Digital twins: propelling sustainable data centers
Data center sustainability in the AI age

AI’s potential has been embraced by businesses far and wide, and there are no signs of this slowing down. McKinsey research shows that 92% of companies plan to increase their AI investments in the next three years. While AI delivers huge societal benefits, such as predicting the beginning of a tsunami or improving the treatment of underlying illnesses, it is also responsible for the massive acceleration in energy consumption.
Data centers are already grappling with increasing energy use, and AI’s growth and demand are only fueling this. What’s more, Europe’s data center energy consumption is set to surge from 62 terawatt hours (TWh) to over 150TWh by 2030, largely due to AI advancements.
Despite this, many organizations are failing to track their environmental footprint when it comes to AI. This is where data centers can play a crucial role. By leveraging digital twins, facilities can connect AI ambitions with sustainability effectively. Digital twins, virtual replicas of the data center, can optimize power management and improve energy reporting and cooling systems, all of which reduce carbon emissions and meet AI’s GPU-intensive demands.
Product Engineering Director at Cadence.
AI: a force to be reckoned with
AI uses immense power within data centers, but it can also be used to bring down energy consumption and mitigate its impact. When paired with AI, digital twins offer an innovative approach to sustainability, allowing operators to refine data center operations without disrupting daily functions.
A digital twin allows data center operators to simulate different scenarios, test solutions, and refine processes before physically implementing the changes. With AI integration, digital twins can offer predictive analytics, automation, and data-driven insights by mirroring almost every product and service within the facility.
Digital twins use AI to gather intelligent insights and signpost gaps where facilities can improve. They also highlight how operators can optimize cooling systems and refine energy reporting, which is essential to smooth operations.
Smarter cooling and less waste
One of the most impactful ways digital twins can enhance sustainability is by eliminating overprovisioning. While overprovisioning ensures that systems can continue to work as usual, it also results in considerable energy waste. According to our data, enterprise data centers can experience stranded capacity losses exceeding 40% due to overprovisioning during the design phase.
Implementing digital twins allows operators to gain a comprehensive understanding of resource utilization, allowing them to refine capacity and plan with greater accuracy. As a direct result, facilities can allocate resources more efficiently, ultimately reducing unnecessary energy consumption and fostering a more sustainable operational model.
Another key area for reducing energy consumption is optimizing how data centers manage cooling. Cooling accounts for nearly 40% of the total energy consumed by data centers. Thanks to digital twins’ powerful capabilities, operators can implement strategies to right-size cooling usage with confidence and plan effective transitions to improved cooling methods, such as liquid cooling.
High-density server racks, intensive workloads, and rising power densities are pushing the limits of air cooling, efficiently handling heat loads of up to approximately 20kW per rack. However, beyond 20-25kW, a hybrid approach combining direct liquid cooling and precision air cooling becomes more effective. It is also an increasingly viable alternative to traditional air-cooling methods.
Thanks to digital twins, operators can assess different liquid cooling strategies before implementation, helping them identify the most efficient cooling configurations without making costly physical modifications. By simulating various cooling methods, operators can determine the best way to integrate liquid cooling into existing air-cooled systems, ensuring they meet both their facility’s specific needs and new compliance regulations.
Improving carbon reporting and regulatory compliance
Another benefit of digital twins is enhanced energy reporting. The EU’s Energy Efficiency Directive requires data centers to monitor energy performance and their water footprints, so precise carbon emissions tracking is more critical than ever. Tracking energy and detailed reporting helps facility leaders identify stranded capacity, which is unused or underutilized power, cooling, or space that contributes to inefficiencies.
By automating emissions monitoring, digital twins provide real-time insights into energy usage, inefficiencies, and areas that require improvement. Using data-driven insights, operators can make informed decisions that improve efficiency while reducing environmental impact.
The ultimate shift to renewable energy
Beyond improvements in cooling, energy regulations, and overprovisioning, digital twins will eventually help data centers accelerate their adoption of renewable energy. Companies across the globe are increasingly turning to clean energy solutions to alleviate strain on the national grid and reduce environmental impact. However, particularly for data centers, integrating renewable energy requires strategic planning to ensure it’s correctly implemented.
Digital twins’ intelligence, however, provides a virtual testing ground for operators to evaluate the feasibility of incorporating renewable energy sources such as wind turbines, solar panels, smart grids, and hydropower. By simulating different scenarios, operators can determine the most effective configurations before investing in new infrastructure.
For instance, they can assess how renewables interact with cooling strategies and resource allocation, ensuring maximum efficiency while minimizing disruption. Essentially, digital twins allow data centers the freedom to test critical tools that will accelerate their sustainability, and their capabilities point to a truly green future.
Data center infrastructure needs a spring clean
Data centers stand at a crossroads, balancing AI’s growing energy demands while meeting increasingly stringent sustainability standards. The adoption of digital twins presents a transformative opportunity to optimize existing resources, enhance efficiency, and integrate renewable energy solutions.
Rather than expanding capacity solely to accommodate AI’s growth, facility leaders must prioritize sustainability and refine their current infrastructure. Digital twins provide a roadmap for reducing emissions, improving energy efficiency, and ensuring that AI reaches its full potential in a way that aligns with environmental goals. Embracing this technology is not just an option; it’s a necessity for a sustainable future.
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Mark Fenton is Product Engineering Director at Cadence.
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