The questions about the energy usage required to power cloud computing were initially considered by many the concern of an obsessed minority. Their worries were sublimated by fascination with the technological potential, the financial opportunity and the strategic implications for corporate competition.
But this is becoming a mainstream concern. Executives take pains to address it even when not asked. Press releases emerge. Articles are written. Analysts assess the countervailing claims.
The reason, as so often happens with environmental and sustainability issues in business, has less to do with what is right and more to do with what is efficient. There are two primary impacts: one is cost-related. Energy use reduces margins, which reduces free cash flow and affects however one measures profit. Which, in turn, impacts stock price performance, compensation and executive longevity. Talk about hitting someone where it hurts...
The second set of issues has to do with brand and reputation. Most tech companies, more than other corporations, like to be thought of as clean. That is usually how their founders were brought up and how their education and their peer-group have inclined them. It is also how many of their customers and, increasingly, investors like to be perceived. So in the global battle for pre-eminence in the tech sphere, every new issue is an opportunity and a threat. The opportunity is to convince others that what you are doing is smart AND good. The threat is that something bad will happen, you will be blamed, your brand sullied, your honor besmirched. Which might also affect stock price and those related factors.
Instinct and self-interest will prevail. The companies are playing catch-up because this was not top-of-mind when the trend broke. But they get the message. And they know that if they falter, plenty of observers will feel free to announce it to the world. JL
Roddy Scheer and Doug Moss comment in Scientific American:
Why is Greenpeace upset with some leading tech companies for so-called “dirty cloud computing?





































