How can cloud services help organizations lower their carbon emissions?

 Many public and private organizations around the world have switched over to using cloud infrastructure. According to Amazon Web Services, this has resulted in a drastic 70% reduction in carbon emissions as well as an 80% reduction in energy use.

Cloud data centers are up-to-date with state-of-the-art technology, so they employ the most efficient computers and software to power their operations. That equates to lower energy consumption than a traditional data center. As a result, using a cloud computing solution can save an organization 67.5% on its IT costs!

Why decarbonized cloud solutions are important:

Even though the amount of energy powerful data centers generated increased sixfold between 2010 and 2018, usage only went up by 6% due to cloud computing. According to a New York Times report, 79% of computing was done in traditional data centers in 2010 but by 2018, 89% was done in cloud data centers.

Gartner estimates that global end-user spending on public cloud services will climb 18.4% to $304.9 billion in 2021, up from $257.5 billion in 2020

Decarbonizing energy by using more renewable resources like solar and wind can help save on both the costs to produce electricity while reducing CO2 emissions.

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Decarbonization commitments by leading public cloud providers

As climate change gains traction around the globe, energy companies are coming together and embracing the changing tides. When it comes to digitalization taking place, adaptation will be key.

AWS - AWS (Amazon Web Services) is an eco-friendly cloud computing platform provider. It uses much less energy than on-premises datacentres and it is working towards Amazon's goal of having 100% renewable energy by 2025.

GCP – Each Google Cloud region will be supplied by a mix of more carbon-free energy and less fossil-based energy as it works toward its goal of completely decarbonizing data centers and providing the cleanest cloud in the industry. GCP’s target is to run the business on carbon-free energy by 2030

Technology Power by the Cloud - According to Microsoft, they are planning to use renewable energy sources. By 2025, they plan to power their cloud-based data centers and buildings with 100% green energy purchased through power purchase agreements.

Summary:

Public cloud providers are moving toward becoming mature, commodity services that are equivalent to one another. However, they all have distinct variations and services to offer, which may be worth considering for businesses of varying scales. However, we expect that balancing capabilities against the cost (or ROI) will remain a challenge in the coming years.