Google, despite its goal of achieving net zero emissions, is pumping out more greenhouse gas than before as it powers data centers needed to support artificial intelligence (AI), the company said.
Google’s emissions have increased 48 percent in the past five years, at odds with a touted goal of becoming carbon neutral, an annual environmental report released on Tuesday showed.
Total greenhouse gas emissions last year were 13 percent higher than they were the prior year, primarily driven by increased data center energy consumption and its supply chain, the report said.
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The increase came even though Google has been ramping up use of solar and wind-generated energy.
“In spite of the progress we’re making, we face significant challenges that we’re actively working through,” Google chief sustainability officer Kate Brandt and senior vice president Benedict Gomes said in the report.
“As we further integrate AI into our products, reducing emissions may be challenging due to increasing energy demands from the greater intensity of AI compute, and the emissions associated with the expected increases in our technical infrastructure investment,” they said.
Google is not alone in facing the challenge of feeding power-hungry AI data centers while trying to curb greenhouse gas emissions.
Microsoft Corp said in a sustainability report that its greenhouse gas emissions last year were up 29 percent from 2020 as it continues “to invest in the infrastructure needed to advance new technologies.”
Microsoft and Google have been front-runners in an AI race since OpenAI released ChatGPT in late 2022. AI has been a theme for the rivals in blockbuster earnings performances quarter after quarter.
Meanwhile, Google and Microsoft have each pledged to be carbon neutral by the end of this decade.
Microsoft has an added goal of being carbon-negative, taking gas out of the air, by 2050.
Amazon.com Inc, also an AI contender with its AWS cloud computing division, has said it is aiming to be carbon neutral by 2040.
"A sustainable future requires systems-level change, strong government policies and new technologies," Google said in its report. "We're committed to collaboration and playing our part, every step of the way."
EARLY TALKS: Measures under consideration include convincing allies to match US curbs, further restricting exports of AI chips or GPUs, and blocking Chinese investments US President Donald Trump’s administration is sketching out tougher versions of US semiconductor curbs and pressuring key allies to escalate their restrictions on China’s chip industry, an early indication the new US president plans to expand efforts that began under former US president Joe Biden to limit Beijing’s technological prowess. Trump officials recently met with their Japanese and Dutch counterparts about restricting Tokyo Electron Ltd and ASML Holding NV engineers from maintaining semiconductor gear in China, people familiar with the matter said. The aim, which was also a priority for Biden, is to see key allies match China curbs the US
The popular Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) arbitrage trade might soon see a change in dynamics that could affect the trading of the US listing versus the local one. And for anyone who wants to monetize the elevated premium, Goldman Sachs Group Inc highlights potential trades. A note from the bank’s sales desk published on Friday said that demand for TSMC’s Taipei-traded stock could rise as Taiwan’s regulator is considering an amendment to local exchange-traded funds’ (ETFs) ownership. The changes, which could come in the first half of this year, could push up the current 30 percent single-stock weight limit
NOT TO WORRY: Some people are concerned funds might continue moving out of the country, but the central bank said financial account outflows are not unusual in Taiwan Taiwan’s outbound investments hit a new high last year due to investments made by contract chipmaker Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) and other major manufacturers to boost global expansion, the central bank said on Thursday. The net increase in outbound investments last year reached a record US$21.05 billion, while the net increase in outbound investments by Taiwanese residents reached a record US$31.98 billion, central bank data showed. Chen Fei-wen (陳斐紋), deputy director of the central bank’s Department of Economic Research, said the increase was largely due to TSMC’s efforts to expand production in the US and Japan. Investments by Vanguard International
‘SACRED MOUNTAIN’: The chipmaker can form joint ventures abroad, except in China, but like other firms, it needs government approval for large investments Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) needs government permission for any overseas joint ventures (JVs), but there are no restrictions on making the most advanced chips overseas other than for China, Minister of Economic Affairs J.W. Kuo (郭智輝) said yesterday. US media have said that TSMC, the world’s largest contract chipmaker and a major supplier to companies such as Apple Inc and Nvidia Corp, has been in talks for a stake in Intel Corp. Neither company has confirmed the talks, but US President Donald Trump has accused Taiwan of taking away the US’ semiconductor business and said he wants the industry back