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Who else foresees environmental problems with this later down the line?
(news.microsoft.com)
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Well, you are right that Microsoft never applied this large-scale, nor does it currently run any underwater datacenters. But project Natick anyway ran for over five years, with the first prototype having been deployed in 2015 and the last one recovered in 2020. So apparently not exactly the definitive future of Microsoft datacenters, but much more than a photo op.
https://en.wikipedia.org/wiki/Project_Natick
https://natick.research.microsoft.com/
https://news.microsoft.com/source/features/sustainability/project-natick-underwater-datacenter/