Nvidia claims its new liquid-cooled data center design cuts water use to near zero by running servers hotter, though the company does not disclose the construction cost or address all environmental concerns.

What happened

Nvidia is promoting its Rubin generation reference design, which uses 100 percent liquid cooling and runs AI servers as hot as 113 degrees Fahrenheit (45 degrees Celsius). According to Nvidia's head of sustainability, Josh Parker, this approach reduces water use from roughly 2.6 million gallons per megawatt per year for conventional cooling-tower-based systems to near zero — up to a 100 percent reduction. The company claims that heat is captured directly at the chip and transported through liquid loops at higher temperatures, allowing outdoor dry coolers to reject heat efficiently.

Why it matters

Data centers have faced public criticism over water and energy consumption. By highlighting efficiency gains in its design, Nvidia is addressing one of the industry's major operational concerns. However, the company's claims do not address broader environmental issues, including construction impacts and the power generation requirements of massive facilities. Additionally, Nvidia's blog post does not mention the cost difference between building this style of data center versus one using less efficient air cooling.

What to watch

Nvidia states that 'every cloud provider and data center operator building for Rubin is making the transition,' suggesting adoption by major cloud providers, though the actual cost-benefit tradeoff and long-term environmental impact remain unclear.