China builds underwater AI data centers at less than half price

China recently launched the world's first underwater data center powered by offshore wind. The cost of the project, off the coast of Shanghai, is less than half that of comparably sized data centers on land. Microsoft pioneered the underwater data center, but abandoned further efforts despite successful testing. Closing scene, Shanghai Resources and links: Interesting Engineering, China activates world’s first offshore wind-powered underwater data center https://interestingengineering.com/innovation/china-offshore-wind-data-center Microsoft confirms Project Natick underwater data center is no more https://www.datacenterdynamics.com/en/news/microsoft-confirms-project-natick-underwater-data-center-is-no-more/ Microsoft waves goodbye to underwater data centers https://www.windowscentral.com/microsoft/microsoft-waves-goodbye-to-underwater-data-centers China puts ‘world’s first’ offshore wind-powered underwater data center into operation https://www.offshore-energy.biz/china-puts-worlds-first-offshore-wind-powered-underwater-data-center-into-operation/ China launches 'world's first' underwater data center powered by offshore wind energy. https://gigazine.net/gsc_news/en/20260519-undersea-data-center-china Microsoft's underwater datacenter thrives in the depths of the Scottish sea https://www.windowscentral.com/microsoft-undersea-datacenter Off the coast of Shanghai's Lingang Special Area, a newly operational platform now hosts the world's first commercial underwater data center https://www.facebook.com/watch/?v=1543813920507409 China deploys 1,400-ton commercial underwater data center https://www.datacenterdynamics.com/en/news/china-deploys-1400-ton-commercial-underwater-data-center/ What Does It Cost to Build a Modern Data Center in 2026? https://www.constructelements.com/post/cost-to-build-modern-data-center-2026 America’s AI Build-Out Hinges on Chinese Electrical Parts https://www.bloomberg.com/news/features/2026-04-01/us-ai-data-center-expansion-relies-on-chinese-electrical-equipment-imports Microsoft's AI Strategy Deconstructed - From Energy to Tokens https://newsletter.semianalysis.com/p/microsofts-ai-strategy-deconstructed Why are communities pushing back against data centers? https://news.harvard.edu/gazette/story/2026/04/why-are-communities-pushing-back-against-data-centers/ New data reveals at least 48 data center projects were blocked or stalled by local opposition in 2025 https://www.thecooldown.com/green-business/data-center-opposition-local-resistance-construction-challenges/ Anti-data center measures gain traction at state, local level https://thehill.com/policy/technology/5843665-data-center-backlash-grows/ EIA: Electricity prices to rise faster than inflation through 2026 https://www.americanexperiment.org/eia-electricity-prices-to-rise-faster-than-inflation-through-2026/ Why is China's electricity so cheap? https://www.youtube.com/watch?v=2FM933MTnPs Trump suspends all large offshore wind farms under construction, threatening thousands of jobs and cheaper energy https://edition.cnn.com/2025/12/22/climate/trump-offshore-wind-suspension-virginia Trump administration cancels $679 million for offshore wind projects https://www.cnbc.com/2025/08/29/trump-administration-cancels-679-million-for-offshore-wind-projects.html Microsoft Pulls Back on Data Centers From Chicago to Jakarta https://www.bloomberg.com/news/articles/2025-04-03/microsoft-pulls-back-on-data-centers-from-chicago-to-jakarta Microsoft's AI Strategy Deconstructed - From Energy to Tokens https://newsletter.semianalysis.com/p/microsofts-ai-strategy-deconstructed