Mineral requirements of digital technologies : data centres, artificial intelligence and quantum computing

The digital revolution is accelerating the development of artificial intelligence (AI) and quantum computing, whilst also driving a growing demand for data centres. AI and quantum computing have moved rapidly from theoretical concepts to practical tools integrated into society and the economy. Quantum computers apply the principles of quantum physics to store much larger amounts of data, solve problems faster and undertake calculations beyond the capability of classical computers. They are not intended to replace classical computers but to address highly complex problems in a wide range of sectors, including health, manufacturing, and logistics. Artificial intelligence has advanced rapidly in recent years, with systems now able to learn and perform tasks that previously required near-human intelligence. AI is rapidly becoming integrated into everyday life, with applications ranging from content creation to medical diagnosis. As reliance on data and technology grows, demand for digital services is rising rapidly. Data centres, which store, process and manipulate data, are integral to both these data services and the functioning of artificial intelligence.
With demand for AI, quantum computing and data centres growing rapidly, so too does the need for raw materials to manufacture these technologies. The rising complexity of digital technology components is expanding both the range and quantities of materials required. In addition to many of the materials typically used in classical computers, quantum computing components also require such elements as niobium, caesium, hafnium and bismuth. Many materials, such as silicon, carbon, and helium, must meet very high purity or isotopic purity to prevent quantum decoherence. This is the process by which a quantum system loses its quantum properties and therefore its stored information. Demand for these specialised materials will depend on the pace of quantum computing adoption and the technology utilised. Data centres also require raw materials, including high purity silicon, copper, aluminium, rare earth elements, and battery materials, such as lithium and cobalt. Global demand for these materials is expected to rise rapidly as data centre development accelerates. In the UK, data centres are designated as critical national infrastructure, with over 90 new data centres planned by 2030.
This report provides an overview of AI, quantum computing and data centre technologies, as well as their applications and raw material requirements. A full outline of material requirements with specific compounds and quantities where known; reasons for material choice; and technology readiness levels are provided in the report appendices. These technologies are key to future growth and security, having been identified as frontier technologies by the UK Industrial Strategy’s Digital and Technologies Sector Plan and critical technologies by the UK Science and Technology Framework. The future demand for these technologies and the underpinning raw materials requirements is discussed. The report also provides an overview of high purity and isotopically pure materials together with detailed case studies on the global supply chain for tellurium, bismuth, and hafnium, three key elements for digital technologies with concentrated supply chains. The UK supply chain for both raw materials and manufactured components is benchmarked against their global supply chains. A discussion surrounding UK and global supply chain challenges and opportunities is also provided. This report is a summary of existing literature, both scientific research papers and company technological reports, and insights from discussions with key UK stakeholders throughout the data centre and quantum computing supply chains.
Many of the materials required for digital technologies that have been identified in this report are produced as by-products of primary commodities and therefore less responsive to market demand. Alternatively, high-purity or isotopically pure materials may be required. Supply chains for all these materials are concentrated and dominated by a small number of countries, including China, USA, and Russia. Although there are some European facilities that are also producing these materials. As such, the supply chains for these materials, such as lithium, rare earth elements, niobium, high purity silicon, and helium-3, are uncertain and vulnerable with a high risk of supply disruption. Many have therefore been identified as critical raw materials by the UK Government. The manufacture of technologies in many sectors, including aerospace, defence, and low carbon technologies, requires the same or similar suite of elements as quantum computers and data centres. Requirements for these sectors are also expected to grow in the future, which is likely to lead to sector competition.
Supply chains are currently limited in the UK for digital technologies, both in terms of the extraction and refining of raw materials and manufacture of components. Whilst the UK should endeavour to capitalise on opportunities to develop domestic supplies of raw materials and components, the UK cannot become a world leader in all parts of the digital technology value and supply chain. As such, international collaboration and strategic partnerships remain important to ensure future access to components and raw materials. The UK therefore needs to build a portfolio of skills, materials, components, and processes with which to trade in these international partnerships. This report highlights opportunities that are likely to develop as these digital technologies are more widely adopted and demand for materials increases. For example, potential exists for the UK to develop sections of the supply chain aside from the crucial quantum computing components of semiconductors and cryogenics, such as servers and photonics. Demand forecasts for many elements discussed in this report indicates future requirements are likely to outpace supply, therefore opportunities exist in diversification of critical mineral supply chains. The UK has the potential for domestic production of critical minerals, such as lithium, cobalt, and nickel, as well as recovering key by-products, such as caesium and rubidium. Recycling of digital components provides the opportunity to establish a secondary domestic supply where primary extraction is not possible in the UK. The UK therefore has the potential to become a global leader in the digital raw material and component supply chain, if opportunities are seized with sufficient speed and agility.
To ensure that the UK is able to capitalise upon these opportunities and become a global leader for data centre and quantum technologies, this report provides a series of recommendations. The UK should capitalise upon its strong knowledge base and expertise relating to isotopic purification and high-purity materials to develop domestic supply chains. Diversification of these highly concentrated global supply chains would help to meet growing UK demand and reduce global supply risks. Suggested focus areas include methane purification, silicon isotope purification, and recovery of helium-3 from nuclear reactors. The UK should expand upon well-established UK supply chains, such as cryogenics, photonics, and semiconductors, and enable the shift from design to manufacturing. This would reduce reliance on imports whilst developing high value downstream digital industry in the UK. Investment in electronic waste processing facilities and designing components for easier and more efficient recycling would ensure a future secondary domestic supply of a range of materials. The UK should also ensure that talent is retained domestically and strengthen the pipeline of skilled designers, manufacturers, and as mid-skilled roles, such as mechanical engineers and laboratory technicians, relevant to these technologies. This is likely to require measures that enable small and medium enterprises to offer apprenticeships and provide vocational certification.