Arup and CFT Unite to Reinvent Data Centre Design Strategy

Cambridge Future Tech (CFT) and global design consultancy Arup have signed a Memorandum of Understanding (MoU) to create the Deep Rack Venture Studio, a new initiative focused on transforming the future of data centre infrastructure.

The studio will develop 16 startups focused on solving the most pressing challenges facing the global data centre industry, including power constraints, cooling efficiency, sustainability and infrastructure scalability.

As compute demand surges, new and existing facilities alike are under strain from energy and water consumption limits, planning restrictions and the rising need for circular design. The Deep Rack Venture Studio aims to address these challenges by applying cutting-edge science to the complex systems underpinning digital infrastructure.

Tackling data centre bottlenecks

The studio, which is expected to begin operations in 2026, will focus on developing startups that deliver practical, scalable and sustainable innovations. Its founders say the venture will directly target system-level inefficiencies in performance, resilience and energy use that continue to limit the growth of AI and hyperscale data centres.

“Without breakthroughs in infrastructure, the expansion of rack-scale compute will hit real-world limits across power, heat and space,” says Steve Raffe, Commercial Director at Cambridge Future Tech.

CFT and Arup each bring complementary expertise to the venture. CFT specialises in identifying scientific breakthroughs within academia and building commercial ventures around them, while Arup has decades of experience designing and delivering large-scale data centres for cloud and colocation providers across the globe. 

Together, they aim to connect radical science with real-world deployment.

From lab to live data centre

“Much of the science we need to solve these problems already exists, but rarely escapes the lab without intervention,” says Steve. “By combining CFT’s model for uncovering and commercialising radical science with Arup’s ability to shape real-world systems, we can create ventures that are ambitious, practical and designed to scale globally.”

Arup’s involvement will ensure that each startup emerging from the studio develops solutions that can operate within the strict parameters of real data centre environments, where uptime, energy use and operational efficiency are mission-critical.

Gareth Williams, Arup’s UKIMEA Technology Leader, says the collaboration represents a practical route to bringing research-based innovation into commercial data centre design.

 “Meeting the soaring demand for digital infrastructure requires tackling power, cooling and carbon challenges head-on,” says Gareth. 

“Through the Deep Rack Venture Studio, Arup will help bring breakthrough science into real-world data centres - solutions that are scalable, sustainable and engineered for deployment from day one.”

The Deep Rack Venture Studio is inviting additional strategic partners to join the collaboration, offering early access to next-generation technologies and a pathway to pilot them within operational facilities.

Scaling scientific innovation

The studio will leverage CFT’s Scientific Venture Creation model, a structured approach to identifying, funding and scaling research-led startups. CFT has previously helped launch ventures such as Literal Labs, which is developing logic-based AI models that are 54 times faster and 52 times more energy efficient than traditional neural networks and Dew Point Systems, an evaporative cooling technology that demonstrated three times greater efficiency than advanced hybrid systems during data centre trials.

Through these models, CFT has shown that scientific discovery can be successfully paired with market needs, helping innovations transition from theoretical research to full-scale commercial deployment.

Arup’s technical and engineering oversight will ensure each Deep Rack venture meets the demands of global operators by focusing on resilience, efficiency and environmental responsibility. The collaboration aims to enable innovations that can be seamlessly integrated into the physical infrastructure of hyperscale, enterprise and edge facilities.

Building the next generation of data centre infrastructure

The Deep Rack Venture Studio arrives at a critical time for the data centre sector. As digital demand continues to grow exponentially, the sector faces mounting challenges around sustainability, power availability and heat management. Many facilities are constrained by limited grid access or outdated mechanical systems, while the pressure to reduce operational emissions and material waste continues to increase.

By fostering collaboration between scientists, engineers and investors, CFT and Arup intend to bridge the gap between laboratory innovation and operational deployment. The studio’s approach focuses on system-wide transformation, addressing both the technical and environmental barriers that currently hinder data centre scalability.

With its combination of academic discovery, commercial development and infrastructure engineering, the Deep Rack Venture Studio is set to play a pivotal role in reshaping how data centres are designed and built for the next decade of compute growth.