Khosla-Backed Akash Systems Secures $27M Cooling Servers Deal with NxtGen.

Akash Systems, a leading provider of cooling technology for artificial intelligence (AI), data centers, and space companies, has secured a $27 million contract with NxtGen Datacenter and Cloud Technologies. Under the agreement, Akash will supply its Diamond cooling server technology to NxtGen’s data centers across India.

The collaboration aims to deliver energy-efficient AI computing solutions, utilizing NVIDIA and AMD graphics processing units (GPUs) cooled by Akash’s Diamond technology. The enhanced cooling system will enable NxtGen to offer cost-effective and energy-efficient AI computing services to enterprises of all sizes.

A S Rajgopal, CEO & MD of NxtGen, stated, “We are collaborating with Akash to set an industry benchmark for sustainable AI. By combining Diamond Cooling, waterless liquid cooling, and advanced GPUs, we can double the performance per watt. This will reduce AI compute service costs by over 50%, bringing high-value AI use cases to our customers.”

Felix Ejeckam, CEO and co-founder of Akash Systems, added, “Our Diamond Cooled GPU servers will provide NxtGen with unparalleled performance and reliability, solidifying their leadership in AI and compute solutions.”

Diamond Cooling is an advanced solution for the semiconductor sector that integrates with existing thermal management technologies. Its thermal conductivity is five times higher than copper, making it ideal for managing the heat generated by AI workloads.

Vinod Khosla, founder of Khosla Ventures, emphasized the scalability of Akash’s technology, stating, “This partnership with NxtGen highlights Akash’s ability to accelerate AI workloads by reducing thermal throttling and maximizing compute cycles.”

Akash Systems initially pioneered Diamond Cooling for satellites, operating in environments without air. Now, its servers are engineered to handle intensive AI tasks like machine learning and deep learning, offering significant energy efficiency, performance, and cost savings for AI applications.

NxtGen, based in Bengaluru, operates multiple data centers and provides a range of services, including AI compute, disaster recovery, and managed security. The company is expanding its infrastructure to meet the rising demand for data center services.

HBL