Tuesday, August 25, 2026

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Ulsan’s Groundbreaking Underwater Data Center: How It Plans to Slash Cooling Costs and Boost Efficiency

TechUlsan's Groundbreaking Underwater Data Center: How It Plans to Slash Cooling Costs and Boost Efficiency

Courtesy of News1
Courtesy of News1

A South Korean coastal city has been selected to host an underwater data center project that uses seawater as a cooling agent, securing $30 million in federal funding over five years. The initiative targets a growing challenge in the data center industry — managing the heat generated by AI and big data infrastructure — by submerging servers in coastal waters that maintain an average temperature of 55.9°F.

The project will be developed in partnership with a leading ocean science research institute, with plans to operate at a depth of roughly 66 feet. The team aims to achieve a Power Usage Effectiveness rating of 1.2, a significant improvement over the 1.5 to 1.8 typical of land-based facilities. The design combines advanced pressure vessel technology with a high-efficiency liquid cooling system to reach that target.

Site analysis and basic design work will begin this year, with installation and testing of a performance evaluation facility slated for completion by 2030. Servers and power distribution equipment will use a modular design to ensure scalability for future large-scale deployment. Full-scale commercialization is targeted for 2031.

A consortium of 12 institutions and companies has been assembled to support the project, spanning research, engineering, energy, materials, and telecommunications sectors. Officials described the underwater data center as a solution that addresses both the cooling costs and land scarcity challenges facing traditional data center development.

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