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This year, Microsoft set a companywide goal to be carbon neutral by the end of FY13 through a new internal carbon fee, which will incentivize energy efficiency and investment in renewable energy sources. Microsoft is taking steps to reduce the footprint of cloud computing through the development of modular data centers that use 50 percent less energy and only consume one percent of the water of traditional data centers. 

Microsoft has also implemented a program that charges energy costs back to specific divisions for all labs in Puget Sound. This motivates business divisions to save money by reducing energy consumption.

Microsoft has made great strides toward environmentally sustainable practices in fiscal year 2012 and will continue to do so moving forward. Along with the carbon neutrality commitment, Microsoft will also work with partners on customer solutions in five key areas: greener IT, buildings, power and energy infrastructure, transportation, and resource management along with collaboration with industry peers to develop metrics like Carbon Usage Effectiveness and Water Usage Effectiveness that will help make data centers as efficient as possible.

Environmental sustainability is a central part of Microsoft’s overall commitment to being a responsible corporate citizen. As a provider of technology solutions, Microsoft is using the company as a living laboratory to explore how IT can help drive responsible environmental practices, from data centers and offices to how employees travel.