AI Data Centers Are Using Less Water, Tech Giants Say

Data centers are running into growing public anger in the United States over the water and electricity needed to keep their servers operating. The technology companies investing billions in new facilities say the water problem, at least, can be solved.

Nvidia says its newest data-center design and management system, DSX, can almost eliminate water consumption at some facilities. Its approach sends liquid directly through the servers, close to chips that can reach temperatures above 80°C. The liquid enters at 45°C, warmer than the roughly 32°C used by most other closed-loop systems in 2024, according to the Uptime Institute.

That warmer starting point means Nvidia does not need to supply cooled air throughout the year. “Simple fans circulating the air” are often enough, Nvidia sustainability chief Josh Parker said, although extreme climates and heat waves can still require chilled airflow or water evaporation.

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There’s a pretty direct trade-off between how much water is used and how much energy is used

The trade-off remains significant. “There’s a pretty direct trade-off between how much water is used and how much energy is used” for temperature control, said independent researcher Andy Masley. Liquid in sealed pipes must still be cooled, usually by moving air over it, which consumes electricity.

Rystad Energy estimates that data centers used 222 billion liters of water for cooling worldwide in 2025. Without adaptive measures, consumption could nearly triple to 644 billion liters by 2030, although steps to curb growth could keep it below double. Microsoft, AWS and Meta told AFP that their closed-loop systems produce no net water loss. Microsoft and AWS nevertheless used more water overall from 2022 to 2025, even as their water-use efficiency improved. Industry-wide comparisons remain difficult because companies do not report environmental data consistently, and SpaceX has not published an ESG report.

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Simple fans circulating the air