There have been a few prototype data centers that use their waste heat to warm the houses in local towns, but Microsoft’s Data Furnaces take this idea to the next step: instead of building mega data centers that are efficient in terms of scale, Data Furnaces are micro data centers that are housed in the basements of regular homes and offices. These Data Furnaces, which would consist of 40 to 400 CPUs (between 1 and 10 racks), would be ducted directly into the building’s heating system, providing free heat and hot water.

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