As digital transformation accelerates and the demand for cloud services, artificial intelligence (AI), and high-performance computing grows, data center operators are navigating new obstacles to remain competitive and sustainable. Regulations and power are two of the many things data centers in the UK are contending with as they try to manage the growing demands driven by advancements in AI and other technologies.

One of the primary regulatory challenges in London is compliance with environmental and sustainability standards. As part of the UK’s commitment to achieving net-zero carbon emissions by 2050, data centers are under increasing pressure to reduce their carbon footprint. Regulations such as the Climate Change Act and the Streamlined Energy and Carbon Reporting (SECR) framework require operators to report their energy use and carbon emissions. This is driving the adoption of more sustainable practices, including the integration of renewable energy sources and the implementation of energy-efficient technologies.

As the emphasis on sustainability grows, so too does the scrutiny around the natural resources being consumed by data centers. In the last five years, we have seen record-breaking heat across much of Europe. Extreme weather significantly increases the energy required to cool data centers. For traditional air-cooled facilities, this presents challenges beyond mere energy consumption.

Data centers have historically relied on cooling towers and other evaporative techniques due to their high efficiency and large cooling capacity. These methods, however, consume vast amounts of water—a growing concern in regions prone to drought. Public pressure is quickly mounting on data center owners to reduce their water usage. In 2022 Thames Water launched a review of the impact of data centers on London’s water supplies. The last thing the data center industry wants or needs is for public perception to turn against them for consuming too many natural resources.

The same goes for power. While far from being a UK-centric issue, access to reliable and sufficient power is a critical factor in the location and operation of data centers. In London, this challenge is amplified by the city’s aging power grid infrastructure and the ever-increasing demand for electricity. As data centers are particularly power-intensive, the availability of power in certain areas of London can be limited, leading to competition for resources, especially in popular locations such as West London and Slough. In some instances, operators have faced delays of several years before securing the necessary power supply for their facilities. In other instances, data centers get the power they need, but at the expense of local residents.

To mitigate these power challenges, data center operators are increasingly turning to renewable energy sources, such as wind and solar power, to supplement their electricity needs. As commendable as this is, renewable energy still only accounts for approximately 40 percent of total energy used. One of the ways data centers are looking to reduce their overall energy consumption is by turning to liquid cooling.

Liquid cooling is becoming an essential technology for managing the thermal loads associated with AI workloads. Currently, cooling infrastructure alone accounts for approximately 40 percent of a data center’s energy usage. With the AI industry’s projected exponential growth, the International Energy Agency (IEA) anticipates a tenfold increase in energy demand by 2026 compared to 2023. Liquid cooling addresses these challenges by efficiently dissipating heat through the circulation of a dielectric coolant directly over the hottest components. This not only ensures optimal operating temperatures for AI systems but also significantly reduces carbon emissions and overall energy consumption.

Precision Liquid Cooling stands out as an innovative solution within the industry. By combining the benefits of direct-to-chip and tank immersion cooling, Precision Liquid Cooling precisely targets the hottest components first, removing nearly 100 percent of the heat generated across the entire IT stack. This technology can reduce energy usage by up to 40 percent and eliminate water consumption by up to 100 percent, making it a cornerstone of sustainable data center operations.

Data centers in the UK are facing mounting pressure to balance the demands of power, sustainability, and technological advancements, particularly after rapid AI development. Navigating these challenges requires a multifaceted approach, integrating regulatory compliance, innovative cooling technologies, and strategic resource management. As the industry moves forward, the focus on sustainability and efficiency will be crucial in securing the future of data center operations in the UK, ensuring they remain competitive in a rapidly growing and energy-intensive market.