Making Data Centers Sustainable; Reducing the Environmental Impact of SAP Data Centers
Public
Making Data Centers Sustainable: Reducing the
Environmental Impact of SAP Data Centers
Owners: DLS Cloud Infrastructure and Environmental Sustainability (CIES) & Global
Sustainable Operations & Energy (GSO&E)
Published: June 2026
Making Data Centers Sustainable: Reducing the
Environmental Impact of SAP Data Centers
Owners: DLS Cloud Infrastructure and Environmental Sustainability (CIES) & Global
Sustainable Operations & Energy (GSO&E)
Published: June 2026
2
© 2026 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
Table of Contents
1. Creating Positive Impact: SAP’s role .............................................................................................................................3
2. SAP’s Data Centers: A Program of Continuous Improvement ............................................................................3
2.1 Minimizing Environmental Impact Through Strategic Location Selection and Optimizing
Workload Deployment ................................................................................................................. 4
2.2 Selecting Energy Efficient Hardware .................................................................................... 4
2.3 Optimizing Data Center Cooling ........................................................................................... 4
Less Cooling ............................................................................................................................ 5
Increasing Cooling Efficiency .................................................................................................. 5
2.4 Leveraging Renewable Energy to Reduce GHG Emissions ................................................ 6
2.5 Balancing Water Use and Energy Efficiency ........................................................................ 6
Adiabatic Cooling..................................................................................................................... 6
Optimization Through Closed Loops ....................................................................................... 7
Performance Against Industry Standards ............................................................................... 7
2.6 Re-Using Waste Heat from Data Centers ............................................................................ 7
Transitioning from Air-Air to Air-Water Cooling....................................................................... 7
2.7 Circularity and Hardware End of Life Strategies .................................................................. 7
2.8 Strategic Engagement with Hyperscalers............................................................................. 8
3. Compliance and Alignment with Global Regulatory Bodies ...............................................................................8
© 2026 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
Table of Contents
1. Creating Positive Impact: SAP’s role .............................................................................................................................3
2. SAP’s Data Centers: A Program of Continuous Improvement ............................................................................3
2.1 Minimizing Environmental Impact Through Strategic Location Selection and Optimizing
Workload Deployment ................................................................................................................. 4
2.2 Selecting Energy Efficient Hardware .................................................................................... 4
2.3 Optimizing Data Center Cooling ........................................................................................... 4
Less Cooling ............................................................................................................................ 5
Increasing Cooling Efficiency .................................................................................................. 5
2.4 Leveraging Renewable Energy to Reduce GHG Emissions ................................................ 6
2.5 Balancing Water Use and Energy Efficiency ........................................................................ 6
Adiabatic Cooling..................................................................................................................... 6
Optimization Through Closed Loops ....................................................................................... 7
Performance Against Industry Standards ............................................................................... 7
2.6 Re-Using Waste Heat from Data Centers ............................................................................ 7
Transitioning from Air-Air to Air-Water Cooling....................................................................... 7
2.7 Circularity and Hardware End of Life Strategies .................................................................. 7
2.8 Strategic Engagement with Hyperscalers............................................................................. 8
3. Compliance and Alignment with Global Regulatory Bodies ...............................................................................8
3
© 2026 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
1. Creating Positive Impact: SAP’s role
At SAP, our mission is to help the world run better and improve people’s lives by embedding
sustainability into our business and the businesses we serve.
Our strategic approach to sustainability focuses on three pillars: climate action, circular economy,
and social responsibility. We are committed to achieving net-zero emissions along our value chain
by 2030, in line with a science-based 1.5 °C future.
Additionally, we aim to operate free of single-use plastics, strive toward zero e-waste in our
operations, and respect and advance human rights across our value chain.
To achieve this, we adopt two complementary frameworks:
1. SAP as an enabler: Providing products and services that support our customers’ work to
meet their sustainability challenges and allow them to identify new opportunities.
