Microsoft’s Datacenter Community Pledge
This summer, Microsoft unveiled its Datacenter Community Pledge, which emphasizes our commitment to the local economies and communities where we operate. A key aspect of this initiative is the protection of local watersheds, particularly in areas facing increasing water stress.
Innovative Datacenter Design
Starting in August 2024, Microsoft will implement a groundbreaking datacenter design that not only optimizes AI workloads but also utilizes zero water for cooling. By incorporating chip-level cooling solutions, we can maintain precise temperature control without the loss of water due to evaporation. While some water will still be used for administrative tasks, this innovative design is expected to conserve over 125 million liters of water annually per datacenter.*
This zero-water evaporated for cooling design recycles water through a closed loop system.
Achieving Ultra-Low Water Usage Effectiveness
Our new liquid cooling technologies recycle water through a closed loop system, continuously circulating water between servers and chillers to manage heat without needing a fresh supply.
We measure our water efficiency via Water Usage Effectiveness (WUE), which compares total annual water consumption for cooling against the total energy consumption for IT equipment. In the last fiscal year, we achieved an impressive WUE of 0.30 L/kWh, marking a 39% improvement from 2021’s average of 0.49 L/kWh. This reduction is a result of our ongoing efforts to minimize water wastage and optimize our operations.
Energy Impact Mitigation
Transitioning from evaporative cooling systems to mechanical cooling is expected to increase our Power Usage Effectiveness (PUE). However, our latest chip-level cooling solutions allow for higher temperature operations, enabling us to mitigate energy consumption effectively.
Pilot Projects and Future Implementations
While our current fleet will continue to utilize a mix of cooling systems, new projects in Phoenix, Arizona and Mt. Pleasant, Wisconsin will pilot the zero-water designs in 2026. From August 2024, all new datacenter designs will adopt this next-generation cooling technology, with new sites expected to go live by late 2027.
Advancing Sustainability
For more insights on how Microsoft is advancing sustainability in cloud and AI, explore our blog series:
- Sustainable by design: Advancing the sustainability of AI
- Sustainable by design: Transforming datacenter water efficiency
- Sustainable by design: Innovating for energy efficiency in AI, part 1
*Based on our FY 2024 global average withdrawal WUE of 0.30 L/kWh.





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