Tech giants Google and Microsoft each consumed 24 TWh of electricity during 2023, outpacing the consumption of more than 100 countries, according to a new study.
An analysis by Michael Thomas, shared on X, claims that both Google and Microsoft consumed the same amount of energy as Azerbaijan, whose GDP is estimated at $78.7 billion. Google's revenue in 2023 was $307.4 billion and Microsoft's $211.9 billion.
The massive use of energy highlights the significant environmental impact of these companies, but also serves as a reminder of their enormous scale and the positive impact they could have if they were to lead more sustainable initiatives.
Tech companies consume more than many countries
Iceland, Ghana, the Dominican Republic and Tunisia consumed 19 TWh each, while Jordan consumed 20 TWh, highlighting the immense scale of the two technology companies. Libya (25 TWh) and Slovakia (26 TWh) consumed slightly more energy.
The comparison between entire countries and two individual companies highlights the colossal energy requirements of Big Tech. The consumption also hints at the environmental impact of data centres, which are used to power cloud services such as storage and computing, as well as a new generation of artificial intelligence.
The significant electricity consumption of these companies requires continued discussion of sustainability and renewable energy adoption issues. Both Google and Microsoft have made commitments to be carbon-neutral or zero-carbon by the end of the decade, and investments in cleaner energy and energy matching have already increased significantly.
With a market capitalization of $2.294 trillion and $3.372 trillion respectively, Google and Microsoft are currently the fourth and second most valuable companies in the world. With a scale of operations similar to that of an entire nation, all eyes are on them as the world's economies continue to prevent and reverse environmental damage.
