The technology industry, while a driver of innovation, is increasingly exposed to environmental risks stemming from climate change and ecosystem degradation. Its rapid expansion relies heavily on natural resources such as water, energy, and rare minerals, making sustainability a strategic imperative. A shift toward a nature-positive model could unlock approximately $800 billion in financial benefits across the sector’s value chain through cost reductions and new revenue streams. n nThe World Economic Forum has outlined seven strategic actions for tech firms to minimize ecological harm and contribute positively to environmental restoration. These steps align with the mitigation hierarchy—prioritizing avoidance of damage, followed by reduction, restoration, and compensation. n nFirst, companies should enhance water resilience by assessing site-level water stress and improving efficiency. Leaders in the field, such as semiconductor manufacturers in Taiwan, recycle up to 85 percent of their wastewater. Firms like Salesforce are also investing in watershed replenishment to address growing global water scarcity. n nSecond, reducing pollution and advancing circularity is essential. This includes designing hardware for longer lifespans and establishing take-back programs for electronic waste. Collaborative initiatives, such as Australia’s MobileMuster—supported by Google, Samsung, and HTC—enable nearly universal access to phone recycling. n nThird, tackling non-energy greenhouse gas emissions, particularly those from semiconductor fabrication, is critical. Industry leaders are deploying gas capture systems and investing in high-quality carbon removal solutions. Long-term innovation, such as IBM’s decades-long eco-design program, focuses on minimizing emissions during product development. n nFourth, responsible land use involves avoiding construction on ecologically sensitive areas and instead repurposing brownfield sites. When development occurs, integrating native plants, green roofs, and low-irrigation landscaping helps preserve biodiversity. Some firms, including HP, are investing in biodiversity offsets through partnerships with conservation organizations. n nFifth, powering operations with renewable energy is a growing standard. Energy constraints, especially in data center deployment, are a bottleneck; building transmission infrastructure often takes longer than constructing facilities. Leading companies are going beyond power purchase agreements to co-invest in new energy infrastructure. AI-driven cooling and process optimization also reduce energy and water demands. n nSixth, supply chain engagement is vital. Many firms now require environmental certifications from suppliers and set sustainability targets. Delta Electronics, for example, includes energy and waste metrics in its supplier code. Others, like Micron, collaborate with partners such as Merck KGaA to develop lower-impact manufacturing gases. n nSeventh, external engagement and policy advocacy can amplify impact. More companies are adopting disclosure frameworks like the Taskforce on Nature-related Financial Disclosures (TNFD). Industry-government collaborations, such as the U.S. board advising on responsible AI infrastructure, demonstrate how collective action can shape sustainable innovation. n nA coordinated effort across the tech ecosystem can not only secure long-term operational resilience but also position the sector as a leader in the global sustainability transition. n— news from The World Economic Forum
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7 ways the tech can lead the nature-positive transition
The tech sector’s growth is highly dependent on nature and is facing rising risks from climate change and ecosystem degradation. n nA nature-positive approach presents has the potential to deliver up to $800 billion in cost savings and revenue upside across the tech sector value chain. n nSeven priority actions can drive this transition, from improving water use and tackling pollution, to powering operations sustainably. n nThe demand for data centres, semiconductors and hardware to power the new tech revolution has never been greater. However, tech sector growth depends heavily on nature, consuming vast water, energy and mineral resources, while facing rising risks from climate change and ecosystem degradation. n nAddressing the sector’s relationship with the planet and investing in a nature-positive future can secure companies’ social and regulatory license to grow and operate, develop resilience to nature-related risks, meet growing stakeholder expectations and deliver opportunities for financial growth and cost savings. n nAs Tim Christophersen, vice president of climate action at Salesforce, says, “In a sector that is growing fast, it is important that we address the ways in which the technology industry depends on and impacts nature. n n”No individual company will be able to solve nature-related risks and impacts on their own – we must come together from all points within the technology value chain to build resilience.” n nThis convergence of resource intensity, risk and stakeholder and regulatory momentum means that the timing is opportune and the opportunity immense. The World Economic Forum estimates the tech sector can capture around $800 billion in cost savings and revenue upside for businesses operating across the sector’s value chain. n nTech sector priorities in the nature-positive transition n nWe have identified seven key actions for the tech sector to both reduce harm to nature and generate nature benefits across the entire value chain. These actions ensure alignment with the mitigation hierarchy – avoid, reduce, restore and compensate – to prioritize preventing negative impacts from