Microsoft has taken a groundbreaking step toward achieving its ambitious sustainability targets by incorporating wood as a primary material in constructing two new data centers in Northern Virginia. This move, part of a larger decarbonization strategy, showcases the company’s commitment to innovation and its goal of becoming carbon-negative by 2030.
The new construction strategy replaces significant amounts of steel and concrete with cross-laminated timber (CLT), a sustainable material gaining traction in the United States. By combining CLT with steel and concrete, Microsoft estimates these hybrid buildings will slash the carbon footprint of traditional data centers by up to 35% and by 65% compared to those relying on precast concrete.
Why Cross-Laminated Timber is Key to Decarbonization
CLT is a lightweight, prefabricated material lauded for its low environmental impact. In addition to being easy to install and generating minimal waste, CLT has the unique ability to trap and store carbon dioxide during its lifecycle. According to the U.S. Department of Agriculture, using CLT in construction is an effective greenhouse gas reduction strategy, turning buildings into carbon storage solutions.
The material also offers practical advantages. It is fire-resistant and structurally robust, making it an ideal alternative to steel and cement. According to the United Nations Environment Programme, these traditional construction materials significantly contribute to 37% of global greenhouse gas emissions attributed to the building and construction sector.
By championing CLT in its data centers, Microsoft is reducing emissions and setting an example for large-scale sustainable construction in the tech industry.
Broader Steps in Microsoft’s Decarbonization Strategy
The shift toward wooden data centers is part of Microsoft’s holistic decarbonization agenda, which extends beyond infrastructure. To accelerate its progress, the company has updated its data center construction contracts to include:
- Low-carbon material requirements for steel, concrete, and equipment.
- Commitments from suppliers to adopt carbon-free electricity by 2030.
- Increased investments in innovative materials like carbon-sequestering concrete and hydrogen-powered steel.
This builds on recent initiatives, including creating a dedicated decarbonization team to address supply chain emissions. Earlier in 2024, Microsoft expanded its environmental efforts with tools like an ESG reporting suite, enabling businesses to track and manage their sustainability goals.
A Global Example of Green Innovation
Microsoft’s use of CLT for its Northern Virginia data centers represents one of the first hyperscale applications of engineered wood in the United States. While CLT has been widely used in Europe, its introduction at this scale in the U.S. could set a precedent for the tech industry and beyond.
The move symbolizes a growing trend among global corporations to integrate sustainable practices into their operations. Microsoft’s decarbonization efforts, including renewable energy credit agreements and carbon removal partnerships, reinforce its leadership in transitioning to a greener future.
The Road Ahead: Challenges and Opportunities
While the adoption of CLT marks significant progress, challenges remain. Reducing emissions across the supply chain and transitioning traditional construction practices require systemic changes and collaboration across industries.
However, the benefits of decarbonization are clear. Microsoft demonstrates that innovation and environmental stewardship can coexist by reimagining its data centers and prioritizing sustainable materials.
“Decarbonization is not just a necessity but an opportunity to redefine how we build and operate in harmony with the planet,” said a Microsoft spokesperson.
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