I think this is more akin to the mineral oil experiments Toms Hardware was doing back in the late 90s or the cooking oil rigs the DKs were doing a few years ago. It's alot different than water but requires a ton of maintenance on the liquid. Perhaps they've solved the problems of coolant going "bad" and evaporating by using a fully closed circuit? Anyways, interesting but not really original idea, and certainly not worth the 6000$ they charge (although I've love to fire up 16.8GHZ of CPU goodness).

And completely non-conductive! Such as distilled water?

Pascal Monett, you're an idiot. Please refrain from posting smug comments in the future.
It's astonishing that with Google, Wikipedia and the like, there are still such imprudent comments.

Fully immersed, yeah. With tubing and a pump and a radiator. For $6000.
If it's just watercooling, I was doing that for CPU-GPU-chipset back in 2002. Cost me around €350 at the time.