Subsea Servers Meet Green Energy: China’s Bold Leap into Offshore Data Centers

Marine Innovation Meets Digital Infrastructure

In a groundbreaking fusion of renewable energy and digital infrastructure, Chinese technology firm HiCloud has launched an innovative underwater data center demonstration project directly powered by offshore wind turbines. The ambitious initiative represents a significant step toward sustainable computing solutions while addressing the growing energy demands of the digital economy.

Marine Innovation Meets Digital Infrastructure
Strategic Partnerships for Massive Expansion
Proven Technology with Progressive Implementation
Global Context and Competitive Landscape
Environmental and Economic Implications

The demonstration facility, strategically positioned near Shanghai’s Lingang Special Area within the China (Shanghai) Pilot Free Trade Zone, was officially inaugurated this week. While exact specifications remain partially undisclosed, previous reports indicate the initial deployment offers approximately 2.3MW of data center capacity.

Strategic Partnerships for Massive Expansion

The launch event witnessed the signing of a landmark cooperation agreement between HiCloud and several industrial giants, including Shenergy Group, Shanghai Telecom, Shanghai INESA, and CCCC Third Harbor Engineering Company. This consortium has committed to developing a massive 500MW underwater data center facility, though specific locations and construction timelines remain confidential., as detailed analysis

“This marks a significant milestone for the Lingang Special Area in deeply integrating the digital economy, new energy, and the marine economy,” the company stated in its official announcement. “It also represents a major initiative by Shanghai to support national strategies and build a global hub for technological innovation.”

Proven Technology with Progressive Implementation

HiCloud, operating as a division of Highlander, brings substantial underwater data center experience to this venture. The company previously developed what it describes as the world’s first underwater data center modules off Hainan Province’s coast.

The company’s underwater data center journey includes:

2021: Initial experimental deployment near Hainan Island
2023: First commercial underwater data center implementation
February 2025: Additional module added to Hainan cluster with 400 high-performance servers

Global Context and Competitive Landscape

While HiCloud advances its underwater ambitions, the concept of subsea data centers has seen mixed global reception. Microsoft pioneered this approach with its Project Natick, launching the world’s first underwater data center off the U.S. Pacific coast in 2015, followed by a North Sea pilot near Orkney in 2018. However, the technology giant has since discontinued its underwater data center efforts.

The field continues to attract interest from specialized startups, including Subsea Cloud and NetworkOcean, though HiCloud appears positioned to become the first to achieve commercial scale with renewable energy integration.

Environmental and Economic Implications

This initiative addresses multiple challenges facing traditional data centers:

Energy Efficiency: Natural seawater cooling reduces refrigeration energy requirements
Sustainability: Direct connection to offshore wind farms minimizes carbon footprint
Space Optimization: Offshore placement conserves valuable coastal real estate
Economic Integration: Combines digital, energy, and marine economic sectors

The successful implementation of HiCloud’s 500MW vision could establish a new paradigm for sustainable data center design worldwide, particularly for coastal population centers facing similar space and energy constraints.

As digital infrastructure demands continue to escalate alongside climate concerns, HiCloud’s integrated approach represents a compelling model for balancing technological advancement with environmental responsibility. The coming years will reveal whether this ambitious underwater vision can scale to meet its substantial 500MW target while maintaining operational reliability and economic viability.

Strategic Balance Between Energy Needs and International Pressure

Japan will carefully balance its national interest with international coordination when addressing Russian energy imports, Industry Minister Yoji Muto stated on Tuesday, according to Reuters reports. The declaration comes as Western nations, particularly the United States, increase pressure on Asian countries to reduce their reliance on Russian energy resources.