LONDON, April 6 — Amazon, Microsoft, and Alphabet's Google have each recently abandoned construction of multibillion-dollar data centres over community opposition, and now the companies are coming under shareholder pressure over the environmental impact of their projects.
More than a dozen investors are cranking up the heat on companies ahead of annual shareholder meetings this spring, seeking more data on the tech giants' water usage and conservation efforts as they seek to expand their computing power, according to interviews with Reuters.
In an interview, Trillium Asset Management's shareholder advocacy director Andrea Ranger, whose Boston-based organisation handles over US$4 billion (RM16.11 billion) in assets, said they filed a resolution with Alphabet in December last year, seeking clarity on how it will meet existing climate goals given the surging energy needs of its data centres.
In 2020, the company pledged to halve its emissions and use carbon-free energy sources by 2030. Yet Trillium said Alphabet's emissions rose by 51 per cent instead, leaving investors "in the dark" about how it planned to meet the goals.
A similar resolution from Trillium last year won support from nearly a quarter of independent shareholders.
Meanwhile, Green Century Capital Management shareholder advocate Giovanna Eichner said they were in discussions with Nvidia about submitting a resolution "to ensure that short-term AI gains do not come at the cost of long-term climate and financial risk," while declining to share more details.
Water usage questioned
Shareholders want more data on the companies' water usage. North American data centres used nearly one trillion litres of water in 2025, according to data from market research firm Mordor Intelligence, roughly equivalent to New York City's annual demand.
While Meta, Google, Amazon, and Microsoft have all started using closed-loop cooling in their data centres, which requires much less water, the information on their usage varies.
Meta's 2025 environmental report showed water usage at its owned sites, but not at those it leased or was under construction. Total usage rose 51 per cent from 3,726 megalitres in 2020 to 5,637 megalitres in 2024, enough water to supply more than 13,000 homes for a year.
Google's 2025 environmental report showed data for the sites it owns and leases, but not those operated by third parties. Amazon and Microsoft both reported total water usage, but neither of them broke it down by site in their 2025 sustainability reports.
Amazon's infra capacity delivery director Josh Weissman said it was "increasingly disclosing site-specific water consumption data where we operate."
An Amazon spokesman said the company was committed to being a "good neighbour" and was investing in efficiency efforts, bringing new energy online and reducing its water use.
Investors have stated that the site-level data is crucial, as it helps them better assess operational risks and the company's performance in managing them, adding that they also want to know more about efforts to replenish water supplies.
Local data requested
"We have not seen them disclosing enough about their water consumption (and the) impact on the local community," said Calvert Research and Management's lead technology analyst Jason Qi.
A Microsoft spokesman said environmental sustainability is "a core value" and that the company is "proactively addressing sustainability challenges and accelerating solutions for long‑term impact."
A Google spokesman declined to comment, and Meta did not return a request for comment.
Lobby group Data Centre Coalition's vice-president Dan Diorio, whose members include the Big Four tech firms, said that improving community engagement had become a top priority over the last year.
"Being upfront with them regarding energy and water use, and so that residents can understand that this project will not stress their resources...and will protect them as rate payers is crucial," he said.
