Published Date : 19/07/2025
Microsoft has recently signed a groundbreaking deal with Vaulted Deep, a company specializing in waste management and carbon sequestration. The deal involves the removal of 4.9 million metric tons of waste over a period of 12 years. This waste, sourced from manure, sewage, and agricultural byproducts, will be injected deep underground to prevent it from decomposing and releasing carbon dioxide and methane into the atmosphere.
According to Inc., the current cost of CO2 removal with Vaulted Deep is $350 per ton. If you multiply that by Microsoft’s contract, the deal is worth more than $1.7 billion. However, neither Microsoft nor Vaulted Deep has disclosed the actual terms of the deal. Julia Reichelstein, CEO of Vaulted Deep, mentioned that the company expects its costs to drop over time, and the mentioned price isn’t the final sum paid by Microsoft.
This isn’t the first time Microsoft has taken steps to offset its greenhouse gas emissions. In April of this year, the tech giant signed a deal with AtmosClear to sequester 6.75 million metric tons of carbon dioxide. However, Vaulted Deep’s technique is unique. Instead of extracting carbon dioxide from the air or electricity production, they collect organic waste, combine it into a thick slurry, and inject it about 5,000 feet underground.
“Generally, what happens to these wastes today is they go to a landfill, they get dumped in a waterway, or they’re just spread on land for the purpose of disposal. In all of those cases, they’re decomposing into CO2 and methane,” said Reichelstein to Inc. “That’s contributing to climate change. And then oftentimes, especially when it’s spread on land, all those pathogens are going directly into people’s groundwater.”
Projects like these are crucial for tech giants like Microsoft, which produce massive amounts of carbon emissions due to the energy consumption of their data centers. Data centers are known for their high power usage, often generated from fossil fuels. For instance, Elon Musk’s company, xAI, is facing legal action in Memphis, Tennessee, over allegations of polluting the air by using under-reported power generators at the Colossus Supercomputer.
In addition to Microsoft, other tech companies such as Google, Amazon, Oracle, and others are also investing in small modular reactor research to establish clean energy sources for their expanding data center businesses. These efforts are part of a broader strategy to reduce the environmental impact of their operations and contribute to global efforts to combat climate change.
By investing in innovative waste management solutions, Microsoft and other tech giants are taking significant steps towards a more sustainable future. This not only helps in reducing their carbon footprint but also sets a positive example for other industries to follow.
Q: What is the main goal of Microsoft's deal with Vaulted Deep?
A: The main goal is to remove 4.9 million metric tons of waste over 12 years, sourced from manure, sewage, and agricultural byproducts, to reduce greenhouse gas emissions and combat climate change.
Q: How does Vaulted Deep's technique differ from traditional carbon sequestration methods?
A: Vaulted Deep collects organic waste, combines it into a thick slurry, and injects it deep underground, preventing it from decomposing and releasing CO2 and methane into the atmosphere.
Q: Why are data centers significant in terms of carbon emissions?
A: Data centers consume a significant amount of electrical power, often generated from fossil fuels, leading to substantial carbon emissions.
Q: What other companies are investing in clean energy solutions for their data centers?
A: Other companies investing in clean energy solutions include Google, Amazon, Oracle, and others, who are researching small modular reactors for their data centers.
Q: What is the estimated cost of CO2 removal with Vaulted Deep?
A: The current cost of CO2 removal with Vaulted Deep is $350 per ton, but the actual cost of the deal with Microsoft is not disclosed.