Microsoft, Amazon, and Google reported a significant rise in carbon emissions, reaching a collective total of 119 million metric tonnes of CO₂ equivalent for the financial year ending March 2026. This figure represents nearly a 20% increase compared to the previous year and is approximately a third of France’s total emissions. The surge is largely attributed to the rapid expansion of datacentre infrastructure driven by growing demand for cloud services.
Carbon Emissions Surge Amid Datacentre Expansion
In their recent sustainability reports, Microsoft disclosed a 25% increase in its emissions, reaching 20 million metric tonnes of CO₂e. This escalation is primarily linked to the expansion of its datacentre facilities. Similarly, Google and Amazon reported 18% and 16% increases in emissions, respectively, with Google attributing this to supply chain activities supporting its business growth.
As these companies continue to build datacentres worldwide, they face criticism for their green marketing claims. Cecilia Rikap, an economics professor at University College London, stated, “Claims by Microsoft, Amazon, and Google about their clouds being ecologically friendly and sustainable are a marketing strategy.” This sentiment underscores the growing concern over the environmental impact of the tech industry’s expansion.
Investment in AI Drives Demand for Datacentres
The rise in carbon emissions coincides with a global investment boom in artificial intelligence infrastructure. The tech giants are projected to invest approximately $765 billion in datacentre construction this year alone. The demand is particularly high in regions like Norway and North Tyneside, where new facilities are being established to support AI operations.
