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Data center sustainability: What investors should know about how data center sustainability practices have evolved
- January 1, 2025: Vol. 37, Number 1

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Data center sustainability: What investors should know about how data center sustainability practices have evolved

by Sebastian Dooley, Casey Miller, Jennifer McConkey and Julia Groenewold

Sustainability is a key priority for most companies as they seek to mitigate climate change, manage risk, meet customer expectations, and attract investors.

Increasingly, companies are looking beyond their own operations to their providers’ sustainability practices. In the data center industry, the largest customers have made aggressive climate pledges and providers are implementing a range of sustainability measures.

Why data center sustainability matters

Improving the environmental sustainability of data centers is essential for the health of the planet. It’s also good business. As one of the data center providers we work with puts it, “Sustainability is existential.” Customer requirements, business value, government regulations, and community sentiment are among the top drivers of data center providers’ investments in environmental sustainability.

Customer requirements. For most data center providers, the maj

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