The beginning of the end of tech greenwashing
Technology can potentially play a significant role in helping to reduce GHG emissions and mitigate some of the worst impacts of climate change. Unfortunately it's also currently part of the problem, as the impact of technology infrastructure on enterprise carbon footprints continues to grow.
However, sustainability will continue to increase in importance to tech buyers, and vendors will be forced to raise their game as potential customers, investors and employees call for more detailed sustainability metrics. Awareness of greenwashing has increased this year, and the use of sustainability as marketing is being increasingly called out.
According to recent research from Pure Storage and Wakefield Research, 73% of sustainability managers in the UK report that their company's leadership is treating sustainability initiatives as a priority. Certainly, tech companies are repeatedly placing ESG considerations highly when issuing competitive tenders for goods and services.
Demographic changes, and the impact of these changes on both financial and labour markets are driving this change. The average age of tech investors is dropping, and that reduction in age is often associated with values more aligned with greater environmental sustainability.
The tightest labour market in decades has also increased the power of Gen Z, whom many recruiters and employers report are far more values-driven than previous generations. Tech employers are competing for skills and one way to distinguish yourself is with a strong environmental agenda.
The combined effect of these pressures means that greenwashing will become harder for enterprise technology to sustain.
