Microsoft claims "Community First" AI data center infrastructure — also known as maximum corpo-washing
Microsoft has begun to realize the backlash to its AI infrastructure push is serious enough to create an entire initiative around "giving back" to communities it impacts with its data center glut.
Microsoft continues to not "get it," but hey, at least it's trying. Sorta.
Microsoft finds itself at another computing crossroads it is largely ill-prepared for, as artificial intelligence threatens to upend everything and anything. Jobs destroyed, tech prices exploding, climatological commitments brushed aside, industrial-scale disinformation, deep fakes, and abuse — artificial intelligence certainly isn't the PR win Microsoft was likely hoping it would be. In fact, the company has earned itself the moniker "Microslop" for its haphazard stumbling through the hype.
Yet, of course, that certainly doesn't mean it's going to slow down.
AI hype is driving a historic rush on the share prices of all associated companies. Microsoft enjoyed the second-highest market capitalization as it rode the early wave hard, but Google's resurgence has seen the Windows firm knocked all the way down to fourth place. Indeed, Google Gemini and its ownership of the entire stack seem to be the front-runner in AI now, as Microsoft CEO Satya Nadella prioritized short-termism, shareholder fads, and complacency over long-term planning and quality.
Either way, Microsoft will find itself powering the back end for the real innovators leveraging the tech, owing to its industry-leading infrastructure investments in Azure. But there are new tensions rising as it continues down this infrastructural path.
Microsoft, of course, has absolutely no choice but to continue investing in Azure data center infrastructure if it hopes to have any role to play whatsoever in the post-AI world. With Google now dominating AI on both iOS and Android, ChatGPT declining, and Copilot nowhere to be found ... it seems Microsoft's role is to play data center only.
Increasingly, though, communities are beginning to realize how painful having a Microsoft data center in their backyard can really be.
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Microsoft data centers harvest absolutely obscene amounts of electricity for power and water for cooling. Simply by virtue of locality, those living near Microsoft data centers can expect increased electricity bills, decreased access to water, gentrification, increased rents, and boosted pollution. This is, of course, without mentioning the fact that Microsoft's AI is literally designed to rob you of employment.
To that end, Microsoft President Brad Smith just published a blog post detailing how the firm hopes to build "Community-First" AI infrastructure, much to the mockery of those actually impacted by it. But hey, at least they're pretending to try, unlike most other companies. Social media seems unmoved by the proposals, if Satya Nadella's replies are to be believed, which contain nothing but anger and restless mockery.
Smith says Microsoft's Community-First AI infrastructure plan revolves around five key points, which are as follows.
- "We'll pay our way to ensure datacenters don't increase your electricity prices."
- "We'll minimize our water use and replenish more of your water than we use."
- "We'll create jobs for your residents."
- "We'll add to the tax base that funds local hospitals, schools, parks, and libraries."
- "We'll strengthen your community by investing in local AI training and non-profits."
Now this all sounds lovely on paper, except you might remember Microsoft's similar "social responsibility" commitments back when being carbon-neutral was the latest "we're not evil, honestly" corporate greenwashing fad. Microsoft lied to the entire world when it said it would reduce its carbon output, which has grown exponentially as it chases shareholder cash for execs to pad their wallets with. Microsoft's c-suite pay packets are largely delivered in shares, after all.
It's with that in mind that I find it hard to take Brad Smith seriously, but let's give him the benefit of the doubt for a moment.
"This year marks America’s 250th year of independence," Smith proclaims, "One of the trends that has repeatedly shaped the nation’s history is again in the news. As we’re experiencing at Microsoft, AI is the latest in a long line of new technologies to require large-scale infrastructure development."
It's quite fun of Brad Smith to paint growing AI infrastructure as some sort of patriotic duty, particularly given how proponents of the tech are increasingly hinting at the intent to seek taxpayer guarantees should it all fall apart. But I digress.
As we continue to expand our AI infrastructure, we’re committed to being a good neighbor in the communities where we build and operate our datacenters.Today we’re sharing new steps we’ll take to partner with local communities across the U.S. https://t.co/xuAjAay3ouJanuary 13, 2026
"Microsoft today is launching a new initiative to build what we call Community-First AI Infrastructure—a commitment to do this work differently than some others and to do it responsibly. This commits us to the concrete steps needed to be a good neighbor in the communities where we build, own, and operate our datacenters."
Smith continues to repeat other AI promises that have yet to come close to bearing fruit, such as vague "medical advances" and "more affordable products," which, so far, the opposite seems to have been true on both counts. But hey, I'm the cynic here.
"As a company, we believe in the many positive advances AI will bring to America’s future. From stronger economic growth to better medical advances and more affordable products, we believe AI will make a difference in everyday lives. But we also recognize that AI, like other fundamental technological shifts, will create new challenges as well. And we believe that tech companies like Microsoft have both a unique opportunity to help contribute to these advances and a heightened responsibility to address these challenges head-on."
Smith is right that Microsoft has a heightened responsibility, but much like its carbon responsibility, or its responsibility to its customers and users — Microsoft's integrity on these points is historically wafer-thin.
Microsoft — I want to believe you aren't evil, but I kinda don't
The blog post is very lengthy and detailed, and you should definitely read it and make up your own mind on whether or not this plan is credible in your view. It gives a range of case studies and describes initiatives Microsoft is putting together to achieve some of its stated goals. However, it's incredibly difficult for me not to be cynical here.
Microsoft knows this technology is going to put millions, maybe even billions, out of work. Microsoft knows this technology is going to enhance climatological disasters, not prevent them. From Windows to Xbox to Surface, OEMs, "Metaverse" and beyond; Microsoft's priorities shift as rapidly as liquid sewage spilling from a freshly unclogged drain — they also stink.
Microsoft seems to have absolutely no clue how rapidly and how virulently hated it has become in just a couple of years, owing in no small part to its handling of this entire fiasco called "artificial intelligence." The benefits aren't even vaguely approaching any of the promised outcomes people like OpenAI's Sam Altman, Microsoft's Satya Nadella, or any of these other multi-millionaires and billionaires promise. To say the distrust has been earned would be an understatement.
We live in a finite world, both in terms of resources and people. I'm sure people like Brad Smith and Satya Nadella tell themselves they are virtuous, but every action they take to push Microsoft in this direction is anything but virtuous on the face of it. Practically every single good thing Microsoft did has been sidelined to chase this fad, which so far has only served to line Wall Street's pockets and harm workers, communities, and, so far, even society at large.
So, Brad Smith, I'm sorry to say that I doubt your five-point plan. I'm eager to be proven wrong. Society may depend on me and many others being wrong, in fact.
From where I'm sitting ... as prices soar and wealth is concentrated, as Big Tech's power to shape our lives outstrips entire nation states — it feels increasingly like something dark and angry is brewing in the society you're burying in order to chase all of this. I hope it'll be worth it.
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Jez Corden is the Executive Editor at Windows Central, focusing primarily on all things Xbox and gaming. Jez is known for breaking exclusive news and analysis as relates to the Microsoft ecosystem while being powered by tea. Follow on Twitter (X) and tune in to the XB2 Podcast, all about, you guessed it, Xbox!
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