooling solutions.

Industry Impact and Outlook

The development of liquid cooling systems by Panasonic in AI-driven data centers is a bigger trend in the industry of applying hybrid and high-efficiency cooling. As the scale of AI workloads increases, data center operators are seeking solutions in the form of liquid cooling to manage the thermal loads and reduce energy consumption. The combination of CDUs, free-cooling chillers, and the traditional air-cooling system strategy of Panasonic puts the company on the frontline to cater to the next generation of data centers that concentrate on the performance, sustainability, and scalability concepts.