Hot Racks, Cool Solutions: How Co-Location Providers Are Enabling the AI Explosion
Tony explores the explosive growth in AI-driven data centers and the critical role of advanced cooling technologies in enabling that expansion. The discussion centers on how companies—particularly those in high-performance computing—are navigating intense pressure to scale compute capacity while managing heat, power, and infrastructure constraints.
Meet Matt Roberts, VP Sales, OptiCool
Key topics include:
Surging demand for AI and data center infrastructure, fueled by major players and visible even in high-profile events like recent Super Bowl advertising from leading AI companies.
The shift among enterprises from building in-house data centers to leveraging co-location providers, which offer specialized power, space, interconnectivity, and expertise to accelerate deployment and support business growth.
Why high-performance computing, especially GPU-heavy AI workloads, generates extreme heat output—more compute equals more thermal load—and why traditional cooling methods are increasingly inadequate.
Introduction of OptiCool Technologies' innovative rear door heat exchanger (RDHx) solutions, including their market-leading 120kW unit launched in September 2025, designed specifically for high-density AI and HPC racks.
How rear door heat exchangers function as a non-invasive, bolt-on retrofit: replacing a standard cabinet door with a specialized one that uses two-phase refrigerant cooling to extract heat efficiently, returning near-neutral air to the room without major redesigns or internal rack modifications.
Differentiation from single-phase (water-based) liquid cooling: the two-phase refrigerant approach enables higher capacity, lower energy use for pumping, and easier deployment in existing environments.
Core constraints driving co-location adoption—limited space, power availability, and latency requirements (reducing delays in data transmission)—and how specialized providers address these more effectively than self-built facilities.
Workforce challenges in the data center sector, including shortages of skilled mechanical and electrical talent needed for installation and maintenance; simpler-to-deploy technologies help mitigate labor gaps.
Strategies for rapid scaling in a high-demand market, emphasizing "force multipliers"—trusted channel partners, advisors, and resellers with established relationships—to amplify reach and accelerate decisions rather than relying solely on organic, slow-growth tactics.
The importance of identifying where decisions are made, building channel-first approaches, and anticipating 5x demand to position solutions effectively.
Broader industry needs, such as encouraging more interest in trade and technical careers over traditional college paths to fill skilled roles in cutting-edge facilities.
Geographic trends in data center growth favoring regions with abundant land and affordable power (e.g., Texas, Louisiana, and potentially Midwest areas).
Ongoing exploration of alternative energy sources to ease grid strain, with recognition that innovations like small modular reactors (SMRs) could play a role if regulatory hurdles are addressed.
Recent partnership between OptiCool Technologies and Sabey Data Centers to deliver efficient, high-density cooling solutions across Sabey's portfolio.
The conversation underscores that cooling is no longer a background concern—it's a foundational enabler for AI progress, with innovations like two-phase rear door systems providing practical, scalable paths forward amid unprecedented demand. (And yes, while the grease-on-the-skids metaphor didn't quite stick, the idea of keeping everything running smoothly definitely resonates in this space.)
