Veir, a Microsoft-backed startup, is redirecting its superconducting cable technology to address the escalating power requirements and spatial constraints within modern data centers. This strategic pivot shifts the company's focus from long-distance transmission lines to internal data center infrastructure, where facilities are grappling with power loads projected to reach multi-megawatt levels per rack.
Data center power demands have surged from tens of kilowatts to approximately 200 kilowatts per rack in recent years. Tim Heidel, CEO of Veir, indicated that these demands are anticipated to reach 600 kilowatts within the next few years, subsequently increasing to a megawatt. This rapid growth is prompting data center developers to re-evaluate architectural designs to accommodate the unprecedented electrical loads. At these scales, conventional low-voltage copper cables present challenges related to excessive space consumption and heat generation.
To mitigate these issues, Veir has adapted its superconducting electrical cables for deployment within data centers. The company's initial product is designed to carry 3 megawatts of low-voltage electricity. Veir has constructed a simulated data center near its Massachusetts headquarters to demonstrate the technology. According to Heidel, the cables are scheduled for pilot deployment in data centers next year, with a commercial launch anticipated in 2027.
Superconductors are materials known for conducting electricity with zero energy loss, a property contingent on maintaining temperatures well below freezing. While Veir initially concentrated on enhancing capacity for long-distance transmission lines, the company has observed a more rapid adoption curve within the data center sector compared to the utility industry. "The pace at which the data center community is moving, evolving, growing, scaling, and tackling challenges is far higher than the transmission community," Heidel stated.
Veir leverages the same core superconducting technology, adapting it for the low-voltage requirements of data centers. The cables are insulated to contain liquid nitrogen, which maintains the superconducting material at -196˚ C (-321˚ F). Termination boxes are integrated to facilitate the transition from superconducting cables to conventional copper infrastructure. Veir describes itself as a "systems integrator that builds the cooling systems, manufacturers the cables, puts the whole system together in order to deliver an enormous amount of power in a small space," Heidel explained. The company reports that its cables require 20 times less space than copper cables while extending power delivery five times farther. Heidel attributed the accelerated demand from the AI and data center community to intense competitive pressure to remain at the forefront of technological advancement.
