Building on its landmark momentum from last year, Shumate Engineering today announced that the US Patent and Trademark Office (USPTO) has awarded a critical functionality patent for its revolutionary Hybrid-Dry/Adiabatic-Cooling (HD/AC) system.

While the patent granted in July 2025 protected the physical design of the technology, this newly issued utility patent protects the core operational functionality of the system. Securing this patent represents a vital second phase in the firm’s long-term intellectual property strategy, ensuring complete protection of both the structural design and the mechanical processes that drive the system’s unprecedented efficiencies.

Co-invented by R. Stephen Spinazzola, PE, Shumate’s Director of Mission Critical Services, and Justin Penrod, PE, Director of Mechanical Engineering, the same design continues to redefine sustainable infrastructure for the data center industry. The system enables operators to reduce water use by 93 percent, cooling power consumption by 50 percent, and total connected power by 15 percent compared to conventional cooling systems.

“Securing the functionality patent is the definitive next step in our IP strategy,” said Daren Shumate, PE, Founder and Managing Principal of the Vienna, Va.-based firm. “It protects the unique, intelligent processes that allow our system to deliver these massive resource savings. As the industry grapples with the power-hungry demands of artificial intelligence and hyperscale computing, we now hold the fully protected blueprint for the future of sustainable cooling.”

How the Functionality Works

The patent functionality relies on a closed-loop system designed to intelligently manage dual-temperature flows:

• 68F water to support traditional air-cooled computer room air conditioner systems
• 90F water routed for direct-to-chip liquid cooling
• Two pipes out, one common return back

At the core of this functional patent is the system’s ability to seamlessly transition between cooling modes. During cooler months, the system utilizes ambient outdoor air in economizer mode. During warmer periods, it activates an intelligent “trim” evaporative functionality. This flexibility allows the system to be optimized for efficiency, without the excessive water use required from traditional, open loop, heat rejection.

“Having the physical design patented was a major win, but protecting the operational logic and functionality is what secures our competitive edge,” said Spinazzola, who now holds eight engineering patents. “This patent protects the actual thermodynamic process of running a single closed loop to service two taps at completely different temperatures.”

“This milestone solidifies our ability to help operators meet aggressive ESG targets, while saving billions in utility costs,” added Penrod. “We are bridging the gap between legacy air-cooled IT infrastructure and high-density direct-liquid cooling, now with a fully protected IP portfolio.”

Shumate Engineering once again credits its intellectual property legal team at Sterne, Kessler, Goldstein & Fox for their strategic guidance in navigating this multi-phased patent process.

Key Benefits of the HD/AC Functionality:

• $1 Billion: As total site power drops 15%, so do utility bills – to the tune of $1 billion for 800 MW AI data centers (based on $7,500/crit. KW from turbines and motors).
• 50% Cooling Energy Reduction: Cuts cooling power consumption in half compared to traditional systems.
• 93% Water Savings: Uses a dry-first cooling method that only relies on evaporative assistance when outdoor temperatures demand it.
• Simultaneous Dual-Temperature Delivery: Seamlessly cools legacy air-cooled systems and modern liquid-cooled racks at the same time.
• Fully Closed-Loop Design: Dramatically reduces the risk of internal contamination and system corrosion.
• Adaptive Real-Time Economization: Shifts operation modes automatically based on real-time ambient outdoor conditions.

The new patent comes as the firm embarks on 16 new data center projects this year in Texas, Missouri and Arizona, totaling 5.7 gigawatts of processing power.

For more information about the HDAC cooling system, or to schedule a consultation, visit www.shumateengineering.com or email [email protected].