Subj : Companies are using more AI than ever - and many are happy to tur
To   : All
From : TechnologyDaily
Date : Mon Sep 08 2025 11:00:10

Companies are using more AI than ever - and many are happy to turn a blind 
eye to its environmental impact

Date:
Mon, 08 Sep 2025 09:46:06 +0000

Description:
AI is power and resource hungry, but many companies believe its benefits 
still outweigh all of that.

FULL STORY
======================================================================Half of 
companies think AIs benefits outweigh its environmental impacts Many are 
still struggling to see tangible results or high ROI Energy consumption 
continues to rise amid AI adoption 

Many companies are apparently happy to invest in AI without necessarily 
considering the negative implications, including the environmental effects, 
new research has found. 

A report from Capgemini claims three-fifths (61%) of global organizations 
plan to increase GenAI spending in the next year, and that comes after a year 
when 88% have already boosted GenAI spending. 

To that tune, more than half (51%) believe generative AIs benefits will 
outweigh its environmental impact  a sentiment thats more pronounced in the 
UK (56%). Are companies blindly investing in AI? 

With AI use skyrocketing in recent years, the focus has largely been on the 
companies behind the AI tools we use, and not the companies using them. 

For example, Google recently uncovered a 27% rise in its data center energy 
consumption during the last half of 2024 and the first half of 2025. 
Microsoft saw a 168% rise in total energy consumption between 2020 and 2024. 

Companies arent just failing on sustainability  one in five (21%) arent 
satisfied with their outcomes so far, and many note bill shocks, where 
scaling AI efforts outpace initial projections. 

Rapid adoption doesnt necessarily translate into large scale deployment with 
tangible ROI, CTO Franck Greverie explained. 

Looking ahead, more companies are turning to small language models for 
increase cost effectiveness, with 12% of IT budgets on average dedicated to 
generative AI alone. 

However, investing freely in AI isnt the most effective solution. Greverie 
explained that enterprises must set up a solid data foundation, in a trusted 
environment thats compliant, secure and ensures necessary privacy to see the 
biggest ROI. 

Looking ahead, Capgemini suggests a more targeted approach to keep a handle 
on the environmental and economic impacts of AI, and that started with 
establishing governance policies (which only 46% have done) and focusing on 
high-impact areas like customer operations, marketing and risk management. 
You might also like These are the best AI writers you can use to craft your 
work AIs energy appetite is real  but so is its climate potential The best 
productivity tools ensure a higher ROI



======================================================================
Link to news story:
https://www.techradar.com/pro/companies-are-using-more-ai-than-ever-and-many-a
re-happy-to-turn-a-blind-eye-to-its-environmental-impact


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