3 6 Ke·2025-08-12 11:48Core Insights - Microsoft has invested $1.7 billion in a partnership with Vaulted Deep, a biotech company, to achieve a carbon removal target of over 4 million tons by 2038 through the deep burial of "biological sludge" [3][6] - The biological sludge is primarily composed of human and animal waste, which will be mixed with other organic waste and injected into impermeable rock layers 5,000 feet underground for permanent storage [3][7] - This investment is not just about waste management; it is also a strategic move to secure carbon emission rights, as Microsoft's carbon emissions have increased by 23.4% since 2020 due to rising energy consumption in its data centers [8][11] Investment Rationale - The $1.7 billion investment serves multiple purposes: it helps Microsoft mitigate environmental risks, enhances its ESG (Environmental, Social, and Governance) profile, and allows the company to benefit from the U.S. 45Q tax credit mechanism for carbon capture [12] - The initiative aligns with Microsoft's commitment to achieve carbon negative status by 2030 and to eliminate all carbon emissions since its founding by 2050 [11] Industry Context - The increasing demand for AI and cloud computing services has led to a significant rise in energy consumption and water usage in data centers, prompting companies like Microsoft, Amazon, and Google to explore sustainable practices [16] - The concept of "Jevons Paradox" is relevant here, as improvements in efficiency may not necessarily lead to reduced resource consumption; instead, they could increase demand, complicating sustainability efforts in the tech industry [13][16]