The International Energy Agency predicts that the rise of artificial intelligence (AI) will cause data centers to consume twice as much electricity by 2026. Understandably, this prediction has raised concerns about the negative impact it will have on the environment. Additionally, energy-intensive infrastructure can also be costly to operate and prevent organizations from scaling up and down as necessary.
A possible solution to these challenges is the migration to cloud-based services. We are already seeing major companies spending more on cloud computing due to a growing interest in adopting AI technologies. However, for companies that may find the transition intimidating or don’t know where to start, it’s helpful to understand the benefits of the cloud and why they should consider taking the leap.
Global Head, Wipro FullStride Cloud.
AI: the cause and the cure
As AI continues to gain ground in various sectors, the demand for data centers is also increasing. Unfortunately, this trend comes with a hefty price tag in terms of energy consumption and environmental impact, as research shows that data centers account for approximately 1% of global electricity consumption. Growing concerns about the environmental impact of data centers cannot be ignored as companies face increasing pressure to reduce their carbon footprint and become more sustainable.
As the cloud market has matured, leaders have begun to view their IT infrastructure through the lens of the “cloud economy.” This means studying the cost, business impact and resource usage of a cloud IT platform to collaborate across departments and determine the value of cloud investments. It can be an especially valuable process for companies looking to introduce and optimize AI workloads and reduce energy consumption.
A reputable cloud economics program allows companies to analyze data and improve performance while reducing cloud costs and data requirements. This includes accurately predicting cloud needs and adjusting capacity as necessary to achieve significant savings and reduced energy consumption. By leveraging cloud economics, businesses can achieve better efficiency and cost-effectiveness, making it a smart investment for any organization looking to maximize its cloud services.
Prioritize the move to the cloud
Traditional on-premise data centers can be limiting for businesses as they require physical hardware updates to accommodate growth. Cloud-based solutions, meanwhile, offer a broader range of features and functionality that can help organizations streamline their operations by increasing accessibility for developers, fostering collaboration and innovation, and scaling up and down as needed.
While many companies are eager to embrace AI, moving to the cloud can be a time-consuming and technically challenging process. The first step should be to evaluate your data storage options. Temporary cloud-like interfaces can help with the transition, allowing companies to move at their own pace and avoid rushed exit timelines that could lead to missed opportunities and increased costs. Furthermore, as more and more cloud providers continue to reduce outbound costs, it has become easier to choose a preferred cloud solution and migration route. Data centers require investments in expensive hardware such as servers, storage devices and networking equipment, which are no longer necessary after the transition to the cloud.
The role of the cloud in the future
The surge in energy demand from data centers is driven by increasing dependence on AI technologies, which will have a knock-on effect on cloud dependence. As demand for these technologies continues to grow, companies must prioritize environmental responsibility when adopting and integrating AI into their organizations. It is essential that companies understand the impact of their technology choices and take steps to minimize their environmental footprint.
Investing in knowledge about the benefits of the cloud is also crucial for companies that want to make the transition to sustainable technologies. Technology leaders need to educate themselves and their teams on how the cloud can help them achieve their business goals while reducing their impact on the environment.
As newer technologies like AI continue to grow, companies must prepare for the best ways to handle workloads. The future requires a balance between technological progress and environmental responsibility. By adopting sustainable AI practices, optimizing AI workloads with cloud economics, and exploring cloud migration, organizations can ensure they remain competitive while doing their part to protect the environment. Together we can build a more sustainable future for everyone.
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