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“Tech Giants” Facing Environmental and AI Challenges


Major technology companies are encountering significant challenges in their environmental initiatives due to the rapidly increasing energy demand and the rise in carbon emissions associated with the widespread adoption of artificial intelligence.

Google’s latest environmental reports highlighted a 48% increase in the company’s emissions over the past five years, attributed to AI developments, despite their ambitious sustainability goals.

Other major tech companies like Microsoft and Amazon face similar issues as they try to balance the high energy consumption of AI with their carbon reduction goals.

AI’s high energy needs are a longstanding concern, as AI requires vast amounts of energy not only to run data centers but also to produce and transport chips, servers, and related infrastructure, all of which contribute significantly to carbon emissions.

China, with its growing AI sector and other emerging industries, faces substantial energy consumption challenges. A report released in June by Envision Group, Hoyinn, and the China Academy of Information and Communications Technology predicts that energy consumption for data centers in China will exceed 400 billion kilowatt-hours by 2030.

Without a significant increase in the use of renewable energy, carbon emissions from these centers could exceed 200 million metric tons by the same year.

According to Zhu Wen, a member of the expert committee at the New Energy System Innovation Alliance: “Until clean energy becomes the primary energy source, the widespread deployment of AI will inevitably lead to increased carbon emissions in the short term. It’s a cost that the early adopters of AI technology must be prepared to bear.”

In response, China’s National Development and Reform Commission, along with other agencies, has introduced a special action plan to develop green and low-carbon data centers. The plan includes goals for 2025, such as improving national data center planning, reducing energy efficiency to below 1.5, and achieving a 10% annual increase in renewable energy use.

Energy efficiency is a measure of the total energy used in a data center compared to the energy used for computing equipment.

In recent years, major tech companies in China have proactively adopted green initiatives in computing. For instance, Baidu has increased its renewable electricity purchases and established its own renewable energy facilities.

Alibaba is actively involved in green energy trading, constructing distributed photovoltaic systems, and signing long-term clean energy purchase agreements. Tencent’s distributed energy network project at its Tianjin data center was recently connected to the power grid, marking its fifth renewable energy project, with a total installed capacity of 10.54 megawatts, aiming to improve energy efficiency at the center.

As tech companies face these environmental challenges, achieving a balance between AI’s energy demands and green goals remains a critical issue for the industry’s future sustainability.

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