The rapid expansion of artificial intelligence is dramatically increasing global energy demand, with major technology companies turning to both renewable energy and fossil fuels to power their growing data center infrastructure. At the center of this shift is Google, whose data center electricity consumption nearly doubled in just a few years, reaching 30.8 million megawatt-hours in 2024. This level of energy use now rivals that of entire regions, underscoring how AI is reshaping the global energy landscape.
To support this growth, Google has made high-profile investments in clean energy technologies, including geothermal, advanced nuclear, and battery storage. It has also committed funding to initiatives aimed at improving grid reliability and accelerating the transition to cleaner power. However, these efforts represent only a fraction of the company’s broader capital expenditures, which are increasingly directed toward expanding data center capacity and the infrastructure required to power it.
A key part of that infrastructure includes fossil fuels—particularly natural gas. Google is partnering with Crusoe Energy to develop a major data center campus in North Texas that will combine renewable energy sources like wind with a large natural gas facility. While the company continues to emphasize its clean energy investments publicly, it has remained notably silent about the role of natural gas in its long-term strategy. This lack of transparency has raised questions about how the company plans to reconcile its energy needs with its climate commitments.
The tension between growth and sustainability is becoming more apparent. Google recently acknowledged that its carbon emissions have increased by 48% over the past five years, largely due to the energy demands of AI. This surge has put its goal of achieving net-zero emissions by 2030 in doubt. The company has admitted that further integration of AI into its products will make emissions reductions increasingly difficult, highlighting a broader challenge facing the tech industry.
Importantly, Google is not alone in this shift. Other major players are also investing heavily in natural gas to meet their energy needs. Microsoft is reportedly in discussions with Chevron to develop a $7 billion gas-powered data center in Texas, while Meta is planning what could become the largest power facility in the United States, anchored by seven gas-fired plants. These developments indicate that fossil fuels are playing a significant and growing role in supporting the AI boom.
This trend reflects a larger reality: while renewable energy capacity is expanding rapidly, it is not yet sufficient to meet the immediate and massive energy demands of AI-driven infrastructure. As a result, companies are turning to natural gas as a reliable and scalable energy source, even as it complicates their decarbonization goals. Critics argue that this reliance undermines corporate climate commitments, while others point out that these companies are still among the largest investors in clean energy innovation.
Ultimately, the rise of AI is forcing a fundamental reassessment of energy strategies across the tech sector. The balance between sustainability and scalability remains uncertain, and the increasing dependence on fossil fuels highlights the difficulty of aligning rapid technological advancement with ambitious climate targets.
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