MOL, Hitachi to Develop Floating Data Centers from Used Ships

Japan’s Mitsui O.S.K. Lines, Hitachi and Hitachi Systems have signed a memorandum of understanding to develop floating data centers by converting second-hand vessels, aiming to meet growing demand driven by artificial intelligence.

Under the agreement, the companies will conduct feasibility studies, including demand verification, technical specifications and operational procedures, with a view to starting operations from 2027 or later.

The initiative targets Japan as the primary market, alongside Malaysia and the United States, where the Hitachi group already operates land-based data center services.

Demand for data centers has risen rapidly in recent years alongside the expansion of generative AI, increasing pressure on land availability, infrastructure and energy resources. According to MOL, data centers could offer an alternative by eliminating the need for large land areas while reducing construction time and environmental impact.

The concept involves converting existing ships into data centers, allowing deployment in ports or rivers and enabling relocation based on demand.

Mitsui O.S.K. Lines will be responsible for vessel conversion planning, maritime operations, coordination with port authorities and financing structures, while Hitachi and Hitachi Systems will handle data center design, IT infrastructure, operations and customer engagement.

The approach could shorten development timelines to around one year for vessel conversion, compared with longer construction periods for land-based facilities, while enabling the use of seawater or river water for cooling.

MOL noted the floating data centers could also reduce initial investment costs by reusing existing ship systems and hulls, while offering large-scale capacity comparable to major onshore facilities.