Amazon’s (AMZN) cloud computing arm, Amazon Web Services (AWS), has developed an in-house custom cooling solution for Nvidia’s (NVDA) power-hungry GPUs (Graphics Processing Units). AWS has introduced a new custom infrastructure innovation, called the In-Row Heat Exchanger (IRHX), which cools servers as an alternative to traditional liquid-cooling solutions.
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Commenting on traditional cooling systems, AWS VP of Compute and Machine Learning Services Dave Brown stated, “They would take up too much data center floor space or increase water usage substantially… And while some of these solutions could work for lower volumes at other providers, there simply wouldn’t be enough liquid-cooling capacity to support our scale.”
AWS Innovates to Overcome Cooling Challenges
Notably, AWS initially considered building large data centers to accommodate the large-scale liquid-cooling systems, but that process would have taken a long time. Hence, the AWS team engineered and developed its own cooling system.
Nvidia’s GB200 NVL72 bundles 72 GPUs into a single rack, demanding massive amounts of power. These GPUs are used for training and inferencing large language models. Traditional air-cooling solutions are not capable of cooling these heated servers, and liquid-cooling systems require a significant amount of water.
Built in partnership with Nvidia, the IRHX cooling system combines the benefits of both liquid and air-based components to efficiently cool massive server racks. The system circulates the coolant to the GPU chips using cold plates and removes heat through fan-coil arrays, while maintaining the air-cooled mechanical layout of AWS’ standard racks.
Is AMZN Stock a Buy, Hold, or Sell?
Wall Street remains highly optimistic about Amazon’s long-term stock outlook. On TipRanks, AMZN stock has a Strong Buy consensus rating based on 45 Buys and one Hold rating. Also, the average Amazon price target of $246.60 implies 10.8% upside potential from current levels. Year-to-date, AMZN stock has gained 1.4%.