2. SAP as an exemplar: Leading by example in our own sustainable business operations
and practices.
This approach allows us to learn first-hand and therefore guide our customers more effectively on
their own sustainability journeys.
2. SAP’s Data Centers: A Program of Continuous
Improvement
SAP is committed to sustainability across our entire business. At the heart of this commitment are
SAP Cloud services — the infrastructure that powers everything we do. We pay particular
attention to our data centers, where we have the greatest opportunity to reduce our environmental
impact.
Data centers pose significant environmental challenges due to their high energy and water
consumption, particularly for cooling purposes. Data centers account for 3% of global electricity
use, with projections suggesting this could rise to 10% by 2030. The increasing demands from AI
workloads further intensify cooling and water needs. Moreover, data center infrastructure
contributes to carbon emissions, resource depletion from hardware production, and e-waste.
With the rapid acceleration of cloud adoption, SAP’s data centers, both owned and co-located
(where our servers are housed in the same data center as other companies’ servers), have
emerged as a central focus of our sustainability initiatives. We take a holistic approach to
sustainable data center management, from efficient sourcing and operation to responsible
decommissioning hardware ensuring alignment with our broader sustainability objectives.
© 2026 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
1. Creating Positive Impact: SAP’s role
At SAP, our mission is to help the world run better and improve people’s lives by embedding
sustainability into our business and the businesses we serve.
Our strategic approach to sustainability focuses on three pillars: climate action, circular economy,
and social responsibility. We are committed to achieving net-zero emissions along our value chain
by 2030, in line with a science-based 1.5 °C future.
Additionally, we aim to operate free of single-use plastics, strive toward zero e-waste in our
operations, and respect and advance human rights across our value chain.
To achieve this, we adopt two complementary frameworks:
1. SAP as an enabler: Providing products and services that support our customers’ work to
meet their sustainability challenges and allow them to identify new opportunities.
2. SAP as an exemplar: Leading by example in our own sustainable business operations
and practices.
This approach allows us to learn first-hand and therefore guide our customers more effectively on
their own sustainability journeys.
2. SAP’s Data Centers: A Program of Continuous
Improvement
SAP is committed to sustainability across our entire business. At the heart of this commitment are
SAP Cloud services — the infrastructure that powers everything we do. We pay particular
attention to our data centers, where we have the greatest opportunity to reduce our environmental
impact.
Data centers pose significant environmental challenges due to their high energy and water
consumption, particularly for cooling purposes. Data centers account for 3% of global electricity
use, with projections suggesting this could rise to 10% by 2030. The increasing demands from AI
workloads further intensify cooling and water needs. Moreover, data center infrastructure
contributes to carbon emissions, resource depletion from hardware production, and e-waste.
With the rapid acceleration of cloud adoption, SAP’s data centers, both owned and co-located
(where our servers are housed in the same data center as other companies’ servers), have
emerged as a central focus of our sustainability initiatives. We take a holistic approach to
sustainable data center management, from efficient sourcing and operation to responsible
decommissioning hardware ensuring alignment with our broader sustainability objectives.
4
© 2026 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
This document will guide you through SAP’s efforts to enhance environmental sustainability within
our data centers, while maintaining operational excellence.
2.1 Minimizing Environmental Impact Through Strategic Location
Selection and Optimizing Workload Deployment
SAP begins by identifying the best location to host our and our customers’ workloads. We
intentionally select data centers for new workload deployment in regions that maximize energy
efficiency and minimize reliance on fossil fuels. Consideration of these elements allows us to
support local renewable energy markets and encourage the development of sustainable
infrastructure. This involves analyzing and mapping regional energy profiles to identify optimal
locations. In addition to sustainability considerations, we review criteria that balance technical
requirements and commercial viability.
