Ecolab Delivers on Commitments to Save Water in Historic AI Era

Rhea-AI Summary

Ecolab (ECL) demonstrates its water leadership achievements and AI-driven initiatives on World Water Day 2024. The company helped customers conserve over 226 billion gallons of water, equivalent to annual drinking water needs of 781 million people. Key developments include:

- Acquisition of Barclay Water Management to enhance water safety solutions
- Partnership with Digital Realty to implement AI-driven water conservation in 35 U.S. data centers
- Collaboration with Danieli through Nalco Water for industrial water treatment
- Participation in $10 million funding for PFAS treatment technology

The company aims to help conserve 300 billion gallons of water annually by 2030. Ecolab expanded its AWS-certified facilities to 12 and received WAVE certification. As Water Resilience Coalition cofounder, Ecolab contributed to WaterEquity's Water & Climate Resilience Fund, raising over $100 million for water access across developing regions.

Positive

• Achieved significant water conservation of 226 billion gallons in 2024
• Strategic acquisition of Barclay Water Management expanding water business
• Implementation of AI solutions in 35 data centers through Digital Realty partnership
• Secured $10 million funding for innovative PFAS treatment technology
• Expanded AWS certification to 12 facilities

Negative

• Increasing water demands from AI technology growth could strain resources
• Additional power consumption equivalent to India's annual needs by 2030 due to AI growth

Insights

Environmental Business Analyst

Ecolab's strategic positioning in water management amid the AI computing boom represents a significant business opportunity. The company is capitalizing on increasing water demands from data centers and computing infrastructure while leveraging AI technology itself to optimize customer operations.

The acquisition of Barclay Water Management enhances Ecolab's digital monitoring capabilities, particularly important as water management becomes more complex and technology-driven. Their partnership with Digital Realty to implement water conservation across 35 data centers is especially noteworthy as data center water consumption becomes a critical environmental and operational concern.

The company's collaboration with Danieli in industrial metals processing represents another vertical expansion of their water treatment technologies. By focusing on high-water-usage industries, Ecolab is targeting sectors where conservation solutions deliver the strongest ROI.

Ecolab's participation in the $10 million PFAS treatment technology funding demonstrates their commitment to addressing emerging contaminants, positioning them ahead of increasing regulatory scrutiny of forever chemicals.

Their multiple certifications (AWS, WAVE) create competitive differentiation in a market where customers increasingly require demonstrated environmental credentials. Their progress toward the 2030 goal of conserving 300 billion gallons annually establishes measurable benchmarks against which investors can evaluate execution.

Technology Industry Strategist

Ecolab's strategic pivot toward AI-driven water management solutions demonstrates exceptional market foresight. The company has correctly identified the intersection of two critical trends: increasing water scarcity and exponential growth in computing infrastructure.

The Digital Realty partnership is particularly strategic as data centers face mounting scrutiny over resource consumption. By deploying AI-optimized water systems across 35 facilities, Ecolab gains valuable implementation data while establishing dominance in a rapidly growing vertical. Data centers represent one of the fastest-growing water-consumption categories, and regulatory pressure will likely accelerate demand for efficiency solutions.

Their proprietary connected systems create recurring revenue opportunities while generating valuable operational data to improve algorithms. The Barclay Water Management acquisition enhances their digital monitoring capabilities, suggesting Ecolab is building a comprehensive technology stack for water management rather than just offering traditional treatment chemicals.

The Smart Water Navigator tool indicates Ecolab is developing a software-as-a-service approach alongside traditional solutions, potentially creating new revenue streams with higher margins than chemical treatments alone. This digital transformation could significantly alter their business model toward higher-value services.

By highlighting AI's dual role as both water consumer and efficiency enabler, Ecolab demonstrates sophisticated understanding of how to position themselves in emerging technology conversations, particularly relevant for ESG-focused investors.

This World Water Day, Ecolab reinforces its continued water leadership and highlights new opportunities for water savings driven by AI

ST. PAUL, Minn.--(BUSINESS WIRE)-- Water is the world’s most essential resource, and it’s only grown more critical in the age of AI. During this transformative digital revolution, Ecolab, a global sustainability leader that maximizes growth and performance through water solutions and infection prevention services, has continued to meet its goals and work with customers to deliver profitability while advancing optimized water use.

By 2030, it is estimated that AI-related growth will demand additional power equivalent to the annual needs of India¹ and as much water to meet the annual drinking water needs of the United States². As the world navigates the growth of AI and high-tech data centers, there is a unique opportunity to leverage AI to help drive efficiency and innovation in circular water management to improve operational processes and conserve natural resources. Ecolab’s mission to help protect water while driving business growth is more important than ever.

“The rapid acceleration of AI technology is increasing demands on our water and energy resources, yet it also offers unprecedented opportunity to address the water crisis through proprietary connected systems and powerful insights,” said Christophe Beck, chairman and CEO of Ecolab. “By leveraging AI to reduce, reuse and repurpose water throughout business operations, we can continue to win the right way by delivering positive performance for customers while protecting natural resources.”

