Dutch-based Incooling shuts down operations as it rethinks strategy, plans to work with bigger companies

Eindhoven-based Incooling, a Dutch developer of advanced data centre cooling and compute server technology, has announced the closure of its operations in its current form. 

The company, known for developing cooling technology and high-performance servers in partnership with AMD, made the decision following slow industry adoption despite clear market needs.

Founded over seven years ago, Incooling evolved from cooling systems to full server production, achieving performance milestones and gaining industry recognition. However, the team cited a need to reassess its go-to-market approach due to persistent challenges within a legacy-driven industry.

The company will now shift focus toward integrating its technology with major global providers, aiming to expand reach and impact. 

Many team members will be departing as part of this transition. Incooling expressed gratitude for their efforts, stating that their contributions have helped shape the company’s future direction.

From cooling systems to high-performance servers

The growth in global data creation has led to a sharp increase in the number and scale of data centres. Projections indicate these facilities could consume up to 20 per cent of global electricity, contributing a carbon footprint comparable to the combined emissions of the aviation and shipping industries.

In response, Incooling has focused on improving energy efficiency within data centres, where cooling alone can consume more than 40 per cent of operational electricity.

The company has developed a thermal management solution that supports reduced energy use through tailored server design and proprietary cooling systems.

The solution includes custom-built servers capable of running at high clock speeds, supported by thermal systems based on phase change cooling. This approach targets operational reliability and energy standards required by the industry.

Founded through the Eindhoven Start-up Alliance and supported by ASML, Philips, and HightechXL, Incooling was established to develop technologies aligned with regional and global deep tech priorities.