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Latest / The Cloud Business Podcast with Fexingo: AWS, Azure, GCP, and Enterprise Infrastructure

Cloud Contracts Now Impose Carbon Usage Penalties

Episode 48 of The Cloud Business Podcast digs into a new clause showing up in enterprise cloud agreements: carbon usage penalties. Lucas and Luna examine how AWS, Azure, and GCP are tying compute costs to the carbon intensity of the region you run in — and what that means for architects who build for price, not carbon. They walk through real numbers from a 2025 VMware-Google Cloud study showing that moving a batch AI training job from a high-carbon region in the US-East to a lower-carbon region in the Nordics reduced both carbon emission by 38 percent and cost by 12 percent, thanks to cheaper…

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