Tech giants defend their data centers' water use
Plus: AI is prompting an energy gold rush
What’s here ⤵️
Amazon and Google defend their water use in data centers
Energy is America’s hottest business
📸 The fountains of Washington DC’s Malcolm X / Meridian Hill park are full of water again! ⛲️
Amazon touts water savings amid data center pushback
Amazon says its data centers use water more efficiently than the industry average and is urging others to improve as scrutiny of data centers intensifies.
Why it matters: Water use has emerged as one of the biggest pressure points in the AI data center buildout, pushing companies like Amazon to publicly defend their efforts.
Driving the news: Amazon revealed Thursday it was 75% of the way toward its 2030 goal — first set in 2022 — to replenish more water into communities with its data centers than it’s consuming.
The tech giant also said its data centers are seven times more water-efficient than the industry average.
Friction point: Roughly 70% of Americans oppose building data centers in their communities, with water use for cooling and other environmental concerns ranking as the top reason, according to Gallup polling released in May.
State of play: Amazon’s announcement — following a similar water-focused push from Google last week — shows how major tech companies are increasingly trying to address public concern over the environmental toll of the AI buildout.
“There is a perception, perhaps, that the data centers are taking more water than people understand,” said Kara Hurst, chief sustainability officer at Amazon, in an interview. “I do think it’s incredibly important that we are transparent.”
Hurst said it should be a “race to the top” with efficient water use across the industry.
Read the full story in Axios.
Google pushes water standards amid data center backlash
Facing mounting scrutiny over data center water consumption, Google on Wednesday released a set of guidelines it says should become the industry standard.
Why it matters: Communities across the U.S. are increasingly pushing back against new data centers, often citing concerns about water use alongside rising power prices, local air pollution and noise.
Google argues that better practices — and more transparency — can help ease those fears.
Driving the news: Google’s framework calls for:
Returning more water to local watersheds than its data centers consume by 2030.
Avoiding water-intensive cooling in more water-stressed regions.
Helping fund local water infrastructure upgrades.
Pursuing alternatives such as reclaimed wastewater.
Disclosing water use annually.
Reality check: None of these commitments are new on their own.
The announcement largely packages together practices Google says it increasingly follows already — while turning them into a formal framework the company hopes others also adopt.
Read the full story in Axios.
AI is turning energy into the hottest business in America
The AI boom is pushing companies across the economy — from tech giants to automakers — deep into the energy business.
Why it matters: The scramble for electricity has become the gold rush beneath the AI boom, creating enormous financial value and enormous risk if demand falls short.
Driving the news: Electricity — long treated as a cheap, abundant commodity — is suddenly emerging as one of the most valuable strategic assets in business.
“Everyone to some extent is either dependent on energy as a core input or they see energy as a huge opportunity,” said Brian Janous, who was Microsoft’s first energy hire 15 years ago and is now co-founder of data center developer Cloverleaf Infrastructure.
The latest: Ford unveiled earlier this month its expansion into energy storage for data centers and other large power users.
It launched a new subsidiary called Ford Energy in response to what it calls “the massive demand for domestic energy storage.”
Follow the money: Investors are increasingly rewarding companies pivoting to — or doubling down on — the power behind the AI boom.
Click here to see highlights and to read the full story.
Malcolm X / Meridian Park fountains are full again!
