Submer raises $55.5M to expand its sustainable immersion cooling technology globally, targeting key markets like the U.S. and APAC regions. This technology, crucial for energy-efficient data centres driven by AI, reduces energy consumption and water usage, addressing significant environmental challenges.
Barcelona-based tech company Submer has raised $55.5M in a growth round to accelerate the global adoption of its sustainable immersion cooling technology. Led by M&G, the investment comes from its £5 billion Catalyst strategy, a purpose-driven fund targeting environmental and social challenges. Submer, a leader in liquid immersion cooling technology, will use the funds to expand into key markets, including the U.S. and APAC regions, and meet the growing demand for energy-efficient data centres driven by AI and other high-performance computing applications.
Scaling sustainable immersion cooling solutions worldwide
As AI technology continues to expand, so does the demand for powerful data centres. Traditional cooling methods, however, are becoming insufficient, leading to increased energy consumption and water usage. Submer’s sustainable immersion cooling technology eliminates the need for water and significantly reducing energy costs for data centres. In an era when the International Energy Agency reports data centresconsumed 460TWh in 2022—equivalent to almost 2% of global electricity consumption—sustainable alternatives like Submer’s are more crucial than ever.
Cooling the future: greener, scalable solutions for data centres
Founded in 2015, Submer is on a mission to create waterless data centresthat are both energy-efficient and environmentally friendly. Their proprietary immersion cooling technology is designed to handle the increasing power needs of modern AI applications and other digital workloads, while also addressing environmental concerns.
Pol Valls, Founder and CFO of Submer, expressed the company’s excitement about the investment, stating, “We are grateful for the strong interest from investors and are thrilled to partner with the ones who align with our sustainability values. With this strong backing, we are very well positioned to continue to lead the liquid immersion cooling market and meet the growing demands of hyperscale data centres, enabling us to scale faster with our customers, while remaining focused on driving both growth and meaningful impact in our industry.”
The investment round also saw reinvestment from existing backers, including Planet First Partners and Norrsken VC, who continue to support Submer’s vision of a more sustainable datacentre industry.
Investors focused on sustainability
All three key investors share a strong commitment to sustainability and are aligned with Article 9 of the European Union’s Sustainability Financial Disclosure Directive (SFDR), which targets investments in companies that positively impact environmental and social issues. M&G’s Niranjan Sirdeshpande, Global Head of Catalyst Investments, commented, “As the global demand for AI and data capacity accelerates, we see Submer’s technology as a critical solution to alleviate the intensive energy and water requirements of digital infrastructure. We are excited to be supporting the company at this important time as they scale their products and services globally.”
Frédéric de Mévius, Executive Chairman at Planet First Partners, added, “We believe that the sustainability of data centresis of paramount importance for the growth of the global economy. Submer is uniquely positioned to mitigate the digital industry’s challenges for cooling new and more powerful processors, and to mitigate its fast-growing footprint, securing sustainability credentials and social license to operate with strong ROI.”
Driving innovation in data centres
The funds raised in this round will enable Submer to pursue its goal of creating a greener future for data centres. In addition to expanding globally, the company plans to support its clients in building infrastructure that complies with increasingly strict environmental regulations. As the demand for AI and high-performance computing continues to rise, Submer’s immersion cooling solutions are poised to play a critical role in reducing the industry’s environmental impact.
With a focus on innovation, Submer is positioned to transform how data centresoperate, ensuring they are both scalable and sustainable in the long term. The company operates a Gigafactory in Houston, Texas, and has outlined plans for further expansion across key markets.
Submer’s role in a greener digital future
This $55.5M funding round marks the beginning of several key announcements on the horizon for Submer, especially regarding its expansion into the U.S. and APAC markets. As the company continues to grow, it will play a pivotal role in shaping the future of AI factories and data centres by reducing their environmental footprint and driving a greener, more energy-efficient digital infrastructure.
Submer’s cutting-edge technology not only provides an immediate solution for today’s cooling challenges but also aligns with the long-term sustainability goals of the tech industry. With strong backing from sustainability-focused investors, Submer is well-positioned to lead the charge in making the datacentre industry both more efficient and planet-friendly.
The post Sustainable immersion cooling technology secures a cool $55.5M for greener AI factories and datacenters appeared first on Tech Funding News.