Microsoft’s AI Spending Spree Collides With Sharp Retreat From Carbon Removal
The company bought 8.55 million metric tons through mid-July, even as emissions rose 25% and global carbon removal sales fell 66%, BloombergNEF said.
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9 Articles
It is certain that CO2 must be removed from the atmosphere, but without the billions of Microsoft, it will be difficult.
Microsoft’s AI Spending Spree Collides With Sharp Retreat From Carbon Removal
Microsoft once stood alone as the dominant force in the fledgling market for carbon removal. The company snapped up contracts that accounted for as much as 90 percent of all such purchases worldwide. It secured deals for more than 45 million metric tons. Suppliers counted on its deep pockets. Then the AI race intensified. Now the picture looks different. Through mid-July this year Microsoft bought just 8.55 million metric tons of carbon removal …
Microsoft is significantly cutting back on investments in carbon offsetting as the tech company pumps more money into artificial intelligence. Calculations by BNEF, a research firm affiliated with Bloomberg, show that the company had purchased 8.55 million tonnes of so-called carbon credits by mid-July. That is about 80 percent less than in the same period in 2025.
Microsoft cuts purchases of carbon removals by 80% amid AI push
That puts Microsoft on track for its first retreat since 2023 from a market it entered in 2020.
Microsoft reduced its purchases of carbon removal credits by 80% compared to the same period last year, according to a Bloomberg report. The group also spent $41 billion, about €36 billion, on artificial intelligence infrastructure between April and June.
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