According to a new report from Deloitte, collaboration among various stakeholders in the data center industry is essential to achieve environmental, business, and societal goals. This includes data center operators, electricity providers, local regulators, municipalities, and real estate firms. They should work together to identify the best strategies for co-locating resources, managing cooling and waste, and recycling energy.
The report highlights that smaller organizations might struggle to utilize the data center capacities needed for advanced technologies like generative AI. To address this, they should partner with specialized data center operators and cloud service providers. Such collaborations can help data centers track resource usage effectively and cater to growing demands for colocation services.
As energy consumption in data centers surges, driven by the high power demands of generative AI, many companies are focusing on both energy-efficient technologies and cleaner energy sources to lessen their environmental footprint. Though data centers contribute to only about 2% of global electricity use now, estimates suggest this could rise to around 1,065 terawatt-hours (TWh) by 2030, doubling from current levels.
In the United States, data centers are projected to account for about 6% of total electricity consumption by 2026, indicating the sector’s growing role in the energy landscape. In this rapidly evolving market, the demand for data center capacity is increasing, spurred by efforts to modernize electric grids and address cybersecurity threats. Existing infrastructure often struggles to keep up with these demanding needs, leading to a notable price gap between new and older facilities.
Innovations such as liquid cooling systems could revolutionize how data centers manage energy, offering solutions for more efficient operations. However, these technologies have yet to see widespread adoption. Meanwhile, tech giants like Amazon and Google are leading initiatives to ramp up their renewable energy usage. They dominate corporate renewable energy procurement and have made significant commitments toward carbon-free electricity.
Despite these efforts, obtaining consistent access to carbon-free energy remains difficult, largely due to plans for new natural gas plants that could hinder broader decarbonization efforts. As a response, stakeholders are encouraged to build strategic partnerships to meet the unique energy needs of AI data centers, and to work closely with energy providers to enhance funding for new technologies.
Overall, the findings emphasize the importance of shared efforts in advancing towards cleaner energy solutions while ensuring the demands of data-intensive technologies are met. This call to action reflects the critical intersection of technology, energy, and sustainability in today’s digital landscape.