Amazon, Google, Meta, and Microsoft have significantly increased their purchases of permanent carbon credits as the rapid buildout of artificial intelligence infrastructure drives up energy consumption and emissions. According to data compiled by Ceezer for CNBC, these companies boosted their purchases from 14,200 credits in 2022 to 11.92 million in 2023. The trend accelerated further, with purchases rising 104% year-on-year to 24.4 million in 2024 and 181% to 68.4 million in 2025, reflecting the growing urgency to offset emissions generated by massive data center construction and AI operations [1].
The combined bill for fueling AI ambitions among Amazon, Alphabet (Google's parent company), Microsoft, and Meta is nearing $700 billion this year, underscoring the scale of investment and associated environmental impact [1]. Each carbon credit represents a metric ton of carbon dioxide reduced or removed from the atmosphere, and the credits are used to fund projects that reduce emissions, including technologies that remove carbon from the atmosphere [1].
Microsoft stands out as the only company among the four to consistently report annual carbon credit purchases predating 2022. Its purchases cover a range of time-limited carbon removals, categorized by durability, with some techniques sequestering carbon for less than 100 years, such as soil or forestry [1]. However, reporting is not mandatory, and some purchases may go unreported due to reputational risks associated with early carbon credits, which were controversial for not representing genuine emissions reductions, according to Ceezer CEO Magnus Drewelies [1].
Drewelies also noted that, given the tight supply of clean energy needed to support the AI buildout, achieving net-zero emissions is "impossible" for Big Tech without carbon removal [1]. Amazon declined to comment on its carbon credit strategy, while Meta and Google did not respond to requests for comment [1].
CONCLUSION
The surge in carbon credit purchases by Big Tech reflects the environmental challenges posed by the AI boom and the companies' efforts to offset rising emissions. While Microsoft leads in transparency and reporting, the lack of mandatory disclosure and reputational concerns highlight ongoing issues in the carbon credit market. Achieving net-zero emissions remains a significant hurdle for these firms, with carbon removal seen as essential to their sustainability strategies.