China Completes First Phase of World’s First Large-Scale Underwater Data Centre
China has completed the initial construction phase of what it claims is the world’s first large-scale Underwater Data Centre (UDC) in Shanghai’s Lin-gang Special Area. The $226 million project marks a major breakthrough in sustainable computing infrastructure.
Key Takeaways
- China builds world’s first large-scale underwater data centre in Shanghai
- Uses seawater for natural cooling, reducing energy consumption by over 40%
- Powered primarily by offshore wind energy with 24MW capacity
- Project comes as OpenAI warns US about falling behind China in AI energy infrastructure
Revolutionary Cooling Technology
The underwater data centre’s primary innovation is its natural cooling system. Traditional data centres spend up to 50% of their energy on air conditioning, but the UDC submerges servers in seawater, cutting cooling energy demand to less than 10%.
According to Su Yang, general manager of Shanghai Hicloud Technology, this approach dramatically improves energy efficiency. The entire facility runs on offshore wind power with a total capacity of 24 megawatts.
OpenAI’s Warning to US Government
The development comes amid growing concerns about energy demands for artificial intelligence. OpenAI recently submitted an 11-page document to the White House, warning that inadequate energy investment could cede AI leadership to China.
The Microsoft-backed company urged the US to commit to building 100 gigawatts of new energy capacity annually. This warning highlights the stark contrast between both nations’ energy expansion – China added 429 GW last year compared to America’s 51 GW.



