Cloud provider: Data thirst

Context

Your company plans to expand its data center capacity to meet growing global demand. However, most affordable locations rely on fossil-fuel electricity and are in water-stressed regions, risking high carbon and water footprints.

Dilemma

Do you:
A) Choose a low-impact site powered by renewables and with access to sustainable cooling methods—reducing environmental harm but increasing upfront costs and latency for some users.
B) Prioritize low costs and speed by building in cheaper, high-demand areas despite their reliance on fossil energy and strained water resources.

Summary

Data centers are major global consumers of electricity, powering the servers, storage, and cooling systems essential for cloud computing, big data, and digitalization. Their energy demand represents a significant portion of worldwide electricity usage and is rapidly growing. This high consumption translates into a considerable carbon footprint, particularly when reliant on fossil-fuel-based energy grids.

Resources:

• https://www.sciencedirect.com/science/article/pii/S2213138823000693
• https://ajosr.org/wp-content/uploads/journal/published_paper/volume-3/issue-1/ajsr2024_Zrj3RTFV.pdf
• https://iopscience.iop.org/article/10.1088/1748-9326/abfba1
• https://www.statista.com/topics/13055/data-center-power/#topicOverview