TCO Analysis

Unlock Cost Savings and Sustainability with iXora's Advanced Immersion Cooling Solution

Understanding the Total Cost of Ownership (TCO) of iXora’s HRM liquid immersion cooling system is essential for data centers striving to balance operational efficiency with sustainable practices. By highlighting both CAPEX and OPEX savings, iXora’s solution empowers data centers to make informed, economically sound choices that benefit from day one.

Commissioned by iXora, an independent study by Deerns, a global technical consultancy, examined the TCO and Return on Investment (ROI) of iXora’s HRM immersion cooling system in comparison to traditional air-cooled data centers using today’s most efficient available technology.

This comprehensive study considered all aspects of data center construction and operation, covering variables such as land and labor costs across different regions of the world, ensuring that the results are applicable to data centers in virtually any major city. The main report focuses on a case study for a 12 Megawatt, Tier 3+ data center located in Rotterdam, The Netherlands utilizing cooling water temperatures of 30 ⁰C for iXora’s immersion cooling solution.

Key Findings from the Study

System Advantages

The study revealed that iXora’s HRM-4 system provides substantial benefits in terms of energy consumption, density, and efficiency:

Energy Efficiency: iXora’s system consumes 30% less energy than traditional air-cooling methods, resulting in notable operational savings and a smaller carbon footprint.
Higher Density: By enabling 3 times more compute nodes per square meter, iXora’s system maximizes data center space, making it ideal for high-density environments where space efficiency is a priority.
Improved Power Usage Effectiveness (PUE): Improved Power Usage Effectiveness (PUE): With a PUE of 1.1, the datacenter infrastructure is 49% more efficient compared to a state-of-the-art air-cooled datacenter. iXora demonstrates a clear advantage in operational efficiency, significantly reducing both energy consumption and cooling costs.

Financial Advantages – CAPEX Savings

The iXora system yields significant capital expenditure (CAPEX) savings across multiple dimensions:

Civil, Constructional, and Architectural (CSA) Costs: Thanks to increased density and the elimination of chiller requirements, data centers equipped with iXora’s solution can reduce their physical footprint by 50%, leading to a 53% reduction in CSA costs compared to air-cooled facilities.
Land Cost Reductions: Higher density means less land is required, effectively halving land-related expenses—a critical benefit for facilities in high-cost or space-constrained areas.
Mechanical, Electrical, and Plumbing (MEP) Efficiencies: The system involves a higher initial mechanical setup cost, but compensates through a 60% reduction in the cost of electrical components. This efficiency is achieved by lowering peak electricity demands and reducing cabling requirements, and it also cuts generator expenses by eliminating the need for chiller power and cooling fans. This balanced approach to CAPEX makes iXora a cost-effective long-term choice for high-performance data centers.

Overall CAPEX Summary: When total CAPEX costs are assessed, iXora’s immersion cooling system outperforms traditional air-cooling solutions by a margin of 10%, translating to approximately €16 million in savings within the context of this case study.

Operational Cost Reduction – OPEX Savings

The study also highlighted considerable operational expenditure (OPEX) reductions enabled by iXora’s solution:

Electricity Savings: While air-cooled data centers typically require 12,000 kW, iXora’s system only consumes 9,000 kW. This 30% reduction translates into an operational cost saving of €5 million annually.
Water Usage Efficiency: Unlike air-cooled systems, which rely heavily on water, iXora’s immersion cooling solution consumes negligible water. In regions facing water scarcity, this can be a decisive factor. The study demonstrated a 95% reduction in annual water use, with associated costs reduced to €25,000—particularly significant considering that water is nearly cost-free in the Netherlands. With 100% dry coolers, water consumption can even be reduced to zero — a feasible option in many regions due to the ability to cool with higher water temperatures.
Maintenance Savings: By eliminating complex air-conditioning systems, iXora’s system reduces maintenance costs by 20% compared to traditional air-cooled data centers, resulting in simplified upkeep and further operational savings.

OPEX Summary: In total, the OPEX for iXora’s solution is significantly lower than for air-cooled alternatives. In the first year, OPEX costs are reduced by 15%, resulting in a savings of €5.7 million. Over a ten-year period, these savings accumulate to an impressive €67.2 million.

Realistic scenario's, no hero numbers

All reported data is based on realistic scenarios, without relying on ‘hero numbers.’ Further efficiency gains with iXora’s immersion cooling chassis can easily be achieved by using higher cooling water inlet temperatures than those used in the calculations. With optimized rack dimensions, more compact corridors, and higher computer room temperatures, the efficiency will be even higher.

There is a clear distinction between calculated PUE and realistically achievable PUE in data centers, especially when discussing immersion cooling.

Calculated PUE: This figure is often derived from theoretical models or simulations, assuming ideal conditions. It typically includes:

Perfect server load distribution, often at 100% capacity.
No consideration for backup systems or redundancy.
Ignoring seasonal influences or part-load inefficiencies.

Realistically Achievable PUE: This is the PUE observed in practice, factoring in real-world complexities, such as:

Partial load scenarios — servers and infrastructure rarely operate at full capacity.
Redundancy — backup pumps, power supplies, and other infrastructure components that ensure reliability.
Seasonal variations — the efficiency of free cooling fluctuates with ambient temperatures.
Ancillary systems — monitoring equipment, security systems, and lighting all consume energy.
Power losses — energy loss due to cable lengths and electrical resistance within the infrastructure.

It is important to recognize the difference between these two metrics. While calculated PUE highlights the potential of a cooling technology under perfect conditions, the realistic PUE provides a more honest, applicable measure of what data centers can achieve daily. Misleading ‘hero numbers’ — overly optimistic PUEs without context — can distort expectations.

Why Choose iXora for Your Data Center Cooling Needs?

With proven advantages in both energy efficiency and operational cost reduction, iXora offers an optimized cooling solution tailored for modern data centers. Beyond its financial benefits, iXora’s system supports sustainability goals by improving Power, Water, and Carbon Usage Effectiveness (PUE, WUE, and CUE) metrics, and it also offers the potential for waste heat recovery. Its lower peak power requirements, smaller spatial footprint, and shorter power distribution pathways make it an ideal solution for any data center aiming to reduce costs and environmental impact.

In summary, iXora’s HRM liquid immersion cooling solution represents a smart, future-ready choice for data centers seeking efficiency, cost savings, and alignment with sustainable practices.

If you would like to learn more or request a customized calculation for your specific situation, please don’t hesitate to contact us. Our team is ready to help you explore the full potential of iXora’s immersion cooling solution for your data center.