The expansion of AI computing is testing ESG investment frameworks as big tech’s data center buildout drives up energy use and emissions, prompting some sustainable funds to reassess positions. Microsoft reported a 25 per cent year-on-year rise in total emissions linked mainly to its data centre infrastructure expansion, alongside changes to its approach to renewable energy certificates. At least 74 natural gas-fired power plants are planned across the US to meet projected AI power demand, with estimated annual pollution comparable to Australia, according to Morningstar’s Kenneth Lamont in comments to Sustainable Views.