Microsoft has signed a 12-year contract with Vaulted Deep, a waste management solution firm, to bury 4.9 million metric tons of organic waste underground. The goal is to offset the carbon emissions generated by its expanding data center empire, which consumes huge amounts of energy often produced from fossil fuels. This deal, potentially worth over $1.7 billion, aims to help Microsoft achieve its goal of becoming carbon negative by 2030.
The process involves collecting organic waste, combining it into a thick slurry, and injecting it about 5,000 feet underground into salt caverns. This method prevents the waste from decomposing and releasing carbon dioxide into the atmosphere. According to Vaulted Deep's CEO, Julia Reichelstein, the cost of this service is expected to drop over time, and the estimated amount might not reflect the final expenditure.
Microsoft's carbon emissions have increased by 168% since 2020, largely due to its expanding AI and data center businesses. The company emitted around 75.5 million tons of CO2 between 2020 and 2024. To mitigate this, Microsoft is investing in alternative energy sources and carbon removal projects. This deal is part of Microsoft's efforts to offset its substantial carbon footprint and promote sustainable business practices.
The tech industry's growing energy demands have intensified the need for sustainable solutions. Other tech giants, including Google, Amazon, and Oracle, are also investing in small modular reactor research to establish clean energy infrastructure for their data centers.
