Ice Energy, Data Aire Team Up for Data Center Cooling

Ice Energy, the makers of air conditioning units that make ice at night when power is cheap and then use it for cooling on hot afternoons when power is most expensive, is getting into the data center cooling market with data center air conditioning company Data Aire.

The two companies announced their partnership Monday, calling it a safe and cost-effective way for data centers to tackle peak cooling power loads.

That could be a selling point for data center operators that want to earn some extra money by signing on to utility demand response programs. Those programs ask customers to cut down on power use during peak load times, something data centers would likely be loath to do.

Ice Energy has been aiming its air conditioning systems toward commercial clients. Energy efficient AC systems are supported by incentives from California utilities Southern California Edison and Pacific Gas and Electric Co.

Ice Energy raised $33 million in October from investors including Energy Capital Partners, which has pledged to spend up to $150 million to back the company's utility energy storage projects. It raised $25 million in 2007 from Goldman Sachs, Good Energies and Second Avenue Partners and Sail Venture Partners, as well as a $10 million seed round (see Ice Energy Picks Up Cool $33M for Hybrid AC).

Cutting the power used for cooling is a big challenge for data centers, which have been experimenting with various energy efficiency methods, including the simple concept of using cooler outside air to do the trick (see Green Grid: Free Cooling for Data Centers).