HP: £1bn (US$1.2bn) Spent Each Year on Green Technologies
With sustainability an increasingly important driver of innovation, investment in green technologies has hit a dizzying new height.
Around £1bn (US$1.2bn) is being spent by UK-based enterprises on green technologies – where technology and science meet to create products and services that are environmentally friendly — each year, according to HPE and Auxilion.
A global edge-to-cloud company, HPE is one of the world’s most sustainable cloud companies. It surveyed more than 100 IT decision makers in UK mid market enterprises and larger for the study to gauge their levels of commitment to sustainability.
Organisations ‘putting their money where their mouth is’
Speaking about the report’s findings, Auxilion’s CTO Donal Sullivan said: “As shown by this research and our recently released report, it is positive to see organisations putting their money where their mouth is by investing in green technology. What the report and survey data highlights is a direct link between sustainability and business growth, which is something the industry has been debating for some time.
“We expect to see this investment by UK enterprises in green technology increase over time, as well as the role of AI in enabling organisations to deliver on their sustainability targets.
“One of the most interesting elements of the survey was how an organisation’s sustainability commitment and credentials can help to attract and retain the best talent - which is a critical issue for any organisation. Sustainability is important to many people, and this is something leaders need to consider.”
Donal’s comments come off the back of the commitment of UK enterprises to sustainability, with the study with HPE finding around four in five IT decision makers saying sustainability is a current priority for their organisation. As well as this, 84% feel proud of their company’s commitment to green IT.
Does green tech investing equal meaningful sustainability?
Investing in green technology is part of circular economy growth as it allows businesses to scale their sustainable practices beyond their individual goals. Thanks to the data provided by some groups of green technology, waste reduction and resource sharing can be promoted, resulting in reuse and recycling between the likes of commercial partners and the larger community.
Sustainability priorities have a direct impact on individual businesses, too. HPE and Auxilion’s data found 75% of IT decision makers consider sustainability key to business growth, with a similar amount flagging it key in attracting and retaining talent and identifying a differentiator when choosing a vendor.
“Sustainability and profitability go hand in hand. That’s how you build a resilient company,” Henrik Henriksson, CEO of H2 Green Steel told McKinsey, advising other green companies looking to scale up.
This leans into a section of the survey which delved into the role of AI in working toward sustainability targets. As more companies harness the capabilities of AI to enhance their operations, it also has a profound impact on profitability.
In response to questions posed for the report, 87% of IT decision makers declared they have already invested or are planning to invest in AI sustainability solutions for their business in the next 12-24 months. With a further 76% saying AI has a significant role to play in achieving sustainability targets, investment is set to increase.
“Climate change is not a financial risk that we need to worry about,” Stuart Kirk, Financial Times columnist and former Global Head of Responsible Investing at HSBC Asset Management said.
******
Make sure you check out the latest edition of Sustainability Magazine and also sign up to our global conference series - Sustainability LIVE 2024
******
Sustainability Magazine is a BizClik brand
******
