RedNote's $2.2 Billion Data Centre: Inside the Inner Mongolia AI Hub and China's 15th Five-Year Plan

The National Development and Reform Commission (NDRC) expects a total of 4 trillion yuan in investment in the national computing network over the 15th Five-Year Plan period, with most of that coming from enterprises—meaning projects like RedNote's are precisely the kind of private-sector buildout the government is encouraging .

The 15th Five-Year Plan: Compute Networks as Strategic Infrastructure

The 15th Five-Year Plan (2026–2030), approved by China's National People's Congress in March 2026, explicitly prioritises making China a global leader in AI through what it describes as "extraordinary measures." The plan includes the directive to "deeply advance the East Data West Computing project and build a multi-level computing power infrastructure system and a national integrated computing power network" .

In a landmark move in April 2026, China's Politburo elevated compute networks (算力网) to the same strategic tier as water and power grids, formally classifying AI infrastructure as national strategic infrastructure .

Why Ulanqab? Inner Mongolia Becomes an AI Hub

Inner Mongolia, with its cheap renewable energy and cool climate, has become a hub for this AI infrastructure push. AI startup DeepSeek is also building a massive AI data centre in the same region, further cementing Ulanqab as a key node in China's national computing network .

The region's abundant wind power provides low-cost electricity, while the cool climate reduces the energy needed for cooling data centres—a major operational expense.

Bottom Line

RedNote's data centre is a single large-scale private project within a much larger, state-orchestrated national buildout under the 15th Five-Year Plan. The plan treats AI computing infrastructure as a strategic asset on par with basic utilities, and it channels hundreds of billions of dollars—much of it from private enterprise—into data centres, especially in energy-rich western regions like Inner Mongolia.