Elia Berteletti

A clear business case is emerging for liquid cooling in data centers. Data center demand, driven by the needs of high-performance computing, data management, cloud computing, and generative AI technologies, among many others, shows no signs of abating. But established air-cooling systems are struggling. We project the global data center cooling market to reach $40 billion to $45 billion by 2030, with liquid cooling accounting for $15 billion to $20 billion of that.

As a collaborative partner, AI is becoming an accelerator of product development, a transformer of product ideation and concept testing, and a force multiplier for engineers and R&D teams. At McKinsey’s second annual R&D Leaders Forum, more than 50 senior executives in innovation, R&D, and engineering convened to explore how AI is reshaping the future of product development and scientific research.

AI isn’t just for efficiency anymore. It can double the pace of R&D to unlock up to half a trillion dollars in value annually. The innovation challenge: Good ideas are harder to find Innovation has been the driver of the extraordinary progress from which humankind has benefited for a couple of centuries, but it faces a largely hidden threat: Innovation is becoming harder and more expensive. It’s instructive here to take the long view.