As AI workloads expand across U.S. data centers, water consumption has surged to nearly one trillion liters per year by 2025, with the majority used in evaporative cooling systems to manage heat dissipation. This hidden infrastructure cost represents a significant environmental impact beyond the electricity demands commonly associated with AI scaling.
Why it matters: AI leaders and investors need to account for water sustainability alongside power consumption when evaluating the true environmental and operational costs of scaling data center infrastructure.