Microsoft is exploring whether high‑temperature superconducting (HTS) cables could help tackle the growing power demands of data centres driven by AI, without expanding the strain on grid infrastructure or local communities.
The company says the technology, which allows electricity to flow with zero resistance when cooled to cryogenic temperatures, could enable smaller, more efficient power distribution systems. That includes compact substations, leaner cabling, and higher-density deployments on existing sites.
“Microsoft is exploring how this technology could make electrical grids stronger and reduce the impact data centres have on nearby communities,” said Alistair Speirs, General Manager of Global Infrastructure Marketing at Microsoft.
Delivering more power in tighter spaces
Conventional copper and aluminium conductors still dominate data centre infrastructure, but Microsoft believes HTS cables could offer meaningful advantages as workloads scale. Because they eliminate resistance, superconducting cables don’t generate heat or voltage drop, and can carry far more power in a fraction of the size.
Inside the facility, this could mean smaller electrical rooms and less restrictive rack layouts. Externally, Microsoft suggests HTS lines could reduce the land take and visual impact of power connections – particularly compared to overhead lines or large substations.
The company has partnered with superconducting cable firm VEIR to test the technology in simulated data centre environments. One such demonstration reportedly showed that HTS cables could deliver the same power with a tenfold reduction in cable weight and size.
“Superconductors are a category-defining technology poised to transform how power is moved across the electricity value chain,” added Tim Heidel, CEO at VEIR, which is backed by Microsoft’s Climate Innovation Fund.
Challenges to overcome
Superconductors have long been studied in sectors such as fusion and MRI machines, but the practical hurdles for wider deployment remain considerable.
HTS cables must be cooled to cryogenic temperatures, typically using liquid nitrogen. That adds cost and complexity to installations. Manufacturing of the rare-earth HTS material, often a barium copper oxide compound, is also still scaling up, with supply chains currently limited.
Even so, Microsoft argues the economics of HTS are improving – particularly as interest grows across fusion research and high-density computing.
Daniel McGahn, CEO of American Superconductor Corporation (AMSC), noted that HTS has already helped reinforce urban grid infrastructure, “Superconductors enabled ComEd to interconnect electrical grid substations in Chicago without disrupting local businesses or communities. Our proprietary solution uniquely increases grid resilience.”
A shift in infrastructure thinking?
While there is no timeline yet for widescale rollout, Microsoft is positioning HTS as part of a wider rethink of power, network and cooling technologies for cloud infrastructure.
“The future data centre will be superconducting – high power, more efficient, more compact,” said Ziad Melhem, professor in practice at Lancaster University and member of the Superconductivity Global Alliance board.
For now, Microsoft’s interest signals that major cloud operators may be prepared to explore more radical solutions to power constraints – especially as generative AI continues to drive up demand and intensify pressure on existing grid infrastructure.
