For example, if a data center consumes a total of 150 kW of power and the IT equipment consumes 100 kW, the PUE would be:
PUE = 150 kW/100 kW = 1.5.
An ideal PUE is 1.0, meaning every watt entering the building is used directly for computing. Anything above 1.0 represents “overhead” spent on infrastructure like cooling, lighting, and power distribution. Therefore, a PUE of 1.5 means that for every 1.0 kW used by servers, an additional 0.5 kW is used on support systems. Because data centers consume so much energy, CSPs must obtain approval to build them. Authorities have set regulations requiring low PUEs. In a traditional air-cooled data center, cooling typically consumes 30% to 40% of the total facility power. To have a lower PUE, CSPs are switching to liquid cooling.
Air Cooling vs Liquid Cooling
Air cooling uses fans to pass ambient air over components. Because air has a low volumetric heat capacity, this approach is less efficient and often results in PUE values in the 1.4–1.6 range. In contrast, liquid cooling uses fluids with nearly 3,500 times the heat-carrying capacity of air. Capturing heat directly at the chip via cold plates eliminates the need for power-hungry fans and room-scale refrigeration. This improvement in efficiency significantly reduces cooling overhead, allowing for high server density, and driving PUE down to a range of 1.2 or lower, reducing both energy costs and the carbon footprint. While liquid cooling improves PUE, it also introduces new operational and material risks that require robust coolant monitoring.