Salesforce Inc (CRM  ) advocates for increased environmental regulation of artificial intelligence, pointing out the technology sector's high energy usage and lack of emissions reporting.

On Monday, the software developer announced its intention to push lawmakers and regulators to develop legislation that mandates AI emissions disclosure using standardized measurement and reporting metrics.

Megan Lorenzen, Salesforce's director of climate and energy, emphasized AI's dual potential to worsen or mitigate environmental challenges.

Salesforce specifically urges companies that use general-purpose AI models to publicly report their energy efficiency and carbon footprints using standardized metrics, the Wall Street Journal reports.

According to Lorenzen, such transparency will improve efficiencies over time and enable users to make more informed decisions regarding AI and energy consumption.

Moreover, Salesforce sees these disclosures as essential to achieving a net-zero future and considers them ideal while assessing the risks of high-impact AI models.

Also this week, Salesforce dumped its acquisition discussions with Informatica Inc (INFA  ) after disagreeing on the merger terms.

The deal could have resulted in one of Salesforce's most significant acquisitions.

Salesforce stock gained 41% in the last 12 months. Investors can gain exposure to the stock via REX FANG & Innovation Equity Premium Income ETF (FEPI  ) and SmartETFs Advertising & Marketing Technology ETF (MRAD  ).

Price Actions: CRM shares traded lower by 0.33% at $272.92 at the last check Tuesday.