After witnessing the transformative potential and inherent risks of artificial intelligence, many individuals have begun to acknowledge its impact on both humanity and the environment. However, there is still a little-known fact regarding its significant use of natural resources.

The Financial Times and other recent investigations have highlighted the growing amount of water that Big Tech corporations need to cool their energy-intensive data centers. This thirst for power and water becomes even more pronounced in server farms required to support generative AI.

Sam Altman, the CEO of OpenAI, announced at a recent Davos conference that technological advances such as nuclear fusion may be required to meet AI's energy needs in the future. The technology sector is known for its innovative and environmentally conscious procedures, as demonstrated by Microsoft's commitment to sustainable practices. This makes the irony all the more glaring.

According to the International Energy Agency, data centers, cryptocurrencies, and AI collectively accounted for nearly 2% of global power demand in 2022, a figure projected to double by 2026, rivaling Japan's electricity consumption.

While AI shows promise in driving social good, tech giants must expedite its use in facilitating the green transition to justify their resource consumption. Leveraging AI for advanced weather forecasting, energy efficiency in various sectors like farming and manufacturing, and emissions tracking can be pivotal.

Companies like Google have already made strides in energy conservation through machine learning applications (DeepMind) and sourcing data centers in regions abundant in solar and wind power.

Tech companies like Microsoft, Google, and Amazon are investing in water saving techniques and renewable energy sources in an effort to lessen their environmental effect. It is essential to move toward climate-neutral methods as generative AI develops traction. Transparency regarding resource usage and conservation efforts is crucial; however, there is a growing need for standardized reporting on environmental impacts beyond carbon emissions.

While voluntary frameworks are evolving slowly, legislative actions are also emerging to regulate AI's environmental footprint. Initiatives like the EU's Corporate Sustainability Reporting Directive mandate data center operators to disclose their environmental impact.

Tech companies are urged to proactively address these challenges rather than waiting for regulatory mandates. AI holds promise in combating climate change but must demonstrate its role as part of the solution rather than contributing to the problem.