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China Claims It Can Do Underwater Data Centers 80% Cheaper Than Microsoft's Deep-Sea Hardware

2026-05-07 28 Dailymotion

China is taking data centers where no data center has gone before — 10 meters underwater, off Shanghai's coast.<br />The goal? Fuel the AI boom. The method? Sink servers. The cost? $233 million.<br />This isn't just a stunt. It's a 24-megawatt facility built by Shanghai HiCloud Technology. It will power AI workloads, autonomous driving, and embodied intelligence — all while sitting on the seabed.<br />Microsoft tried this. Microsoft gave up.<br />Project Natick worked. Underwater servers proved eight times more reliable than land-based ones. But Microsoft walked away in 2024, citing upkeep costs, scaling limits, and regulatory headaches.<br />Now China says: we can do it cheaper. Highlander, the parent company, claims its shallow-water gear cuts costs by 80% compared to deep-sea hardware.<br />Smart move: The facility sits under the Lingang Special Area free-trade zone — a launchpad for AI, 5G, industrial IoT, and cross-border e-commerce. It's also tied to offshore wind farms. Renewable power. Low-carbon computing. State-backed ambition.<br />Microsoft saw the future. China is trying to build it.<br /><br />Underwater servers. Surface-level competition. 🇨🇳💧💻<br />References: www.techinasia.com - www.scientificamerican.com - www.sciencealert.com<br /><br />#China #UnderwaterDataCenter #AI #Shanghai #HiCloud #Highlander #ProjectNatick #Microsoft #RenewableEnergy #OffshoreWind #Lingang #ComputingCapacity #AIWorkloads #AutonomousDriving #IndustrialIoT #GreenComputing #PlanetBrief #SouthChinaMorningPost #TechInnovation #DataCenter

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