The partnership between HD KSOE and Schneider Electric includes joint research and development projects focused on floating data center applications
In sum – what to know:
Floating data centers – HD KSOE and Schneider Electric will jointly develop infrastructure technologies for offshore floating data centers.
Engineering focus – The partnership covers infrastructure technologies, engineering solutions tailored for offshore environments and joint R&D projects.
Alternative model – Floating data centers are attracting interest as a way to address land constraints and reduce server cooling costs.
HD Korea Shipbuilding & Offshore Engineering (HD KSOE) has signed a memorandum of understanding with Schneider Electric to jointly develop infrastructure technologies for floating data centers deployed on offshore platforms.
The shipbuilding unit of HD Hyundai said the agreement brings together its offshore engineering expertise with Schneider Electric’s experience in data center infrastructure to develop technologies tailored for offshore data center deployments.
Under the memorandum of understanding, the two companies will collaborate on infrastructure technologies and engineering solutions optimized for offshore environments. The partnership also includes joint research and development projects focused on floating data center applications.
Floating data centers place servers on offshore floating platforms and are increasingly being explored as an alternative to conventional land-based facilities. The concept aims to help address constraints such as limited land availability while potentially lowering server cooling costs by leveraging the surrounding marine environment.
The companies did not disclose a timeline for commercial deployment or provide financial details related to the agreement.
In China, developers recently brought into operation what they describe as the world’s first offshore wind-powered underwater data center near Shanghai. The facility combines direct connection to an offshore wind farm with seawater cooling to support AI and high-performance computing workloads, with developers claiming lower energy consumption, reduced land use and improved cooling efficiency compared with conventional data centers.
Underwater data centers have been tested previously in pilot projects globally, primarily because seawater can provide natural cooling and potentially lower operational energy requirements. China’s Lingang project combines that concept with direct integration into offshore wind generation infrastructure.
The development also comes as governments and technology companies increasingly focus on locating AI infrastructure near large-scale renewable energy assets to address growing power demand from AI workloads and data centers.
Martina Raveni, senior analyst at GlobalData, previously told RCRTech that the deployment costs of underwater data centers are high as companies need to design, build, and then deploy the infrastructure in the ocean.
“The underwater environment is very challenging because you need specialized maintenance if you need to repair. For example, you need to retrieve the entire module… and of course, it may result in downtime,” Raveni said.
Environmental risks also remain a concern. Raveni noted that temperature fluctuations could damage components, while the ecological impact of ocean-based systems is still under evaluation. “We’re putting data centers in the ocean also because we could use the seawater for cooling, and this might harm the environment… any chemical contamination can be possible.”