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Tech Giants' Indirect Emissions Surge as AI Expands, UN Report Finds

ByMegha
2025-06-06.1 day ago
Tech Giants' Indirect Emissions Surge as AI Expands, UN Report Finds
A conceptual graphic showing the logos of Amazon, Microsoft, Google, and Meta connected to a data center with a large carbon footprint, illustrating the findings of the UN report on AI's energy consumption.

A new United Nations report reveals that indirect carbon emissions from four major AI-driven tech companies—Amazon, Microsoft, Alphabet (Google), and Meta—rose by an average of 150% from 2020 to 2023. This increase is largely due to the growing energy demands of data centers that support artificial intelligence applications.

Rising Emissions Driven by AI Demands

The report, issued by the International Telecommunication Union (ITU), tracks greenhouse gas emissions from 200 leading digital companies. It found that indirect emissions, which include those generated by purchased electricity, heating, and cooling, spiked significantly due to the rising energy consumption of AI-driven data centers. Amazon saw the largest increase, with its emissions growing by 182%, followed by Microsoft at 155%, Meta at 145%, and Alphabet at 138%.

Also Read: California Carbon Market at Inflection Point Amid Weak Demand & Budget Woes.

Tech Companies' Sustainability Efforts

In response to these findings, the tech giants have outlined their efforts to reduce emissions. Meta, the owner of Facebook and WhatsApp, highlighted its sustainability report, which emphasizes reducing energy, water use, and emissions at data centers. Amazon reiterated its commitment to sustainability, noting investments in carbon-free energy projects, including renewable and nuclear energy. Microsoft, on the other hand, reported doubling its power savings and transitioning to more energy-efficient chip-level liquid cooling designs for its data centers.

Impact of AI Growth on Global Energy Demand

The report also predicts that as AI investment grows, the carbon emissions from top AI systems could reach up to 102.6 million tons of CO2 equivalent per year. The surge in AI’s energy consumption is putting additional pressure on the global electricity supply, with data centers increasing their electricity use at a rate four times faster than overall global electricity demand.

This trend underscores the importance of balancing AI innovation with sustainable energy practices to mitigate its environmental impact.

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