Information Technology
Microsoft Corp.
Water dependencyHigh
Microsoft Corporation, headquartered in Redmond, Washington, is a U.S.-based technology company that offers software, cloud computing, artificial intelligence, gaming, and business services through platforms including Windows, Microsoft 365, Azure, Xbox, LinkedIn, and Copilot. Due to its extensive data center and cloud infrastructure operations, water use is a major component of Microsoft's ESG performance.
A notable water sustainability achievement for Microsoft is its water reuse partnership in Quincy, Washington. In collaboration with the local municipality, Microsoft established the Quincy Water Reuse Utility to recycle cooling water from data center operations. This initiative reduced the company's potable water use in the region by 97% and supplies 1.5 million cubic meters of water annually for community drinking water needs. The project demonstrates effective reduction of operational freshwater demand while simultaneously increasing local water availability.
In fiscal year 2024 (FY24), Microsoft expanded its water replenishment portfolio by contracting 27 new projects, increasing the total to 76. The total contracted water replenishment volume reached 50,031,857 cubic meters in FY24. These projects encompass wetland restoration, agricultural water demand reduction, land cover restoration, leak repair, rainwater harvesting, water reuse, constructed wetland treatment systems, and floodplain reconnection.
Microsoft enhanced water efficiency across its data centers, achieving an 18% reduction in water intensity compared to the 2022 baseline. In FY24, the company reported an average water usage effectiveness (WUE) of 0.30 liters per kilowatt-hour (L/kWh). Additionally, Microsoft introduced a new artificial intelligence data center design that requires no water for cooling. Based on the FY24 global average WUE, this design can save over 125,000 cubic meters of water annually per data center.
Microsoft reported progress in expanding water access. By FY24, its water access initiatives reached 1,581,273 people. In Malaysia, the company supported the installation of rainwater harvesting systems at 50 schools. These systems employ three-tier filtration to provide safe drinking water for 30,000 individuals and can supply clean water to up to 500 displaced community members during monsoon-related emergencies. In India, Microsoft supported a project that captures and purifies condensate from sugarcane processing, which is estimated to generate 60,000 cubic meters of clean water annually over three years and provide safe drinking water to more than 16,000 people.
3 Key Metrics of Microsoft Corp, FY24
- Total water use / consumption / withdrawal
- 13,266,000 m³ of withdrawal; 8,170,000 m³ of consumption (FY25).
- Water intensity
- 0.30 L/kWh for operational data centers.
- Water-stressed region exposure
- Not reported. Microsoft states that it prioritizes water-stressed locations and critical watersheds, but the report does not provide a percentage or volume of total water withdrawal in water-stressed regions.
Supplemental metrics
- Water replenished
- 14,278,782 cubic meters of replenishment in FY25.
- Water intensity reduction
- 18% reduction in data center water intensity from the 2022 baseline.
- Project-level water savings
- Quincy Water Reuse Utility reduced Microsoft's regional potable water use by 97% and provides 1.5 million cubic meters of water annually for community drinking water needs.
- Data center water savings
- Microsoft's zero-water cooling design can save more than 125,000 cubic meters of water annually per data center.
- Clean water access
- Microsoft's access portfolio reached 1,581,273 people by FY24.
Analysis reference: microsoft-corp