China Achieves Milestone with World's First Operational Offshore Data Center

China has reached a significant technological milestone by bringing the world's first marine data center into full commercial operation. Located off the coast of Shanghai's Lingang Special Area, the facility represents an unprecedented approach to data infrastructure development.

The $226 million venture began operations in June 2025 through a partnership involving the Lingang Special Zone Administrative Committee, Shanghai Lingang Investment Holding Group, and HiCloud Technology. Additional support came from Shenergy Group, Shanghai Telecom, and CCCC Third Harbor Engineering, which contributed operational and technical expertise.

Construction of the underwater facility was completed by October 2025, with full commercial operation commencing following an initial testing phase last week. The data center sits strategically between the first and second phases of the Lingang offshore wind farm, drawing power directly from the wind turbines that surround it.

The installation houses approximately 2,000 servers housed in pressure-resistant marine units, complemented by graphics processor clusters from Chinese manufacturers. This equipment supports artificial intelligence applications, big data analysis, and large language model development.

A distinctive feature of the center is its reliance on seawater as a natural cooling mechanism, replacing conventional air-conditioning systems. The thermal cycle transfers heat between server units and seawater, significantly reducing both energy consumption and freshwater usage.

Performance metrics demonstrate the facility's efficiency advantage. The center achieves a power use efficiency index of approximately 1.15, substantially better than the typical 1.5 rating of conventional data centers. The submarine location contributes to a 22.8% reduction in electricity consumption while eliminating freshwater requirements and reducing land usage by more than 90%.

The project does face inherent challenges, particularly regarding saltwater corrosion, undersea equipment maintenance, and the need for sealed systems with remote monitoring capabilities to maintain uninterrupted operations.

The initiative addresses growing global demand for efficient data center solutions, particularly as artificial intelligence and computing requirements continue expanding. China's successful implementation positions the country as a leader in developing sustainable infrastructure models for the future.