Dominion Diamond's Daikin Applied Acquires DDC Solutions to Enhance Data Center Cooling Solutions
- Daikin Applied is acquiring DDC Solutions to enhance its data center cooling solutions and operational efficiency.
- The acquisition aims to address the rising demand for high-performance data centers with innovative cooling technologies.
- DDC Solutions will become a subsidiary of Daikin, maintaining its leadership team to drive continued innovation.
Daikin Applied Expands Data Center Solutions with Acquisition of DDC Solutions
Daikin Applied announces its definitive agreement to acquire DDC Solutions, a San Diego-based developer specializing in ultra-high-density hybrid cooling cabinets and management software for data centers. This strategic acquisition, set to close by late August 2025, is contingent upon customary closing conditions and regulatory approvals as outlined under the Hart-Scott-Rodino Antitrust Improvements Act of 1976. The move bolsters Daikin Applied's offerings in the rapidly evolving data center market, enabling the company to enhance its cooling solutions portfolio aimed at improving operational efficiency and performance in high-demand environments.
The demand for high-performance data centers continues to surge, and Daikin Applied's Chief Operating Officer, Yu Nishiwaki, highlights that this acquisition positions the company to provide a resilient and scalable cooling platform designed to accommodate current and future chipsets. DDC Solutions’ patented hybrid cooling system integrates both air and liquid cooling methods within data center racks, allowing for significant improvements in operational efficiency while reducing overall infrastructure costs. This innovative approach not only meets the increasing cooling needs of modern data centers but also addresses critical concerns regarding fire safety, water protection, and noise reduction.
Keith Markley, CEO of DDC Solutions, underscores that joining forces with Daikin will facilitate rapid scaling across various geographies, thereby addressing the global demand for advanced data center solutions. As DDC Solutions transitions into a subsidiary of Daikin Applied, the existing leadership team will remain intact, ensuring continuity and leveraging their expertise to drive innovation. The acquisition reflects Daikin Applied's commitment to enhancing its services and solutions in the data center sector, responding effectively to the evolving requirements of businesses reliant on high-performance computing infrastructures.
In addition to the acquisition's strategic implications, the integration of DDC Solutions' infrastructure management software will enable real-time monitoring and automated cooling adjustments, further optimizing performance and reliability in data centers. This development aligns with industry trends toward increased efficiency and sustainability, positioning Daikin Applied as a key player in the competitive landscape of data center solutions.
Lincoln International serves as the exclusive financial advisor for DDC Solutions and its shareholders during this pivotal transaction, ensuring a smooth transition as the companies unite to tackle the growing demands of the global data center market.
