ESG-related activities in the global technology sector have been characterised by ‘incremental progress and pragmatic approaches to changing geopolitical circumstances’, a new report by GlobalData has said.
According to GlobalData’s latest Tech ESG Watch quarterly update, sustainability initiatives undertaken by tech firms in the second quarter included recycling initiatives unveiled by Virgin Media O2 Business, commitments to renewable energy by Maxis, and NTT DATA joining the World Business Council for Sustainable Development.
‘Slow, but ongoing process’
“In the same way that climate change is a slow but ongoing process, so is the tech sector’s response,” commented Robert Pritchard, principal analyst, Enterprise Technology & Services at GlobalData. “This is not a criticism, it’s a fact. But the combined efforts to reduce greenhouse gas (GHG) emissions, to play a positively impactful role in the markets where they operate, and to uphold high standards of governance still lead the market.”
Commenting on the efforts made by tech firms in the quarter, he added that none of these activities “make a significant difference in and of themselves, but the collective impact across the industry is substantial – and shows an ongoing commitment to tackling the climate crisis.”
DEI commitments
In spite of a growing pushback against DEI (Diversity, Equity, and Inclusion), particularly in the United States, there has been a ‘widespread and continued commitment’ by tech firms to support communities across all global markets, GlobalData added.
“Tech companies know they can make a difference – and that it is good for their customers, their employees, and their brands,” Pritchard added. “On some occasions, they have had to adopt pragmatic tactics, such as removing their overt DEI commitments to gain approval for acquisitions in the US, but ultimately, they have a duty to their shareholders as well as all their other stakeholders.
“Tech companies live in the real world. At the moment it is particularly turbulent both in terms of geopolitics and rapid technology evolution such as AI. A long-term commitment to sustainability and a pragmatic day-to-day approach to operations makes total sense.” Read more here.
