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ABB invests in OctaiPipe to partner in AI-optimised energy efficiency for data center cooling

December 5, 2025

ABB have made a strategic investment through ABB Motion Ventures in OctaiPipe, the UK-based innovator in AI-driven software for optimising data center cooling systems. The partnership is set to equip data center operators with intelligent tools to achieve substantial energy savings, strengthen operational resilience, and meet the growing demands for sustainability and transparency. The transaction consists of ABB taking a minority stake in OctaiPipe. Financial details of the investment were not disclosed.

Global demand for data center capacity is forecast to grow at an annual rate of between 19 and 22 percent from 2023 to 2030, with cooling alone accounting for up to 40 percent of a typical facility’s electricity consumption. OctaiPipe’s on-premise AI solution enables up to 30 percent energy savings in cooling, with very short payback periods and rapid deployment – without the need for new hardware.

Data centers represented approximately 1.5 percent of the world’s electricity consumption in 2024, with the US accounting for the largest share of this at 45 percent. US data center power consumption is projected to drive nearly half of the growth in electricity demand through 2030.

“Data centers are the engines of the digital economy, but their energy footprint is unsustainable without radical innovation,” said Eric Topham, CEO and co-founder of OctaiPipe. “Think of our federated learning platform as an orchestra conductor, smartly adjusting the performance of the cooling system based on what’s actually needed. In this way, our AI-driven software solution delivers secure, compliant, and actionable optimisation. By joining forces with ABB, we’re not just scaling technology. We’re enabling data center operators to future-proof their infrastructure and thrive in a rapidly evolving market.”

“Energy efficiency is key to ensuring industries can outrun, leaner and cleaner. It’s a must, not a plus,” concluded Ankush Gulati, Energy Efficiency Program Lead, ABB Motion Services. “By integrating OctaiPipe’s cutting-edge AI we are broadening our proven offering with advanced software capabilities, enabling data centers to optimise energy use in their cooling infrastructure. With the US economy predicted to consume more electricity in 2030 for processing data than for manufacturing all energy-intensive goods combined, the opportunity for impact is significant.”

The OctaiPipe solution leverages advanced proprietary AI, including federated AI, multi-agent reinforcement learning, and digital twins to dynamically optimise cooling setpoints, while ensuring safety and regulatory compliance. Its privacy-first, on-premise architecture is designed for data center operators seeking seamless scalability whilst being wary of cloud-hosted solutions.

About ABB

ABB is a global technology leader in electrification and automation, enabling a more sustainable and resource-efficient future. By connecting its engineering and digitalisation expertise, ABB helps industries run at high performance, while becoming more efficient, productive and sustainable so they outperform. The company has over 140 years of history and around 110,000 employees worldwide. ABB’s shares are listed on the SIX Swiss Exchange (ABBN) and Nasdaq Stockholm (ABB). www.abb.com