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Emissions from the in-house data centers of Google, Microsoft, Meta, and Apple may be 662% higher than what’s reported, largely due to the use of Renewable Energy Certificates. These allow companies to claim carbon reductions without using actual green energy at their sites. With AI’s energy demand skyrocketing, this hidden pollution poses a major climate challenge.

The news this week highlights major global expansions, innovative approaches to sustainability, and the demand for AI-optimized infrastructure. Construction companies, colocation operators, and cloud giants are making moves to address demands.

The data center industry is at a pivotal juncture, driven by a convergence of technological innovation, regulatory changes, and shifting consumer expectations. As we look into 2024 and beyond, one of the most profound transformations is the increasing focus on sustainability and energy efficiency.