occurring initially. n nMany companies are already taking simple, cost-effective steps towards these actions, which are becoming industry standard. Others are leading through ambitious moves that also yield greater nature and commercial benefits. Lastly, some companies are pioneering transformative but complex actions that require time, commitment and innovation. n n1. Advance resilient and restorative water use n nMany companies are already assessing potential sites for water stress and improving operational water efficiency. Leading players extend this into their supply chains (such as in power generation) and adopt closed-loop systems. n nFor example, Taiwanese semiconductor fabricators recycle on average 85% of wastewater. Companies including Salesforce are focused on replenishing watersheds and combating the water strain projected to affect half of the global population by 2030. n n2. Mitigate pollution and pursue circularity n nCompanies should take care to avoid releasing pollutants into the environment and to extend product lifespans to reduce e-waste. Leading companies go further: optimizing hardware design for circularity and developing collection programmes for their customers’ e-waste. n nAspirational actions require cross-company collaboration – for example, Australia’s MobileMuster programme, a collaboration between government and companies such as HTC, Google and Samsung, enables nearly 100% of its population to recycle mobile phones. n n3. Tackle non-power greenhouse gas emissions n nCertain tech processes, especially in semiconductor manufacturing, generate direct emissions. It is becoming an industry standard to monitor and prevent leaks of high global warming potential gases used in semiconductor manufacturing. n nLeading companies are also deploying gas scrubbers and other technologies to capture waste gases. Across the tech sector, leaders are investing in high-integrity carbon credit and carbon removal programmes to address residual emissions. n nIn the longer term, companies can redesign products and processes to reduce embodied emissions and the use of high global warming potential gases; IBM’s decades-long product design for the environment programme has incorporated emissions considerations into material selection and product design. n n4. Promote land stewardship and restoration n nThough land impacts are less prominent in tech, leading companies actively avoid development on high-value ecosystems or even better, favour previously developed brownfield land. When they build, they plant native vegetation, install green roofs and minimize irrigation requirements. n nThe aspiration is to consider biodiversity similarly to carbon, with upfront and ongoing assessment and reduction of impacts alongside investments into high-integrity biodiversity offsets or ecosystem restoration, as seen in HP’s partnerships with the Arbor Day Foundation, the World Wildlife Fund and Conservation International. n n5. Power operations sustainably n nTech’s reliance on power slows growth – “A new data centre can be built in 18 months,” says IEA Executive Director Fatih Birol, “but building new [power] transmission lines can take four to eight years.” n nGiven the direct impact on business, companies commonly incorporate energy efficiency into site design and upgrades. Leading companies commit to renewable, low-carbon power and in some cases, go beyond Power Purchase Agreements to directly sponsor new generation, transmission and distribution infrastructure. n nAI-driven process management and innovative cooling reduce both energy and water use. n n6. Engage with your supply chain n nGiven a reliance on energy, water and mineral inputs, engaging with suppliers is critical. It is now common practice to request environmental certifications from suppliers (including ISO 14001, Initiative for Responsible Mining Assurance, and others). n nDelta Electronics’ supplier code of conduct includes metrics on energy conservation, carbon and waste reduction, and sustainable material procurement. Leading companies set commitments related to their supply chains and collaborate with suppliers on lower-impact alternatives. n nWhere alternatives are especially limited, aspirational players partner even more closely on research and development, such as Micron working with Merck KGaA to develop lower global warming potential gases for semiconductor manufacturing. n n7. Engage externally and support policymaking n nIncreasingly, companies are reporting on nature-related risks, following frameworks like the Taskforce on Nature-related Financial Disclosures. Leading companies proactively shape policy to drive the nature-positive transition – for example, a joint US-government, tech industry board (including IBM, Microsoft, Alphabet, AWS, and AMD) advises on responsible AI infrastructure. n nSimilar partnerships can create sector-wide platforms for nature metrics, such as the European Green Digital Coalition’s development of methods to estimate tech-enabled emissions reductions. n nA call to action for the tech industry n nA nature-positive tech sector is both a necessity and an immense opportunity. As natural resources and ecosystems become increasingly critical to sector resilience and growth, tech companies can lead by integrating nature with their strategies, product design and procurement. n nBy enabling its own sustainable growth, the sector will be better positioned to enable the nature-positive transition in other industries as well. n nThe Nature Positive: Role of the Tech Sector report will be available in late 2025, with more work in progress on opportunities for the tech sector to lead on nature action. Check out the Nature Positive Transitions initiative if you are interested in learning more.