BP and Microsoft Corp. announced that they have agreed to collaborate as strategic partners to further digital transformation in energy systems and advance the net zero carbon goals of both companies. This includes a co-innovation effort focused on digital solutions, the continued use of Microsoft Azure as a cloud-based solution for bp infrastructure and bp supplying renewable energy to help Microsoft meet its 2025 renewable energy goals.
A memorandum of understanding (MOU) signed by bp and Microsoft recognizes the capabilities that each company can provide to accelerate progress towards their sustainability goals and help the world decarbonize. Their co-innovation effort will initially be focused on four areas that combine Microsoft’s digital expertise with bp’s deep understanding of energy markets:
- Smart and clean cities – identifying synergies between Microsoft’s ‘Smart Cities’ initiative and bp’s ‘Clean Cities’ vision, with a goal of identifying areas for strategic collaboration to help cities achieve their sustainability aims.
- Clean energy parks – co-development of innovative, clean energy parks with an ecosystem of low carbon technologies such as carbon capture use and storage (CCUS) to prevent or reduce emissions.
- Consumer energy – exploring innovative ways to harness the power of data-driven, personalized, actionable insights to empower energy consumers to manage their home energy use and reduce carbon emissions.
- Industrial Internet of Things (IoT) solutions – delivering an ‘intelligent edge’ of capabilities to bp production and operations facilities.
For both bp and Microsoft, low carbon is part of a wider sustainability agenda and they aim to deepen collaboration in this area over time.
As part of bp’s cloud-first IT approach, the company has extended its agreement to use Microsoft Azure cloud services as a strategic platform. This expands on bp’s existing relationship with Microsoft, which helped accelerate the digitization of bp infrastructure and operations, while Microsoft 365 enabled greater collaboration and remote working productivity during the COVID-19 response.
Utilizing Microsoft Azure cloud enables bp to access a broad and deep portfolio of cloud services, including machine learning with Azure Digital Twins, data analytics, security and more, to gain greater insights, drive significant optimization opportunities and transform business processes.
Microsoft and bp have signed a framework agreement for renewable energy projects that aims to provide renewable energy to help power Microsoft’s data centers. bp will supply renewable energy to Microsoft across multiple countries and regions including the US, Europe and Latin America. The agreement contributes to Microsoft’s 100% renewable energy goal by 2025.