There are couple of types machines which are either stand-alone or table-top in offices. They are usually called water cooler which merely cools and provides drinking water. However, another type of machines can not only provide cooled water, but also has the functionality to heat drinking water. I thought it might be called drinking machine, while there is no such phrase in dictionaries.
So what's the name for this type of water cooler?
The term water cooler is still valid (1) (2) (3) if the object still dispenses water at room or chilled temperatures, although you may prefer the somewhat less confusing water dispenser or the more explicit term water cooler/heater.
If the object only heats water, it is more normally called a water boiler.
Although I've never heard the term drinking machine, I would usually associate a drinks machine with a vending machine that dispenses drinks (often for a fee), such as the following:
http://artreflection.co.uk/VendLast/wp-content/gallery/can-machines/mistralb.jpg
I'd go with the term water dispenser. It's the alternative term for a water cooler and it is also used for hot water dispensers.
