Microsoft Brings Older Technology to AI Data Centers in Brazil, Increasing Water Consumption

Microsoft has begun operating its first artificial intelligence data centers in Brazil using evaporation towers, an older cooling technology that consumes several times more water than newer systems. The units are located in Hortolândia and Sumaré, in the interior of São Paulo state.

Documents indicate water consumption could reach up to 3.24 million liters per day, a volume close to the usage of 15,000 people. The company told the local community it intends to use the towers about 10% of operating time, when temperatures exceed 29.4°C.

A study by Cepagri (Center for Meteorological and Climate Research Applied to Agriculture) at Unicamp shows that this threshold was exceeded on 44.48% of days over the past 30 years in the region, with an upward trend due to climate change.

Sabesp said it sees no risk to local water supply, and the projects obtained environmental licenses. Microsoft declined to comment.

Data centers are at the center of debate over AI sustainability due to their consumption of water and energy. In Brazil, most facilities use air cooling, which has a lower water impact. The company says more recent projects adopt water-free technology.