ZJK Industrial Stock Soars on NVIDIA Partnership Progress for AI Liquid Cooling Systems

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ZJK Industrial's stock surges following a productive meeting with NVIDIA, leading to a request for liquid cooling manifold samples for AI servers. The collaboration positions ZJK as a key vendor for NVIDIA's next-generation AI cooling systems.

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ZJK Industrial and NVIDIA Strengthen Partnership for AI Cooling Solutions

ZJK Industrial Co., Ltd. (NASDAQ: ZJK), a manufacturer of precision metal parts, has announced significant progress in its collaboration with NVIDIA Corporation (NASDAQ: NVDA), leading to a substantial surge in ZJK's stock price. The development comes after a productive meeting at NVIDIA's Santa Clara headquarters, where ZJK Industrial was tasked with producing samples for an upcoming NVIDIA liquid cooling manifold project 1.

Collaboration Details and Market Response

The partnership positions ZJK Industrial as a key vendor for NVIDIA's liquid cooling systems, which are crucial for the next generation of AI servers. In response to this opportunity, ZJK has assembled a specialized team of engineers and technical support specialists to focus exclusively on meeting NVIDIA's requirements for these advanced cooling systems 2.

The market reacted positively to this news, with ZJK's stock surging by 94.4% to $12.33 following the announcement 2. This dramatic increase reflects investor confidence in the potential of this collaboration and its implications for ZJK's future in the AI cooling systems sector.

Strategic Implications for ZJK Industrial

This partnership represents a strategic pivot in ZJK Industrial's growth plan. By expanding into sub-assembly and assembly manufacturing, the company aims to enhance its technical capabilities and differentiate itself from competitors. Ning Ding, CEO of ZJK Industrial, expressed optimism about the collaboration's potential, stating, "The meeting at NVIDIA's headquarters was encouraging for several reasons. Not only did NVIDIA's team praise ZJK for our efforts on the existing collaboration, but it also resulted in a new request for liquid cooling manifold components" 1.

Broader Industry Context

The collaboration between ZJK Industrial and NVIDIA is part of a larger trend in the AI hardware industry. Recent reports indicate that the resolution of cooling bottlenecks for NVIDIA Blackwell GPUs has prompted the commercialization of liquid-cooled server racks, expected by the first quarter of 2025. Companies like Cooler Master, AVC, Auras, and Delta have emerged as key suppliers for NVIDIA's cooling components, signaling a shift toward liquid cooling in data centers 2.

This trend is further evidenced by other industry developments, such as Super Micro Computer, Inc.'s launch of liquid-cooled AI data centers powered by the NVIDIA GB200 NVL72 platform. Supermicro has also announced plans to commercialize its X14 and H14 liquid-cooled and 10U air-cooled systems, which support the NVIDIA HGX B200 8-GPU system 2.

Future Outlook

The strengthened relationship between ZJK Industrial and NVIDIA, coupled with the broader industry shift towards advanced cooling solutions for AI hardware, positions ZJK for potential growth in the AI cooling systems sector. As data centers increasingly adopt liquid cooling technologies to manage the heat generated by powerful AI processors, companies like ZJK that can provide innovative and efficient cooling solutions are likely to see increased demand for their products and expertise.

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