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Microsoft Fuels AI With Methane Deals
16 Apr
Summary
- Microsoft signed nearly 5 gigawatts of methane gas power deals.
- Emissions projected to rise 160% by 2028, reaching 25.25 million tons.
- Renewable energy is cheaper than the methane gas Microsoft is using.

Microsoft has entered into substantial methane gas deals totaling almost 5 gigawatts to power its expanding AI data centers. This strategic shift involves partnerships with entities like oil giant Chevron, securing 2.5 gigawatts in Texas alone, with additional facilities planned in West Virginia. These actions raise concerns about the company's environmental commitments.
Research indicates these projects could increase Microsoft's data center carbon footprint by 160% by 2028, potentially reaching 25.25 million metric tons of CO₂e. This projection comes despite Microsoft's 2020 pledge to be carbon negative by 2030. The demand for training and running large language models has accelerated faster than renewable energy capacity can be built.