Microsoft's carbon emissions have risen 30% since 2020 due to data center expansion [CNBC]
Goldman Sachs Group, Inc. (The) (GS)
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Source: CNBC
Microsoft's Scope 1 and 2 emissions – those generated by the company's activities and the consumption of electricity or heat it uses – decreased 6.3% in 2023 compared to 2020, according to the report However, its indirect emissions – those that stem from all other activities Microsoft engages in – increased by 30.9% over the same period. The increase in Microsoft's indirect emissions is largely due to the building materials and hardware components – such as semiconductors, servers and racks – used in constructing more data centers. “Our challenges are in part unique to our position as a leading cloud supplier that is expanding its datacenters,” Microsoft said in its annual sustainability report. The tech company said the data center buildout demonstrates the need for greener concrete, steel, fuels and chips. The expansion of data centers poses a challenge to tech companies that have set ambitious timelines to eliminate their carbon footprints. Microsoft aims to become carbon
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