Tech giants' AI data‑center boom pushes emissions up 25%

Microsoft, Google and Amazon reported that their combined carbon emissions rose by about a fifth in the most recent fiscal year, reaching roughly 119 million metric tonnes of CO₂‑equivalent – roughly half of France’s total emissions. Microsoft’s emissions jumped 25 % to about 20 million tonnes, Google’s rose 18 %, and Amazon’s increased 16 %. The surge is attributed chiefly to the rapid expansion of AI‑driven data‑centre capacity, which consumes more power than a mid‑size city and accelerates construction of new natural‑gas‑fired plants and extensions of existing coal facilities.

The companies cite the AI workload surge as the primary driver, with additional factors including a rise in supply‑chain emissions and the cessation of certain short‑term renewable‑energy certificate purchases. Despite the rise, Microsoft says it has matched its total electricity use with renewable sourcing and aims to become carbon‑negative by 2030, but the current trajectory makes that target increasingly difficult. Analysts note that the boom in AI infrastructure could account for up to 1.3 % of global electricity demand, underscoring a growing tension between tech growth and climate goals.

North‑American data‑centre project pipelines grew 4 % month‑over‑month in June, reflecting continued investment despite the emissions spike. Experts warn that as AI services proliferate, the carbon footprint of cloud providers will increasingly shape the overall environmental impact of other corporations that outsource their digital workloads.