New research shows that tech giants Google and Microsoft each consumed 24 TWh of electricity in 2023, exceeding the consumption of more than 100 countries.
Analysis by Michael Thomasshared on X, claims that both Google and Microsoft consumed the same amount of energy as Azerbaijan, which has an estimated GDP of $78.7 billion. Google’s revenue in 2023 was $307.4 billion and Microsoft’s $211.9 billion.
The enormous energy consumption underscores the substantial impact these companies have on the environment. But it also serves as a reminder of their sheer size and the positive impact they could have by leading more sustainable initiatives.
Tech companies consume more than many countries
Iceland, Ghana, the Dominican Republic and Tunisia each consumed 19 TWh, while Jordan consumed 20 TWh, highlighting the immense size of the two tech companies. Libya (25 TWh) and Slovakia (26 TWh) consumed slightly more power.
The comparison between entire countries and two individual companies highlights Big Tech’s colossal energy needs. The consumption also points to the environmental impact of data centers, which are used to power cloud services including storage and computing, and a new generation of artificial intelligence.
The significant electricity consumption of these companies requires ongoing discussions about sustainability and renewable energy adoption. Both Google and Microsoft have pledged to be carbon-free or carbon-negative by the end of the decade, and investments in cleaner energy and energy matching have already been scaled up significantly.
With market capitalizations 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 the size of their operations more akin to an entire country, all eyes are on them as global economies continue to prevent and reverse environmental damage.
