Microsoft's AI Expansion Raises Carbon Emissions By 30%: Report

Microsoft’s ambitious pledge to remove more carbon than it emits by 2030, finds itself at a crossroads as its pursuit of artificial intelligence (AI) dominance clashes with its sustainability commitments. According to the latest sustainability report released on Wednesday, the tech giant’s total planet-warming impact has grown by approximately 30 per cent since 2020, presenting a significant hurdle in achieving its carbon-negative target.

The Seattle-based company’s expansion in AI technology, while propelling it to the forefront of innovation, has exacerbated its carbon footprint. AI products, notorious for their energy-intensive and data-processing-heavy nature, have led to a surge in demand for data centers, necessitating the use of carbon-intensive materials like cement, steel, and microchips.

Microsoft acknowledged the daunting challenge posed by the intersection of AI expansion and carbon neutrality goals in an interview with Bloomberg. Brad Smith, the company’s president, highlighted the necessity of making AI more environmentally friendly while stressing the potential societal benefits of AI innovation. However, some Microsoft employees have expressed concerns about the company’s involvement in AI projects aimed at enhancing oil extraction, which contradicts its sustainability efforts.

Over 10,000 employees have formed a group advocating for reduced global warming impact, with some choosing to resign in protest. They argue that Microsoft’s work to maximise oil production with its technology undermines its environmental commitments and prolongs reliance on fossil fuels, ultimately contributing to increased emissions.

Despite these internal tensions, Microsoft continues its aggressive expansion in the AI sector, investing billions of dollars in expanding its data centre infrastructure to meet growing demand for AI products. 

(Inputs from Bloomberg)