Energy consumption concerns are casting a shadow over the enthusiasm for AI’s sustainability potential among businesses across Asia, Europe, and the Middle East.
HANGZHOU, CHINA– A new survey by Alibaba Cloud reveals that while a significant majority of businesses (76%) across Asia, Europe, and the Middle East are enthusiastic about using digital technologies like AI and cloud computing for sustainability, energy consumption remains a major hurdle.
The “Tech-Driven Sustainability Trends and Index 2024” report found that 61% of respondents are concerned about the energy demands of these technologies. Furthermore, 59% admit they lack a clear understanding of how digital tools can aid their sustainability goals.
Key findings
Regional Interest: Emerging Asian markets (83%) and the Middle East (78%) show the strongest interest in AI for sustainability. The Philippines (91%) and Singapore (84%) lead in this regard.
Knowledge Gap: 62% of executives believe their organizations are lagging in adopting cloud and AI for sustainability, with Singapore (80%), the Philippines (77%), and Japan (75%) expressing the most concern.
Energy Concerns: 71% believe the energy consumption of AI might outweigh its benefits, particularly in Singapore (86%), the Philippines (84%), and Malaysia (81%).
Green Cloud Priorities: Businesses prioritize cloud providers using renewable energy (51%), energy-efficient data centers (46%), and carbon reduction initiatives (42%).
AI Importance: AI and machine learning are considered crucial for sustainability, with the Middle East (52%) emphasizing their importance more than other regions.
Human Oversight: 81% believe human oversight is essential for AI development.
Alibaba Cloud is addressing these concerns by improving its data center energy efficiency and increasing its use of clean energy. The company is also promoting open-source AI models to make the technology more accessible and energy-efficient.
The survey, conducted across 13 markets, highlights the need for businesses to adopt digital technologies responsibly, balancing innovation with environmental impact.
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