How Green is the Gaming Industry?

published Apr 07, 2025
1 min read

The gaming industry is now as mainstream as it can get. Besides Gen X/baby boomers, it’s now ubiquitous across all generations as a normalised way to spend our evenings.

But, if you’ve ever looked up building your own gaming PC, or taken notice of the large power supply units that often come with these machines, you may be questioning just how much energy they use.

In reality, it’s quite easy to judge your own usage (200w for a PS5), but what about the industry as a whole?

The carbon footprint of gaming

You’re right to be concerned about gaming’s environmental impact. The industry generates over 81 million tonnes of CO2 emissions each year, with video game companies alone responsible for approximately 14 million tonnes, which is more than Lithuania’s entire carbon output.

Modern gaming devices in the US use around 16 TWh each year (and rising, of course), which produces tens of millions of metric tons (CO2). Manufacturing these isn’t easy, with raw materials required for precision and scarce components.

Data centres that support online gameplay are working tirelessly, too. These are the servers that allow online gamers to connect, and they require vast cooling systems and power supplies, though renewable energy supply is being pushed in the Nordic centres.

Finally, only 20% of e-waste is formally recycled, and gaming is a part of this problem. Smartphones are certainly the biggest culprit, but consoles inherently become obsolete (will not run new games) after 5-10 years. This means that there is no longevity in expensive machines, as we are currently on our 5th generation of PlayStation since the mid-90s.

The online gambling industry’s green credentials

Online gambling faces similar sustainability challenges. Server farms running 24/7 consume enormous energy resources, though there are far less graphical requirements within this industry. Within sports betting UK, some famous sportsbooks are committing to net zero by 2035. They have a lot of data to host (though many simply plug in third-party data), but online casinos are beginning to step up their graphical demands as they lean towards the video games route.

The Malta Gaming Authority introduced environmental considerations into licensing requirements, but a lot of the battleground is learning how to tune down their resource-intensive infrastructure during quieter periods (and potentially using AI to plan for these quiet periods).

UK green legislation impacting gaming companies

The UK’s legally binding target of net-zero emissions by 2050, though far away, is helping. The Environmental Bill 2020 introduced stricter electronic waste regulations, and this is helping facilitate product repairs and recycling. The EU also has a lot to say about smartphone repairability, and this will likely translate to gaming consoles too. Though, we shouldn’t underestimate the prevalence of mobile gaming, as it’s now the most dominant vehicle for gaming, which is a win for sustainability due to the low wattage consumption.

The Digital Markets Unit has begun examining tech giants’ environmental practices, potentially affecting game distribution platforms, while Scotland’s recently enhanced producer responsibility regulations impact hardware manufacturers operating across the UK.

Where are we headed?

The gaming industry suffers from an inherent boundary-pushing problem. Each generation feels it needs to be better, and innovation is how companies compete. This can only mean using more energy, though it can mean using less energy for non-flagship machines (the average smartphone can now play full console games). But, as is often the case, it comes down to legislation and large corporations’ commitment to net-zero, and whether these KPIs are accurately represented or simply gamed using credits and shortcuts.