SAS: Balancing Cloud & AI Innovation and Sustainability

Amid the rapid growth of data-driven technologies, organisations face a critical challenge: how to harness the power of cloud computing and artificial intelligence whilst mitigating their environmental impact. A recent report by SAS, a global leader in data and AI, has highlighted the growing tension between technological advancement and sustainability goals, particularly as energy-intensive technologies like generative AI (Gen AI) gain traction.

With digital transformation across sectors gaining momentum, and with the rise in power-intensive AI applications, the demand for data services globally continues to grow. 

The International Energy Agency states that data centres account for around 1% of the global electricity demand and by 2030 data centres are expected to reach 35 gigawatts of power consumption annually – up from 17 gigawatts in 2022.

And while cloud hyperscalers like AWS, Microsoft Azure and Google Cloud are making strides in sustainability, Jerry Williams, Chief Environmental Officer at SAS, emphasises that the responsibility for environmental stewardship extends beyond cloud vendors. “Organisations often think that environmental responsibility is primarily a cloud vendor obligation, but the truth is, it's a shared responsibility.

"Greater efficiency in AI model development, made possible by the availability of data and AI platforms that are optimised to run in the cloud, will also help teams to reduce unnecessary duplication and waste, and minimise energy consumption.”

Cloud computing: The environmental impact

The environmental impact of cloud computing is multifaceted. Data centres, the backbone of cloud services, are resource-intensive in terms of both energy and water consumption, while the construction and maintenance of these facilities contribute to indirect emissions. As the demand for AI and advanced analytics grows, so too does the strain on these resources.

Yves Mulkers, Data Strategist at 7wData, points to several strategies organisations can employ to reduce their energy consumption: “Organisations can make significant strides in sustainability by focusing on virtualisation, using AI to manage data, and refining large language models.” Yves emphasises the importance of partnering with innovators who share these values, suggesting that sustainability should be a key consideration in choosing technology providers.

The advent of Gen AI models like ChatGPT has further complicated the sustainability landscape. The tool has been reported to consume over half a million kilowatts of electricity each day, raising concerns about the long-term sustainability of unchecked AI development.

However, the tech industry is not standing still. Luke Davies, Managing Director of Datacenters at GlobalConnect, highlights advancements in data centre design that are helping to address these challenges: “We have seen flagship efforts to decarbonise data centres, such as our project to redirect heat to provide free energy for 1,500 households in Greater Copenhagen.” Such initiatives demonstrate the potential for innovative solutions that can turn energy consumption into a community benefit.

For technology leaders, the path forward involves a delicate balance between leveraging cutting-edge technologies and maintaining a commitment to sustainability. Spiros Potamitis, Senior Data Scientist at SAS, suggests that even small improvements can have a significant impact: "If you reduce the time needed to run analytical workloads, it will also have the added benefit of significantly reducing your carbon emissions.”

Cloud sprawl poses additional challenges

Increasing cloud adoption adds another layer of complexity. SAS research indicates that cloud and analytics sprawl is causing problems for 99% of large organisations, leading to increased infrastructure, storage, and processing costs, as well as hidden environmental impacts. This underscores the need for organisations to optimise their cloud environments not just for cost efficiency, but also for sustainability.

Regulatory pressures and public awareness are also driving change. As Luke notes: “The urgency of climate change, public pressure and new regulations mean that businesses are increasingly prioritising sustainability when choosing providers.”

Major cloud providers are making bold claims about their sustainability efforts. Microsoft, for instance, asserts that using Azure is up to 93% more energy-efficient than traditional enterprise data centres, while Amazon is on a path to power its operations with 100% renewable energy by 2025.

For technology leaders, the message is clear: sustainability must be integrated into every aspect of cloud and data strategy. This includes choosing environmentally responsible service providers, optimising IT infrastructure, and continuously monitoring and improving resource usage. Spiros advises organisations to “use monitoring tools to understand their usage, build holistic ESG dashboards, and partner with sustainable software and cloud vendors.”

As the industry grapples with these challenges, the role of innovation in driving sustainability cannot be overstated. Luke highlights: “Without data centres, there will be no AI, so there's a structural incentive to make them as efficient as possible.”

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