This is technically correct, and much of the data centers actual use goes into private security monitoring and ai databases of citizen behaviours online through companies such as palantir, flock etc.
Generative AI however still has a signifcant environmental impact on its own accord, and further the ethical issues of piracy and the whole "burning rare and unique texts so that the only copy exists in the digital banks of an AI company which cannot legally recreate the missing text but can provide summaries of it" is kinda loving insane.
https://futurism.com/artificial-intelligence/ai-companies-destroying-rare-books