FYI
The reason the Babylonians, and the Egyptians, and we use 360 degrees is this:

355/113 = 3.14159292035
pi `= 3.14159265359

A difference of 8.5x10-6%

Which makes 355/113 close enough to pi. 360 is close to 355 which is why we use 360 degrees for angles and time.

Pumping air is also much worse than pushing water around. Air is a compressible fluid, while water is practically incompressible. Extra energy is wasted at the pressure source (AC), and at the exit, as the air changes volume.

A similar effect from the "canned air" that turns cold when uncompressed. Unless you are pushing that air over your skin while sweating in hot weather, the energy is pure extra waste. You cannot make a can of "compressed water", because it is not compressible.

All IBM is saying is that water is a better heat conductor, and air is an insulator.

http://en.wikipedia.org/wiki/Specific_heat_capacity

Water ; 4 J /cm^3 K
Air ; 0.001 J /cm^3 K

Water/Air = 4000 times more heat transfer.

So, given the choice, you would use water to transfer heat.