China Launches First Wind-Powered Underwater Data Center

China placed a 24-megawatt underwater data center powered by offshore wind turbines 10 miles off Shanghai in May. The facility is the first of its kind and was built at a cost of about $238 million. It sits on the seabed and draws power from nearby wind turbines while using surrounding seawater for cooling.

Background on data-center growth The data-center industry has expanded rapidly in recent years as companies increase computing capacity for artificial intelligence operations. Most facilities are built on land, but several countries are now testing underwater and floating designs.

Companies in China, South Korea, and Japan are exploring these alternative locations to reduce energy and water use. Traditional data centers require large amounts of electricity for cooling and occupy significant land area. Rising concerns over the environmental impact of conventional facilities have prompted research into new cooling methods and renewable power sources.

The Shanghai project is one example of this shift toward offshore infrastructure.