2.2 Selecting Energy Efficient Hardware
SAP promotes the use of IT hardware that uses less energy and therefore generates lower
emissions. Our servers, for example, use Titanium class Power Supply Units (PSUs)–which have
the highest power efficiency rating (90%+ efficiency at converting electricity into usable power
compared to bronze class which has an 80% efficiency).
We also select the Central Processing Units (CPUs) that meet our performance requirements with
the lowest Thermal Design Power (TDP) rating to achieve the lowest energy consumption.
Finally, SAP selects server racks with more spacing to allow better airflow and therefore more
effective cooling of the server. To ensure the procurement of the most efficient hardware, SAP
embeds energy efficiency requirements into contracts with all our server suppliers.
2.3 Optimizing Data Center Cooling
When IT appliances are used, they generate heat, which can cause malfunctions if the ambient
temperature surpasses their recommended operating range. To prevent hardware device failure
due to excessive heat, consistent cooling is essential.
Several measures can reduce the carbon footprint associated with cooling in data centers,
including:
1. Minimizing the amount of cooling required by operating at higher temperatures.
2. Designing a data center architecture that optimizes the existing cooling capacity.
The specific cooling requirements known as cold loads in our data centers largely depend on the
respective rack power density. To address these varying and increasing demands, dedicated
retrofit initiatives are being implemented across our existing facilities.
© 2026 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
This document will guide you through SAP’s efforts to enhance environmental sustainability within
our data centers, while maintaining operational excellence.
2.1 Minimizing Environmental Impact Through Strategic Location
Selection and Optimizing Workload Deployment
SAP begins by identifying the best location to host our and our customers’ workloads. We
intentionally select data centers for new workload deployment in regions that maximize energy
efficiency and minimize reliance on fossil fuels. Consideration of these elements allows us to
support local renewable energy markets and encourage the development of sustainable
infrastructure. This involves analyzing and mapping regional energy profiles to identify optimal
locations. In addition to sustainability considerations, we review criteria that balance technical
requirements and commercial viability.
2.2 Selecting Energy Efficient Hardware
SAP promotes the use of IT hardware that uses less energy and therefore generates lower
emissions. Our servers, for example, use Titanium class Power Supply Units (PSUs)–which have
the highest power efficiency rating (90%+ efficiency at converting electricity into usable power
compared to bronze class which has an 80% efficiency).
We also select the Central Processing Units (CPUs) that meet our performance requirements with
the lowest Thermal Design Power (TDP) rating to achieve the lowest energy consumption.
Finally, SAP selects server racks with more spacing to allow better airflow and therefore more
effective cooling of the server. To ensure the procurement of the most efficient hardware, SAP
embeds energy efficiency requirements into contracts with all our server suppliers.
2.3 Optimizing Data Center Cooling
When IT appliances are used, they generate heat, which can cause malfunctions if the ambient
temperature surpasses their recommended operating range. To prevent hardware device failure
due to excessive heat, consistent cooling is essential.
Several measures can reduce the carbon footprint associated with cooling in data centers,
including:
1. Minimizing the amount of cooling required by operating at higher temperatures.
2. Designing a data center architecture that optimizes the existing cooling capacity.
The specific cooling requirements known as cold loads in our data centers largely depend on the
respective rack power density. To address these varying and increasing demands, dedicated
retrofit initiatives are being implemented across our existing facilities.
5
© 2026 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
Less Cooling
Reducing data center cooling requirements leads to lower electricity consumption, not only cutting
costs but also minimizing environmental impacts.
To optimize energy use, SAP has raised the maximum temperature of the air entering the server
to 27°C in most of its data centers in line with the American Society of Heating, Refrigerating, and
Air-Conditioning Engineers "recommended range".
Furthermore, SAP is exploring partnerships with manufacturers to support further increases in
intake temperatures, aiming to enhance efficiency and uphold sustainable practices in data center
operations.
To efficiently manage the rising thermal loads of future hardware generations, SAP has also
analyzed potential Direct Liquid Cooling (DLC) opportunities to identify optimal technology. The
specific aim of this initiative is to retrofit our SAP-owned data centers into a hybrid cooling system
that combines traditional air cooling with advanced liquid cooling.
