Do We Need Data Centers? Strategies for Greener Digital Infrastructure
January 27, 2026
The short answer is, yes. Data centers are crucial to powering technological advances and forming the backbone of the world’s economy. Whenever you use the internet to watch a video, send an email, or use an AI chatbot, a physical server in a data center handles your request. In a broader scope, data centers also support critical functions across healthcare, finance, government, transportation, research, and national security. As we depend more on digital services in support of a majority of tasks, the infrastructure behind them continues to expand.
However, building, running, and maintaining data centers have considerable environmental impacts. These facilities use massive amounts of electricity and water and generate considerable electronic waste, and the demand to build more data centers is growing. For technology to develop responsibly, systems engineering professionals need to move toward greener data centers that focus on energy efficiency and reducing harm to the environment.
The Environmental Footprint of Data Centers
The International Energy Agency reports that data centers are responsible for 1% to 1.5% of global electricity consumption. With growing AI demand, this percentage is expected to increase. Training just one large language model, such as GPT-3, requires about estimated 1,287 megawatt-hours of electricity, which could supply power to over 120 average U.S. homes for an entire year.
Water usage is also a major concern. Many facilities rely on evaporative cooling instead of traditional air conditioning to keep servers cool, using billions of gallons of water every year. And rapid hardware obsolescence also adds to the global e-waste problem, as servers and storage parts are frequently discarded after only three to five years of operation.
Developing a Greener Data Future
To balance digital growth with environmental responsibility, the industry is pivoting toward high-efficiency systems engineering solutions.
Modern green facilities prioritize modular server racks and optimized layouts to prevent hot spots and improve airflow. High-efficiency and uninterruptible power supply systems reduce energy loss during power conversion. Industry leaders like Google and Microsoft are working to limit a data center’s total power use to create more efficient and less wasteful operations.
Immersing components in fluid or using cold plates is significantly more efficient than air cooling, as liquids can carry away heat up to 3,000 times more effectively than air. Facilities in cooler climates are using outside air to regulate temperatures, drastically reducing the need for mechanical refrigeration. And some innovative data centers in Europe are capturing waste heat and redirecting it into local district heating systems to warm homes and offices.
Transitioning to carbon neutrality requires a shift away from fossil fuels. Companies are now entering into Power Purchase Agreements to fund the construction of new solar and wind farms that will support data centers. Additionally, integrating data centers with smart grids allows these facilities to act as virtual power plants, adjusting their energy intake based on grid demand and the availability of renewable supply.
The Push for a Circular Economy and Policy
Addressing e-waste requires a circular economy approach. Instead of standard methods of taking resources, making products, and disposing them as waste, sustainable data centers focus on refurbishing hardware and recycling rare-earth metals found in components. Organizations are also seeking certifications like Green Globes to validate their commitment to sustainable building practices and resource management.
Despite these advancements, data centers remain a point of local controversy. In many regions, residents have expressed concerns over the local impacts of data centers, such as the noise of cooling fans, the immense strain on local power grids, and the consumption of local water reserves during droughts. Between April and June 2025, two-thirds of proposals for data center development were blocked or delayed due to citizen, political and regulatory opposition. Navigating these tensions requires transparent communication between tech firms, policymakers, and the communities they inhabit.
Systems Engineering at Capitol Tech
The path to more sustainable digital infrastructure will be shaped by professionals skilled in complex systems and integrative thinking who can lead effective systems design and management. Capitol Technology University’s MRes in Systems Engineering prepares graduates to operate at the intersection of engineering, data management, and hardware efficiency—equipping them to develop policy-driven goals and technical solutions that ensure our digital future is as sustainable as it is connected.
Explore what a degree from Capitol Tech can do for you! To learn more, contact our Admissions team or request more information.
Written by Jordan Ford
Edited by Erica Decker