Microsoft details its two-decade effort to reduce water consumption in its global datacenter fleet. Key highlights include a nearly 90% improvement in water use effectiveness (WUE) since the early 2000s, dropping from 2.3 L/kWh to 0.27 L/kWh in 2025. In FY25, Microsoft achieved a milestone by replenishing more water than it withdrew globally. Strategies include direct air cooling with evaporative assist (adopted since 2008), a new zero-water closed-loop direct-to-chip cooling design for AI workloads introduced in 2024, use of recycled and non-potable water sources, rainwater harvesting, and over $500 million invested in community water infrastructure since 2020. The company targets a 40% improvement in water-use intensity by 2030 and aims to sustain water-positive performance long-term.
