In a groundbreaking move toward sustainable technology, China has launched a new underwater data center off the coast of Shanghai that uses the ocean’s natural currents for cooling — eliminating the need for traditional air conditioners. The project, developed by Highlander Digital Technology Co., aims to drastically cut energy consumption while demonstrating how green technology can coexist with large-scale digital infrastructure.
A New Wave of Cooling Innovation
Traditional data centers consume massive amounts of electricity to power air conditioning systems that prevent servers from overheating. On average, cooling systems account for 30–40% of a data center’s total energy use. By moving operations underwater, this facility harnesses cold ocean currents to maintain stable temperatures, reducing the power needed for cooling to nearly one-tenth of typical requirements.
Each underwater module — shaped like a sealed steel capsule — houses rows of high-performance servers. These modules are placed about 35 meters below the sea surface, where the surrounding water naturally absorbs excess heat. The company estimates that the approach can lower carbon emissions by over 40% compared to conventional setups.
According to DatacenterDynamics, the facility’s total capacity will reach 24 megawatts (MW) when fully operational. The first stage, providing 2.3 MW, is expected to go live by late 2025, marking a key milestone in China’s push for greener data infrastructure (Source: DatacenterDynamics, 2025).
Powered by Offshore Wind
One of the most remarkable features of this project is its integration with offshore wind power. Nearly all of the electricity needed to operate the servers and maintain communication links will come from wind turbines stationed nearby. This synergy between ocean energy and digital infrastructure reflects China’s broader renewable energy strategy.
As reported by TechRepublic, the Shanghai underwater data center will be 97% powered by renewable energy, making it one of the most sustainable computing hubs in the world (Source: TechRepublic, 2025).
Challenges of Going Underwater
Building a data center beneath the sea presents several engineering and logistical challenges. The underwater capsules must be completely sealed to protect against corrosion, moisture, and marine pressure. Each unit also contains specialized sensors to monitor humidity, pressure, and power efficiency.
Tom’s Hardware reports that these underwater servers are designed to last up to 25 years, though they will be retrieved and serviced periodically to replace parts and update hardware. The facility’s Power Usage Effectiveness (PUE) — an industry measure of efficiency — is expected to be around 1.15, far better than most land-based centers (Source: Tom’s Hardware, 2025).
Environmental Impact and Concerns
While this innovation promises significant energy savings, environmental scientists are keeping a close eye on potential impacts. According to Scientific American, the localized heating of seawater — even by a few degrees — could disrupt nearby marine ecosystems if not managed carefully. However, tests from smaller pilot projects in Hainan showed minimal temperature rise, indicating that the impact might be manageable with proper design and monitoring (Source: Scientific American, 2025).
To further limit environmental risks, the facility’s heat exchange system releases water at controlled temperatures, preventing sudden spikes that could harm marine life. Environmental sensors installed around the site will continuously measure temperature and chemical composition to ensure compliance with marine protection standards.
A Global Model for Green Computing
Underwater data centers aren’t entirely new — Microsoft’s Project Natick, conducted between 2018 and 2020, successfully demonstrated the viability of sub-sea server modules in Scotland. However, China’s project represents a leap toward commercial-scale deployment rather than experimentation.
Industry experts see the Shanghai installation as part of a global shift toward ocean-based computing infrastructure. With coastal regions offering access to stable temperatures and renewable energy, this model could redefine how the world approaches cloud storage and AI computing demands.
As Orient.tm highlighted, if successful, this initiative could lead to an entire “blue data network” — a chain of submerged data centers powered by offshore renewables across Asia’s coasts (Source: Orient.tm, 2025).
The Future Lies Beneath
The Shanghai underwater data center shows that the path to sustainable technology might not always be above ground. By tapping into the natural cooling power of the sea, China is setting an example for the world — one where advanced computing doesn’t come at the expense of the planet.
As the digital economy expands, solutions like this may become essential for balancing performance with environmental responsibility. If all goes as planned, the deep blue could soon become the new frontier of the internet itself.
