In 2023, Google and Microsoft consumed 24 TWh of electricity each, exceeding the consumption of more than 100 countries. However, it must be acknowledged that both companies also generate more money than many countries.
A detailed analysis shows that the electricity consumption of Google and Microsoft in 2023 equals that of Azerbaijan (population 10.14 million) and is higher than in some other countries. For example, Iceland, Ghana, the Dominican Republic, and Tunisia consumed around 19 TWh, while Jordan consumed 20 TWh. Of course, some countries consume more energy than Google and Microsoft. For instance, Slovakia (population 5.4 million) consumes 26 TWh.
This comparison highlights the enormous energy needs of high-tech companies: Google and Microsoft's data centers have a significant impact on the environment. How efficiently do countries and corporations spend energy? It's clear that states have significant expenses unrelated to production and profit – primarily, consumption by the population. But the numbers are still interesting to compare.
In 2023, Google earned $305.6 billion, and its economic impact, including tools like Google Search, Google Cloud, and YouTube, contributed approximately $739 billion to the economy, according to the company.
Microsoft reported revenues of $211.9 billion for 2023. Considering that the vast majority of the world's population uses Microsoft Windows and Microsoft Office, and many online applications run on Microsoft Azure, the economic impact of Microsoft's products is likely measured in trillions of dollars. Meanwhile, in 2023, Azerbaijan's GDP was around $78 billion, Slovakia's GDP was about $127 billion, and Iceland's GDP was approximately $30 billion.
The economic indicators of Google and Microsoft significantly surpass the GDP of these countries, underscoring the vast financial scales of these technology giants compared to their significant electricity consumption. While the significant electricity consumption of Google and Microsoft emphasizes the need for discussions on sustainable development and the implementation of renewable energy sources, these companies lead in the deployment of such sources.
Google has long been a pioneer in the use of renewable energy. Since 2007, the company has been carbon neutral, and by 2030, it aims to operate its data centers emissions-free 24/7. In 2023, Google announced the continuation of investments in renewable energy projects.
Microsoft plans to become carbon negative by 2030, meaning removing more carbon from the environment than it emits. The company is also committed to zero waste production and positive water use by the same year. In 2023, Microsoft expanded its contracted renewable energy assets portfolio to over 19.8 GW, covering projects in 21 countries.
Comparing the energy consumption of Google, Microsoft, and Ukraine is challenging due to the complex energy situation in the country. It is known that in the same period, in 2023, Ukraine produced 36.5 TWh. This volume, considering periodic purchases of electricity in Europe and sales in favorable periods, allowed meeting demand and avoiding shutdowns. At the same time, such an amount signifies a 19.4% reduction in production (or 8.8 TWh) compared to 2022 – due to the reduction of production capacities as a result of Russian attacks. In 2024, Ukraine's energy sector faced new, even more catastrophic attacks.
Sources: Michael Thomas, Tom's Hardware, Ukrainian Energy
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