China’s First Undersea Data Center: A Leap Towards Energy Autonomy
In the race for artificial intelligence (AI), a solid data center infrastructure is paramount, underpinned by a sustainable energy supply. While the United States may dominate the chip industry, China is closing the gap swiftly, fueled by its enormous energy resources. Recently, China showcased its technical prowess by launching the Lingang Subsea Data Center, a groundbreaking facility powered directly by renewable energy sourced from offshore wind turbines.
The Innovation Behind the Lingang Subsea Data Center
Located approximately 10 kilometers off the coast of Shanghai, this underwater facility represents a fusion of two of China’s key strategic objectives: digital sovereignty and carbon neutrality. By situating computing infrastructure beneath the sea and directly connecting it to clean, onsite energy, China addresses a critical challenge: the massive energy needs of AI and Big Data.
Structure and Functionality
The data center is encapsulated in a steel cylinder, receiving energy directly from nearby wind turbines while being cooled by seawater. This innovative approach not only optimizes energy use but also enhances operational efficiency. It is established in watertight, submerged modules linked through two 35 kV submarine cables to the offshore turbines, marking the first operational phase, which boasts a capacity of 2.3 megawatts.
Why This Project Matters
The Lingang Subsea Data Center provides multiple advantages, particularly in densely populated cities like Shanghai:
Refrigeration Efficiency: Utilizing seawater as a constant heat sink drastically reduces the reliance on conventional air conditioning systems, which can consume up to 50% of a data center’s electricity. The center aims to achieve a Power Usage Effectiveness (PUE) of no greater than 1.15, significantly better than the industry average of 1.5.
Water Conservation: Unlike traditional data centers that waste vast amounts of fresh water for cooling, this facility employs a thermal exchange system with the ocean, preserving precious water resources.
Renewable Energy Utilization: Wind energy generation can be variable; however, the data center’s direct link to wind power allows it to absorb surplus energy in real time, effectively minimizing energy waste.
Project Scope and Financials
The Lingang project is poised for significant growth, with a total planned capacity of 24 MW in two phases. The overall investment amounts to 1.6 billion yuan (approximately 200 million euros), with over 95% of the electricity sourced from renewable resources.
Context: Learning from the Past
While HiCloud is not a newcomer in the underwater data sector—having unveiled a prototype off Hainan in 2021—this project draws comparisons with Microsoft’s Natick initiative, which successfully showcased the potential of underwater data centers, achieving a remarkable PUE of 1.07. However, Microsoft ultimately shelved the Natick project due to unresolved cost and maintenance concerns, presenting an essential challenge for the Lingang center.
Future Prospects and Challenges
As governments and corporations strive for climate goals, the Lingang Subsea Data Center is included in the List of Green and Low Carbon Technology Demonstration Projects by China’s National Development and Reform Commission. This marks it as a key player in the future of sustainable technology.
Despite the optimism, several uncertainties remain. The current 2.3 MW capacity is merely a demonstration, not an extensive commercial operation as conventional data centers typically range between 50 to 500 MW. Additionally, issues concerning underwater maintenance and long-term viability need to be addressed, as scalability plans to reach 500 MW are still more of a concept than a concrete timeline.
Conclusion
China’s first undersea data center stands as a testament to the nation’s commitment to sustainable innovation and energy autonomy. As the project progresses, its success could pave the way for a new standard in data center infrastructure, combining efficiency and ecological responsibility in the ever-evolving digital landscape.

