Microsoft in record deal for soil carbon credits as data centres surge

Microsoft in record deal for soil carbon credits as data centres surge

By Reuters
Publication Date: 2026-01-15 05:08:00

LONDON, Jan 15 (Reuters) – Microsoft has agreed with Indigo Carbon to buy a record 2.85 million soil carbon credits linked to regenerative agriculture in the United States, as ​the tech giant aims to become “carbon negative” by 2030 despite surging emissions linked to AI.

While ‌Microsoft – the world’s biggest buyer of carbon removal credits – did not disclose the cost of the 12-year tie-up, a person ‌with knowledge of the deal said it falls within the historic range of $60 to $80 a ton for Indigo Carbon’s credits, which would value the deal at between $171 million and $228 million.

Regenerative farming covers a range of actions such as reducing tilling, using cover crops and letting livestock graze to improve the ability of ⁠the soil to capture climate-damaging carbon ‌emissions and retain water.

Market data firm Sylvera said it had seen an increase in demand for such credits last year, including a deal by Microsoft for ‍2.6 million credits from Agoro…