Israeli AI cooling startup ZutaCore raises $100 million Series C at estimated $600 million valuation - CTech

2026-06-02 · Source: Series A" OR "Series B" OR "Series C" AI startup via Google News · Field: Technology & Digital — Artificial Intelligence & Machine Learning, Cloud Computing & IT Infrastructure · Depth: Fundamental Awareness, short

Summary

Israeli AI cooling startup ZutaCore secured a \$100 million Series C funding round, led by Mitsubishi Electric, Carrier, and Samsung Electronics, bringing its total funding to approximately \$200 million. The company, valued at an estimated \$600 million, develops advanced direct-to-chip liquid cooling systems for AI processors in data centers. This capital will accelerate global commercialization and meet the rising demand for AI and high-performance computing infrastructure, which sees server rack power consumption increase from 10 kilowatts to over 100 kilowatts. ZutaCore's HyperCool technology uses a two-phase, waterless dielectric liquid to efficiently remove heat, eliminating electrical short risks. The system is deployed at over 75 sites across North America, Europe, and Asia, and the company plans to hire 50 new employees globally, including 40 in its Sderot, Israel development center.

Key takeaway

For Directors of AI/ML or data center operators evaluating infrastructure upgrades, ZutaCore's \$100 million Series C funding validates direct-to-chip liquid cooling as a critical solution for managing the extreme heat of next-generation AI servers. You should investigate two-phase dielectric liquid cooling systems like HyperCool to improve energy efficiency and ensure operational stability in high-density AI deployments, especially as rack power consumption surpasses 100 kilowatts. Consider its potential for waste heat reuse to meet sustainability targets.

Key insights

ZutaCore's HyperCool offers a waterless, two-phase direct-to-chip liquid cooling solution for high-density AI data centers.

Principles

• AI server racks exceed 100 kW, demanding advanced cooling.
• Two-phase dielectric liquid cooling prevents electrical shorts.
• Waste heat reuse supports data center sustainability goals.

Method

HyperCool circulates a proprietary dielectric liquid directly across processors; it boils and transforms into vapor, removing thermal energy via phase-change.

In practice

• Integrate two-phase liquid cooling into advanced AI servers.
• Test cooling performance in 2-megawatt thermal simulation facilities.

Topics

• AI Cooling
• Direct-to-Chip Liquid Cooling
• Data Center Infrastructure
• HyperCool Technology
• Phase-Change Cooling
• High-Performance Computing
• Startup Funding

Best for: Investor, Director of AI/ML, Tech Journalist

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Editorial summary, takeaway, and curation by AIssential. Original article published by Series A" OR "Series B" OR "Series C" AI startup via Google News.