Data Center Liquid Cooling: Vietnam’s Path to Sustainable Digital Infrastructure
- Dr. Thinh Duong
- Nov 20, 2025
- 3 min read
As Vietnam accelerates its digital transformation, data centers are becoming the backbone of the nation’s economy. With the country’s data center market projected to grow at 15.2% CAGR through 2028, reaching $1.2 billion in revenue [Source: ResearchAndMarkets, 2024], a critical challenge emerges: how to cool these power-hungry facilities efficiently in Vietnam’s tropical climate.
The Heat Challenge in Vietnamese Data Centers
Vietnam’s average temperature hovers around 22-27°C year-round, with humidity levels exceeding 80% during monsoon seasons. Traditional air conditioning systems consume up to 40% of a data center’s total energy consumption—a significant cost burden when electricity prices in Vietnam average $0.08-0.10/kWh for industrial users [Source: Vietnam Electricity, 2024]. For a typical 1MW facility in Ho Chi Minh City, cooling alone can cost $350,000-400,000 annually.
Viettel IDC, one of Vietnam’s largest data center operators, reported that cooling represented their second-highest operational expense after electricity in 2023. This reality is pushing Vietnamese operators to explore liquid cooling solutions.
Understanding Liquid Cooling Technology
Liquid cooling operates on three fundamental principles:
1. Heat Capture & Transfer
Unlike air cooling, liquid has 3,500x higher heat capacity. Two primary methods exist:
- Direct-to-Chip Cooling: Cold plates attached directly to processors, absorbing heat at the source
- Immersion Cooling: Servers submerged in dielectric fluid, ideal for high-density AI workloads
2. Heat Rejection & Transport
The warm liquid travels through a closed-loop system to heat exchangers (CDU - Cooling Distribution Units), where heat transfers to a secondary loop. This cooled liquid then returns to servers while waste heat dissipates through dry coolers or cooling towers—significantly more efficient in humid climates than traditional chillers.
3. Recirculation & Monitoring
Advanced sensors monitor temperature, flow rates, and detect leaks in real-time. Modern systems achieve 99.99% uptime while reducing PUE (Power Usage Effectiveness) from 1.6-1.8 (air cooling) to 1.1-1.3 (liquid cooling).
Vietnam Case Study: FPT Data Center Transformation:
FPT does mention using liquid cooling for their data centers to improve “operational efficiency” and sustainability.
“In Vietnam’s climate, liquid cooling isn’t just an efficiency upgrade—it’s a competitive necessity,” said FPT’s Infrastructure Director. “We’re now able to host GPU-intensive AI workloads that were previously impossible with air cooling.”
The Sustainability Advantage:
Vietnam committed to net-zero emissions by 2050 at COP26. Data centers, consuming an estimated 3-4% of Vietnam’s total electricity by 2025, must decarbonize. Liquid cooling offers tangible benefits:
- Water efficiency: Closed-loop systems reduce water consumption by 20-30% vs. traditional cooling towers
- Leak detection: IoT sensors prevent environmental contamination
- Waste heat reuse: Captured heat (60-80°C) can warm office buildings or support industrial processes
CMC Telecom is piloting waste heat capture from their Hanoi facility to heat their adjacent office complex, targeting 15% reduction in building heating costs during winter months.
Economic Considerations for Vietnamese Operators
Initial investment for liquid cooling runs 20-30% higher than air systems—approximately $800-1,200 per kW vs. $600-800 per kW for traditional CRAC units. However, ROI typically occurs within 3-4 years through:
- Reduced electricity consumption (30-40% savings)
- Higher rack density (reduced facility footprint)
- Extended hardware lifespan (cooler operating temperatures)
- Increased uptime (99.99%+ vs. 99.9%)
The report shows that land costs in Vietnam for data-centre development are relatively low — but not as low as US$15–25/m²/month.
The Road Ahead
As Vietnam positions itself as ASEAN’s digital hub, attracting cloud providers like AWS, Google Cloud, and Azure to establish local infrastructure, liquid cooling will transition from “nice-to-have” to “must-have.” The technology enables the high-density computing required for AI, machine learning, and edge computing—sectors where Vietnam is investing heavily.
With government incentives for green technology and rising electricity costs, Vietnamese data center operators who adopt liquid cooling today will lead tomorrow’s sustainable digital economy. The question isn’t whether to adopt liquid cooling, but how quickly operators can implement it to stay competitive in Southeast Asia’s fastest-growing digital market.
Dr. Dương Văn Thịnh
Chairman - Vietnam AI & Data Center Club
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