The big Redmond company has just announced they have handed their pen over for the signing of the enormous amount of the contract for the supply of electricity from renewable sources. The question is, in pursuit of its growth in AI, how much do the environment serve their purpose.
When we talk about AI generative, Microsoft has Copilot but OpenAI’s tools are often ChatGPT, for instance. Artificial intelligence and automation, of which a heavy consumer of electricity is a conspicuous example, this power of consumption picks out, as Sam Altman had expected. And thus, in order to fulfill sourcing- related objectives while achieving carbon neutrality by 2030, the company initiated by the late Bill Gates on Tuesday of the week just ended, has just accomplished something exceptional.
Microsoft finalized the agreement of supplying 10.5 GW of renewable electricity with clean energy developers.
It’s a deal that written in the annals of history and it is on track to break records. Microosft has just received a credential from Brookfield Asset Management dealing with land rights in that they were as per Bloomger’s bid, likely the largest renewable power purchase agreement signed privately by any entity. And it is twice on average as the previous record low has been registered.
Finally, it should be appreciated that with this agreement, Microsoft plans to purchase electricity generating units around the world, the power capacity of which calculated would yield aggregate of 10.5 gigawatts. This explains us clearly that this is equal to almost 9% of the contribution made by sun and wind in generating energy in California in 2022
As for funding, approximately ten billion dollars will be spent.
To sum up, of course this will come at the cost of paying a certain price if Microsoft aims to realize this. Per Bloomberg, about 11 billions dollar to 17 billions dollar will be used for the construction of those power plants. A implication is a planned operation during the period 2026-2030 in various places of the world (Europe, USA, Asia, Latin America).