Ecolab, together with its customers, made significant progress in 2024 to advance water stewardship and help build a more resilient and profitable future. This World Water Day, Ecolab celebrates these achievements in protecting water resources while continuing to grow. Highlights from Ecolab’s 2024 Year in Water include:

• Water conservation: Ecolab helped customers conserve more than 226 billion gallons of water, equivalent to the annual drinking water needs of more than 781 million people. By 2030, Ecolab aims to help conserve 300 billion gallons of water annually, equivalent to the drinking water needs of 1 billion people.
• Business growth: Ecolab continued to grow its Global Water business through the acquisition of Barclay Water Management, helping enhance its water safety and digital monitoring solutions.
• AI-driven solutions: Ecolab collaborated with Digital Realty to deploy an AI-driven water conservation solution in 35 of Digital Realty’s U.S. data centers, aiming to improve water use efficiency and reduce environmental impact.
• Water treatment partnerships: Nalco Water, Ecolab's water and process management business, partnered with Danieli to enhance industrial water treatment for the metals industry, aiming to improve production processes, reduce carbon and water footprints, and lower costs.
• Consumer engagement: Ecolab elevated awareness of the importance of water during New York Climate Week with its “Every Drop Counts” exhibit in Bryant Park. It also continued its annual Ecolab Watermark™ Study, which reports on the state of water stewardship around the world.
• Leading certifications: Ecolab continued pursuing Alliance for Water Stewardship (AWS) certification, bringing its total count of AWS-certified facilities to 12. Ecolab also earned the Water Stewardship Verified (WAVE) certification for its leading water stewardship efforts.
• Innovative funding: Ecolab participated in a $10 million funding round led by Emerald Technology Ventures to accelerate the global deployment of an innovative PFAS treatment technology, the LEEF System^®.
• Convener of water action: As cofounder of the Water Resilience Coalition (WRC), an industry-driven, CEO-led initiative under the UN Global Compact, Ecolab is committed to addressing the global water crisis. Over the past year, Ecolab helped the WRC make significant strides towards its 2030 roadmap:
  • Investing in Safe Water and Sanitation: Along with Microsoft, Starbucks, Xylem, Reckitt, Gap Inc. and others, Ecolab contributed to the Water & Climate Resilience Fund by WaterEquity. This innovative impact fund has raised more than $100 million, aiming to provide safe water or sanitation access to 15 million people across Africa, Asia and Latin America.
  • Championing California's Water Resilience: As Basin Champion for drought-stricken California, Ecolab convened the second annual forum of the California Water Resilience Initiative (CWRI). This private sector initiative accelerates coordinated, collective action to achieve a water-resilient future for California, aligning with public sector goals.
• Recognition: Ecolab received public accolades for sustainability, climate and water leadership from CDP, JUST Capital, the Dow Jones and Barron's, among others.
• Smart Water Navigator: Ecolab continued to offer its informative digital tool to help businesses understand the full value of water in their operations and achieve water goals.

Ecolab’s mission to protect vital resources and deliver business growth is more critical now than ever in the age of AI. By prioritizing smart water management, Ecolab is helping businesses perform while building a more resilient and positive future. Learn more at: https://www.ecolab.com/expertise-and-innovation/water.

About Ecolab

A trusted partner for millions of customers, Ecolab (NYSE:ECL) is a global sustainability leader offering water, hygiene and infection prevention solutions and services that protect people and the resources vital to life. Building on more than a century of innovation, Ecolab has annual sales of $16 billion, employs approximately 48,000 associates and operates in more than 170 countries around the world. The company delivers comprehensive science-based solutions, data-driven insights and world-class service to advance food safety, maintain clean and safe environments, and optimize water and energy use. Ecolab’s innovative solutions improve operational efficiencies and sustainability for customers in the food, healthcare, high tech, life sciences, hospitality and industrial markets. www.ecolab.com

Follow us on LinkedIn @Ecolab, Instagram @Ecolab_Inc and Facebook @Ecolab.

(ECL-C).

¹ Bloomberg Law, “AI Computing on Pace to Consume More Energy Than India, Arm Says,” April 2024. https://news.bloomberglaw.com/artificial-intelligence/ai-computing-on-pace-to-consume-more-energy-than-india-arm-says.
² Ecolab analysis of data from Lei, N., & Masanet, E. (2022) and Goldman Sachs (2024).

View source version on businesswire.com: https://www.businesswire.com/news/home/20250321820071/en/

Kim Del Alcazar

+1-612-483-3698

MediaRelations@Ecolab.com

Source: Ecolab Inc.

FAQ

How much water did Ecolab help customers save in 2024?

Ecolab helped customers conserve more than 226 billion gallons of water in 2024, equivalent to the annual drinking water needs of over 781 million people.

What is Ecolab's water conservation target for 2030?

Ecolab aims to help conserve 300 billion gallons of water annually by 2030, equivalent to the drinking water needs of 1 billion people.

How is ECL implementing AI in water conservation?

ECL is deploying AI-driven water conservation solutions in 35 Digital Realty U.S. data centers and leveraging AI technology to improve operational processes and resource conservation.

What major acquisition did ECL make to expand its water business in 2024?

Ecolab acquired Barclay Water Management to enhance its water safety and digital monitoring solutions.

How many AWS-certified facilities does ECL currently operate?

Ecolab currently operates 12 Alliance for Water Stewardship (AWS) certified facilities.