As more organisations incorporate Gen AI into their processes, the technology’s environmental footprint needs to be considered. Yet, according to the report, only 12% of executives confirm that their organisations measure Gen AI’s footprint, and just 20% rank the environmental footprint of Gen AI among the top five factors when selecting or building models.
By processing large volumes of data quickly, Gen AI enables organisations to enhance customer experience, streamline operations, boost growth, and accelerate innovation. However, these valuable advantages come at a cost that goes beyond the monetary. The reliance on processing large amounts of data means the technology requires enormous computational power, which in turn has a significant environmental impact.
The production of graphics processing units (GPUs), which are essential for Gen AI, involves mining rare earth metals, which contribute to greenhouse gas (GHG) emissions. Data centers used by Gen AI also consume significant amounts of energy and water for cooling purposes, and frequent hardware upgrades further stress natural resources.
Developing Sustainable Gen AI is based on a survey of 2,000 senior executives from organisations with annual revenue above $1 billion and which have Gen AI initiatives underway. Of these executives, 48% believe their use of Gen AI has increased GHG emissions. Furthermore, 42% of executives are relooking at their climate goals due to Gen AI’s growing environmental footprint.
Businesses are beginning to incorporate sustainability measures into the Gen AI lifecycle, but so far, only 31% of executives say their organisation has taken steps in this direction. As Gen AI models become more complex and pervasive, careful management of both financial and environmental costs will be crucial to scalability.
The report sets out a roadmap for creating responsible Gen AI for sustainable business value, which includes:
- Identifying the right technology to address the business needs
- Assessing and mitigating environmental impact
- Investing in the right use cases to accelerate sustainable business value
- Developing data and technology foundations
- Governing for sustainability.
Download the report or read our website to find out how your organisation can balance technological advancement with environmental responsibility.
