Microsoft to replace steel in data centers with wood

Microsoft has announced initiatives to reduce the embodied carbon footprint of its data centers, notably the latest development, using wood in construction to replace steel and concrete.

Microsoft had set 2030 goals to become carbon-negative by reducing Scope 3 emissions by more than half compared to 2020; the company reported that Scope 3 emissions in 2023 have been more than 30% higher than in 2020, driven by the construction of data centers, including embodied carbon in building materials as well as hardware components.

One of the key projects Microsoft is working on,  features the use of cross-laminated timber, a lightweight, ultra-resilient, and fireproof prefabricated wood material, in their two new data centers currently under construction in northern Virginia, which will greatly reduce reliance on steel and concrete.

In the new data centers, CLT will replace part of the thick concrete typically used for floors and ceilings, creating a much lighter structure that requires far less steel, the company says. Microsoft estimates that using CLT in the new data centers will lower embodied carbon by 35% compared to traditional steel construction and by 65% compared to standard precast concrete.

Jim Hanna, leading sustainability for Microsoft’s data center engineering team, said, “We have to be system thinkers across the entire value chain of these materials that go into our data centers and the equipment that supplies our data centers.”

Brandon Middaugh, head of the Climate Innovation Fund program and strategy said, “Part of the solution is (figuring out) how do you make sure that our suppliers have the enabling technologies they need to develop the green solution.”

Microsoft has unveiled additional steps to reduce the embodied carbon footprint of its data centers, including revising contract terms that will make low-carbon standards mandatory for materials and equipment used at construction sites. It is also investing in technologies for low-carbon building material and is supporting developers through the Microsoft Climate Innovation Fund such as Stegra  (formerly H2 Green Steel), Boston Metal, CarbonCure, and Prometheus Materials.

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