Xinhua Silk Road - Belt and Road Portal, China's silk road economic belt and 21st Century Maritime Silk Road Website Xinhua Silk Road - Belt and Road Portal, China's silk road economic belt and 21st Century Maritime Silk Road Website
Subscribe CustomBlackClose

Belt & Road Weekly Subscription Form

download_pop

Research ReportCustomBlackClose

The full edition of the report is available at Xinhua Silk Road Database. You can click the “Table of Content” to have a general understanding of it.

Click on the button below to create your account and get immediate access to thousands of articles.

Start a Free Trial

Xinhua Silk Road Database
Industry

World's first power module to slash AI computing energy costs unveiled in east China

June 09, 2026


Abstract : Standing 53 meters long and 41 meters wide, a massive container-like structure has been put into use in the eastern Chinese city of Qingdao, Shandong Province, offering a glimpse into the future of AI infrastructure.

BEIJING, June 9 (Xinhua) -- Standing 53 meters long and 41 meters wide, a massive container-like structure has been put into use in the eastern Chinese city of Qingdao, Shandong Province, offering a glimpse into the future of AI infrastructure.

This modular unit, dubbed the "AI-Power Island," is the world's first prefabricated power supply station designed exclusively for AI data centers, according to reports from the state broadcaster CCTV.

The rapid growth in global demand for AI computing power has made electricity a critical constraint on the industry's continued expansion.

Developed by TGOOD, a power equipment manufacturer in Qingdao, the prefabricated base acts as the "heart" of a data center. By integrating high-voltage transformers and solid-state transformers into a factory-built module, the system can be assembled on-site like building blocks.

This approach slashes construction time by nearly 70 percent to just five months, reduces land footprint by over 30 percent, and cuts civil engineering costs by almost 80 percent.

The module connects directly to the 110kV or 220kV grid and, via internal conversion, delivers multiple 800V DC outputs to power the AI servers.

The station supports direct green energy integration and features an AI-driven coordination platform that matches power supply with computing demand in milliseconds. For computing power centers, every second counts. Even a momentary power interruption can derail high-intensity computing tasks and compromise valuable processing time.

The system also addresses the issue of the soaring energy costs associated with AI. By utilizing renewable energy during peak generation and optimizing power distribution, the system reduces the electricity cost per AI token by about 30 percent, said Zhou Jun, executive president of TGOOD.

The deployment of this infrastructure aligns with a broader push for AI affordability in China. Major tech firms like DeepSeek have recently significantly slashed computing prices, while Chinese telecom operators are rolling out budget-friendly "token subscription packages" for small and medium enterprises.

TGOOD's prefabricated power module has been connected to enterprise self-built data centers, and it is expected to be deployed in national-level data center clusters as well as multiple local-level ones in the second half of this year, according to Zhou.

Scan the QR code and push it to your mobile phone

Keyword: AI infrastructure power module

Write to Us belt & road login close

Do you want to be a contributor to Xinhua Silk Road and tell us your Belt & Road story? Send your articles to [email protected] and share your stories with more people.

Click on the button below to create your account and get im http://img.silkroad.news.cn/templates/silkroad/en2017te access to thousands of articles.

Start a Free Trial

Ask Us A Question belt & road login close

If you have any questions, please enter them in the box below.

Identifying code Reload

Write to Us belt & road login close

Do you want to be a contributor to Xinhua Silk Road and tell us your Belt & Road story? Send your articles to silkroadweekly@xinhua.org and share your stories with more people.

Click on the button below to create your account and get im http://img.silkroad.news.cn/templates/silkroad/en2017te access to thousands of articles.

Start a Free Trial