Increasing Cooling Efficiency
Improving cooling efficiency in data centers is vital for cost reduction, carbon footprint
minimization, equipment reliability, and high-density server deployment. SAP has adopted various
measures to enhance data center cooling efficiency, including managing airflow using a hot and
cold aisle layout for server racks. A containment system isolates the hot aisles and cold aisles
from each other, preventing hot and cold air from mixing. This arrangement generates less heat
in the hot aisles, whilst cold aisles temperatures remain low, thus putting less strain on the air
conditioning system resulting in cost savings, environmental benefits, and improved performance.
In addition to implementing measures to increase cooling efficiency in data centers, SAP employs
the following strategies to effectively control energy loss:
● Thermography Process: SAP uses infrared cameras to detect hot and cold spots in data
centers, indicating the need for increased airflow or improved cabinet sealing to enhance
energy efficiency.
● FLIR Tool: The Forward-Looking Infrared tool detects inefficient airflows, which helps
prevent hardware failures caused by extreme temperatures, minimizing customer
downtime. It enables SAP to produce annual or incident-related reports on data centers,
both owned and co-located. These reports are analyzed for corrective actions.
● Temperature Monitoring and Management: SAP is expanding the installation of
temperature sensors on the front and back sides of each rack in all data halls for continuous
monitoring. This setup provides detailed comparisons between desired and actual
temperatures, mapping the results to identify hot spots and analyzing temperature trends,
thereby facilitating corrective and preventive actions.
© 2026 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
Less Cooling
Reducing data center cooling requirements leads to lower electricity consumption, not only cutting
costs but also minimizing environmental impacts.
To optimize energy use, SAP has raised the maximum temperature of the air entering the server
to 27°C in most of its data centers in line with the American Society of Heating, Refrigerating, and
Air-Conditioning Engineers "recommended range".
Furthermore, SAP is exploring partnerships with manufacturers to support further increases in
intake temperatures, aiming to enhance efficiency and uphold sustainable practices in data center
operations.
To efficiently manage the rising thermal loads of future hardware generations, SAP has also
analyzed potential Direct Liquid Cooling (DLC) opportunities to identify optimal technology. The
specific aim of this initiative is to retrofit our SAP-owned data centers into a hybrid cooling system
that combines traditional air cooling with advanced liquid cooling.
Increasing Cooling Efficiency
Improving cooling efficiency in data centers is vital for cost reduction, carbon footprint
minimization, equipment reliability, and high-density server deployment. SAP has adopted various
measures to enhance data center cooling efficiency, including managing airflow using a hot and
cold aisle layout for server racks. A containment system isolates the hot aisles and cold aisles
from each other, preventing hot and cold air from mixing. This arrangement generates less heat
in the hot aisles, whilst cold aisles temperatures remain low, thus putting less strain on the air
conditioning system resulting in cost savings, environmental benefits, and improved performance.
In addition to implementing measures to increase cooling efficiency in data centers, SAP employs
the following strategies to effectively control energy loss:
● Thermography Process: SAP uses infrared cameras to detect hot and cold spots in data
centers, indicating the need for increased airflow or improved cabinet sealing to enhance
energy efficiency.
● FLIR Tool: The Forward-Looking Infrared tool detects inefficient airflows, which helps
prevent hardware failures caused by extreme temperatures, minimizing customer
downtime. It enables SAP to produce annual or incident-related reports on data centers,
both owned and co-located. These reports are analyzed for corrective actions.
● Temperature Monitoring and Management: SAP is expanding the installation of
temperature sensors on the front and back sides of each rack in all data halls for continuous
monitoring. This setup provides detailed comparisons between desired and actual
temperatures, mapping the results to identify hot spots and analyzing temperature trends,
thereby facilitating corrective and preventive actions.