Businesses are slowly waking up to the environmental effects of Gen AI

Racks of servers inside a data center.
(Image credit: Future)

  • Capgemini report find nearly half of execs say rising greenhouse gasses are due to AI
  • Only 12% measure their company’s AI carbon footprint
  • Limited reporting makes it hard to measure

Businesses are becoming increasingly aware of artificial intelligence’s environmental impacts when it comes to the power and natural resources required to operate data centers, new research has found.

A surge in AI interest and usage has put AI data centers in the firing line in recent years – their hunger for large amounts of electricity as well as water for cooling has left critics questioning the effectiveness of the developing technology compared with its environmental cost.

As a result, research from Capgemini revealed nearly half (48%) of the surveyed execs attributed rising greenhouse gas emissions to their generative AI projects.

Businesses know GenAI is bad for the environment

Although companies are increasingly aware of the environmental impacts AI has, quantifying them is more of a challenge. Only 12% of organizations measure their GenAI carbon footprint, and sustainability ranks low when it comes to influencing a company’s decision to pick a model.

There’s also a notable reliance on third-party vendors, which reduces the amount of control companies have on their emissions. More than three in four use pre-trained models, compared with just 4% who build their own.

Some organizations are seeking to use smaller models to reduce their environmental impacts, and others are exploring renewable energy options to further reduce emissions, however the key challenge is that sustainability right now is a low priority for execs – only one in five see it as a key factor.

Model providers also scarcely disclose data regarding their environmental impact, with bundled data sets making it hard to identify certain impacts.

Besides addressing sustainability’s ranking as a decision-making factor, Capgemini says businesses should consider using smaller, task-specific models to lower energy consumption.

Businesses can also improve the sustainability of their infrastructure by choosing efficient hardware and green data centers.

The report also calls for further governance on the ethical and sustainable use of generative AI.

“If we want Gen AI to be a force for sustainable business value, there needs to be a market discussion around data collaboration, drawing up industry-wide standards around how we account for the environmental footprint of AI, so business leaders are equipped to make more informed, responsible business decisions, and mitigate these impacts," noted Capgemini Head of Global Sustainability Services and Corporate Responsibility, Cyril Garcia.

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Craig Hale

With several years’ experience freelancing in tech and automotive circles, Craig’s specific interests lie in technology that is designed to better our lives, including AI and ML, productivity aids, and smart fitness. He is also passionate about cars and the decarbonisation of personal transportation. As an avid bargain-hunter, you can be sure that any deal Craig finds is top value!

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