The rapid rise of artificial intelligence and cloud computing has driven data center power demands to unprecedented levels. What once required only tens of kilowatts now exceeds 200 kilowatts per rack, and experts predict that number will soar to 600 kilowatts even approaching one megawatt within just a few years. To meet this challenge, Microsoft-backed startup VEIR is introducing a groundbreaking solution: superconducting cables designed specifically for data centers.
According to VEIR CEO Tim Heidel, data center developers are scrambling to design next-generation facilities capable of managing multi-megawatt loads efficiently. Traditional low-voltage copper cables are reaching their physical limits they generate excess heat and consume too much space when delivering high power levels. VEIR’s superconducting technology addresses both issues by dramatically increasing power density while reducing energy loss.
Superconductors are unique materials that can conduct electricity with zero resistance, but they must be cooled to extremely low temperatures. VEIR’s innovation lies in adapting its existing long-distance transmission technology to the compact, high-demand environment of data centers. Each cable is encased in a protective jacket containing liquid nitrogen coolant, maintaining an ultra-cold temperature of –196°C (–321°F) to sustain superconductivity.
The company’s first commercial product a cable system capable of transmitting 3 megawatts of low-voltage electricity will debut in pilot data centers next year. A full-scale commercial rollout is expected by 2027. To validate its technology, VEIR has already constructed a simulated data center near its Massachusetts headquarters, showcasing how its superconducting system integrates with existing infrastructure.
The benefits are impressive. VEIR claims its cables take up 20 times less space than copper and can transmit power five times farther, offering a major breakthrough in power efficiency and facility design. This leap forward is especially critical as hyperscale data centers race to support the exponential computing demands of AI workloads.
Initially focused on utility-scale transmission, VEIR pivoted to data centers after realizing the urgency and speed of innovation within the tech sector. “The AI and data center community is desperate to find solutions today,” Heidel said. “There’s a tremendous amount of competitive pressure to stay ahead.”
With Microsoft’s backing and the growing need for energy-efficient data infrastructure, VEIR’s superconducting cables could become a cornerstone of next-generation data centers, enabling sustainable, high-performance computing at an unprecedented scale.
