Microsoft says its newest AI data centers no longer use water for cooling during normal operations, part of a broader strategy to reduce the environmental footprint of rapidly expanding AI infrastructure.
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As artificial intelligence drives demand for ever-larger computing facilities, data center water consumption continues to rise, alongside electricity use and carbon emissions.
Data center developers are increasingly relying on freshwater resources to meet the cooling needs of their facilities, raising concerns about the impact on surrounding communities. Large-scale data centers can consume as much water as a city with a population of between 10,000 and 50,000 people.
Following recent announcements from Google, Amazon, and Nvidia, Microsoft’s latest sustainability update highlights how companies at the center of the AI boom are attempting to address growing concerns over the environmental impact of expanding data center infrastructure.
Microsoft said its newest AI data center projects use no water for cooling during normal operations. The company said this achievement is part of a broader effort that has improved water efficiency by nearly 90% compared with the early 2000s.
Across its owned data center fleet, Microsoft said it is working toward a 40% improvement in data center water use intensity by 2030. By 2025, the company reported a 25% reduction in water use intensity. During fiscal year 2025, Microsoft also said it reached a significant milestone toward its 2030 water positive commitment, replenishing more water over the course of the year than it withdrew.
Public opposition grows
Microsoft is continuing to improve its cooling technologies and water management practices as public opposition to new data centers intensifies. Nearly 70% of Americans oppose the construction of data centers in their communities, according to a Gallup survey published in May, with concerns about water and electricity consumption cited as the two main reasons.
Global electricity consumption by data centers, estimated at 448 TWh in 2025, could rise to 945 TWh by 2030. Their associated water footprint is estimated at 9.3 trillion liters.
Most of Microsoft’s existing data center fleet still uses some water for cooling. The company said many facilities rely on systems that use outside air and require water only periodically. In Phoenix, for example, some Microsoft data centers use an evaporative cooling system that depends on water only when temperatures exceed about 30°C (86°F), Steve Solomon, Microsoft’s Vice President of Data Center Engineering, told Axios.
