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China is building a wind-powered underwater data center 30 meters below the sea to solve AI’s energy crisis

Anke by Anke
June 21, 2025 at 7:50 AM
in Energy
AI

Credits: DrivingECO

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Artificial Intelligence, more commonly known as AI, has the capability of instilling both fear and excitement in mankind. Originally developed to have machines carry out tasks that would need human intelligence, Artificial Intelligence has now become central to many aspects of our daily lives. Now, China is burying Artificial Intelligence under the sea to prevent a very specific catastrophe.

China is at the forefront with its data centers

Shanghai, China, will soon be home to a wind-powered underwater data center, thanks to a partnership between the Lin-gang special-area administration, Shanghai Lingang Special Area Investment Holding Group, and Shanghai Hicloud Technology. The Lin-gang special area is a pilot free trade zone in China, and plans to benefit from the burgeoning global demand for data centers driven by renewable energy.

The project will integrate renewable energy with computing infrastructure to meet the demands for low-carbon computing solutions. Underwater data centers are trending following Microsoft’s pioneering concept that can be seen off the coast in Scotland. According to Su Yang, general manager of Hicloud, that specific project was behind the inspiration for Hicloud’s work in the sector.

“This fusion of new-quality computing infrastructure and AI-ready scenarios aligns with our goal to strengthen Lingang’s position as a global hub for cross-border data flows, AI computing, and intelligent connectivity.” -Chen Jinshan, head of the administrative committee of Lin-gang Special Area of China (Shanghai) Pilot Free Trade Zone

Preventing AI’s energy catastrophe

Some say you can’t ignore your problems, but what if you bury them deep enough? China might not be burying the world’s problems, but its solutions. The new venture’s project adds to Hicloud’s trial underwater data center built in 2022 in Lingshui, south of the island province of Hainan. The trial underwater center operates 30 meters deep under the sea.

Artificial Intelligence is evolving at a rapid speed and requires a vast amount of energy, more than what can currently be supplied. This can be catastrophic because it can potentially deplete the Earth of its energy supplies, which is why China wants to increase the country’s total computing power by more than 30 percent this year and reach 300 EFLOPS. These plans were already revealed in October 2023 by six government departments.

According to Su, the partnership agreement entails that Hicloud initially invest 1.6 billion yuan (about 228 million U.S. dollars) in a two-phase project, known as the Shanghai Lingang UDC project. This investment will help institute a 24-megawatt (MW) underwater data cluster, combining renewable energy, advanced cooling, and cross-border data capabilities.

Benefits of underwater data centers

The Shanghai Lingang UDC project holds many benefits. Its first phase consists of a 2.3 MW demonstration facility, which has been appointed as a ‘national model for green, low-carbon innovation’ by the National Development and Reform Commission. Its second phase will boost capacity to 24 megawatts with a power usage effectiveness under 1.15, which is the benchmark for energy efficiency. According to Su, more than 90% of the second phase will be from offshore wind farms.

The seawater will act as a natural cooling system for the underwater data center, which will decrease electricity consumption by 22.8 percent. Su indicated that this will be 30-40 percent lower than the total energy usage of land-based equivalents. Another benefit includes addressing the issue of land scarcity by using seawater instead of land.

Other benefits

  • Supports Artificial Intelligence
  • Supports 5G
  • Supports the Industrial Internet of Things (IoT)
  • Supports cross-border e-commerce platforms
  • Explores data cross-border services for sectors, such as international trade, high-end shipping, and e-commerce

As we said, Artificial Intelligence is central to many aspects of our daily lives, and by opting for renewable energy solutions to power it, it will remain with us for a long time. (City detail)

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