IT Sustainability in the Age of AI: Navigating the Rising Environmental Costs of Innovation

The Paradox of Progress

AI is transforming industries, from manufacturing and cybersecurity to communications. Its benefits are clear – as is the threat of falling behind. However, this transformation comes with a high cost to the planet. As companies accelerate their adoption of AI, they must also address their environmental impact and ensure their practices align with evolving sustainability standards and industrial compliance.

The hidden emissions behind smart tech

The International Energy Agency forecasts that data centers could consume as much as 1,000 TWh of electricity by 2026 – nearly double today’s levels – while Forbes affirms that AI server cooling in data centers evaporates approximately 9 liters of water per kWh of energy used.

As hardware works harder to meet the demands of artificial intelligence, their GHG emissions increase: the World Economic Forum indicates that “AI’s wider industry category of information and communications technology currently generates at least 1.7% of global emissions”.

Upgrading IT hardware also means many businesses dispose of their older assets. In 2022, global e-waste surpassed 62 million metric tons, with only 22% officially recycled.

The regulatory wake-up call

Sustainability is an urgent issue, and policy is reflecting that. The EU introduced the Digital Product Passport in 2024, improving transparency around digital assets’ origins and environmental impact, while the WEEE directive mandates responsible disposal of unwanted electronic equipment.

In the Middle East, the UAE Securities and Commodities Authority requires public joint stock companies to publish sustainability reports, demonstrating heightened emphasis on corporate environmental accountability. At the same time, Saudi Arabia is dedicated to achieving environmental sustainability and social prosperity through its Saudi Vision 2030.

The initiative incorporates the UN’s 2030 Agenda for Sustainable Development and 17 Sustainable Development Goals, while applying the Agenda’s five pillars (People, Planet, Prosperity, Peace, and Partnership) as a guide for its national reforms. On an environmental level, this includes efficient waste management, combatting pollution and optimizing water resources. In the era of AI, which when left unchecked can impact on all three, these policies are more vital than ever.

While regulations are tightening, stakeholders and consumers increasingly expect businesses to take measurable action to minimize their carbon footprint, creating a correlation between sustainability regulations and business success.

A circular economy blueprint for the IT industry

IT lifecycle extension is a key strategy to reduce our overall footprint.

For equipment that still meets business needs, this can involve regular maintenance and updates.

While organizations invest in newer assets for critical infrastructures, they can reassign older equipment to lower-priority systems. This approach reduces e-waste production and saves enterprises the costs of complete IT overhauls.

Refurbishment and resale programs allow enterprises to recover investment value, lower industry-wide demand for new manufacturing, and keep equipment out of landfills. Meanwhile, IT asset disposition (ITAD) provides a secure and environmentally responsible exit—combining rigorous data sanitization with compliant recycling practices to safeguard both information and the planet.

Sustainability is a leadership imperative

Rethinking IT lifecycle strategies and embracing a circular economy model will allow organizations to enjoy the value of emerging technologies and maximize performance, while supporting sustainability efforts.

The future of innovation isn’t just faster and smarter—it’s sustainable. It’s time to rethink how we build, use, and renew the digital backbone of our businesses.

 

About the Author

Yahya Bakir is the Sales Director for KSA and Bahrain at Evernex, bringing over 15 years of experience in the IT industry. With an MBA and certifications in PMP and RMP, he specializes in sales operations, key account management, and driving business growth. At Evernex, he helps clients across banking, telecom, oil & gas, and government optimize IT infrastructure costs through tailored lifecycle solutions.

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