1 / 5

AI's Water Crisis Threatens Operations

The Burning Platform

The Reality:

  • Google: 8.1B gallons consumed annually (88% increase since 2021)
  • 67% of data centers built in water-stressed areas since 2022
  • Phoenix facility: $45M lost due to drought restrictions
  • Agentic AI: 62-136x more resource intensive

The Trajectory:

  • 2024: 560B gallons industry-wide
  • 2030: 1.2 trillion gallons projected
  • Result: Operational shutdowns inevitable
Bottom Line: Without action, AI growth stops at the water line
2 / 5

Financial & Operational Risk Exposure

Business Impact Analysis

Immediate Threats:

  • Regulatory: EU mandates start 2025 ($1-5M fines)
  • Operational: 40% of AI facilities face restrictions by 2027
  • Financial: $50M+ revenue at risk per facility
  • Competitive: Microsoft/Google already 80% more efficient

Opportunity Cost:

  • First-movers gain 30-50% cost advantage
  • Green financing saves 0.5% on capital
  • $100M+ market cap impact from ESG ratings
  • Preferred access to scarce resources
Critical Decision: Lead transformation or accept competitive disadvantage
3 / 5

Proven Technology Delivers $110M Return

The Solution & ROI

Technology Options:

Solution Water Reduction Annual Savings Payback
Liquid Immersion 90-100% $2.1M 3-5 years
Direct-to-Chip 60-80% $1.0M 2-3 years
Optimization 30-40% $0.3M 1-2 years

10MW Facility Business Case:

$110M

10-Year NPV

Investment:
$15-20M
TCO Reduction:
39%
Carbon Reduction:
87%

Validation: Microsoft, Google, Amazon already deploying at scale

4 / 5

Industry Leaders Are Moving Now

Competitive Imperative

Competitor Actions:

  • Microsoft: Zero-water cooling standard (Aug 2024)
  • Google: $7B annual investment in efficiency
  • Amazon: 100% water recycling across 120 facilities
  • Meta: $72B infrastructure upgrade (2025)

Market Reality:

  • Water rights being locked up now
  • Cooling technology supply constrained
  • Regulatory advantages to first-movers
  • 18-month window before commoditization
Strategic Question: Do we lead or follow?
5 / 5

Board Action Required Today

Recommendation & Next Steps

Recommendation: Approve $20M water sustainability transformation

90-Day Quick Start:

  • Week 1-4: Assessment & technology selection
  • Week 5-8: Pilot design & vendor contracts
  • Week 9-12: Implementation & validation

Success Metrics:

  • 50% water reduction by 2026
  • 90% reduction by 2028
  • ROI positive by Year 3

Immediate Actions:

  1. Authorize funding and team
  2. Select pilot facility (high-risk location)
  3. Engage technology partners
  4. Communicate commitment publicly
  5. Report progress at next board meeting
The Choice: $110M in value creation or operational crisis—decide today