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Ericsson Commits to Net Zero by 2040 in 2021 Sustainability and Corporate Responsibility Report

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Ericsson delivered on its sustainability targets and made a series of new commitments in 2021. The company put a particular focus on energy performance and strengthening its ambition to reach Net Zero across its value chain by 2040.

In 2021 Ericsson introduced a new vision to improve lives, redefine business and pioneer a sustainable future. Building on decades as a sustainability pioneer, the company has made a strong commitment to fulfilling this vision through its own efforts and through working across and beyond the ICT ecosystem.

This focus is reflected in Ericsson’s latest Sustainability and Corporate Responsibility Report, which highlights its 2021 performance across the areas of responsible business, environmental sustainability and digital inclusion.

“Our sustainability-driven solutions and partnerships create real impact for our customers and our stakeholders,” says Heather Johnson, Ericsson’s Head of Sustainability and Corporate Responsibility.

“But they also create value for society, whether by enabling the reduction of emissions across industries, creating more energy-efficient networks or helping to bridge the digital divide. We made significant progress towards our sustainability goals in 2021, and we are now setting even more ambitious targets for the future.”

Performance and highlights

Net Zero: In 2021 Ericsson set a long-term ambition to be Net Zero by 2040 across its value chain. To meet this ambition, Ericsson will work towards 1.5°C aligned climate targets set by the Paris Agreement.

The first major milestone is to achieve Net Zero emissions from the company’s own activities by 2030 – as well as reducing emissions by 50 percent in its portfolio and supply chain also by 2030.

Energy performance:  To meet customer expectations and help the telecom industry reach Net Zero, Ericsson has developed innovative solutions that enable operator networks to use as little energy as possible while managing expected growth in data traffic, meeting the needs of both current and future 5G networks.

In 2021, Ericsson achieved 36% energy savings from delivered Ericsson Radio System radios versus the legacy portfolio, surpassing the company’s approved Science Based Target of 35 percent one year ahead of schedule.

During 2021, Ericsson also launched a series of ultra-light Massive MIMO radios that are 10 percent more energy efficient than the previous generation.

Digital inclusion: The digital divide continues to be a key challenge to global economic development with roughly 2.9 billion people still offline. With innovative technologies and services, Ericsson and its partners and customers are pioneering new ways to connect societies and improve lives.

In 2021 Ericsson continued its partnership with UNICEF in support of the Giga initiative, helping to map schools and assessing their connectivity in 35 countries by the end of 2023.

Ericsson also made a commitment to positively impact one million children and youth by 2025 by providing access to digital learning and skill development programs as part of the World Economic Forum-aligned EDISON Alliance 1 Billion Lives Challenge.

Corporate responsibility:  Ericsson continued its focus on health, safety and well-being in 2021, including a robust COVID-19 response that included a focus on employee mental health and access to vaccines in places where they were not easily accessible.

In 2021 there was an increase in work-related fatalities compared to 2020, in contrast to the decreasing trend of recent years.  The company has declared this unacceptable and is more committed than ever to Target Zero – a goal of zero fatalities and lost workday incidents.

Ericsson launched its revised Code of Business Ethics, which defines both the company’s ethical principles and its expectations of responsibility across the value chain. The company also added integrity as one of its four core values as well as publishing a report on the human rights impact of 5G.

Ericsson’s Sustainability and Corporate Responsibility Report is part of the Company’s Annual Report and externally assured by an independent third party. It is also produced in accordance with GRI Sustainability Reporting Standards and the UN Guiding Principles on Business and Human Rights Reporting Framework.

Ericsson continues to strengthen its radio access network (RAN) portfolio with solutions that address the 5G rollout and sustainability goals of communications service providers. Announced today, the portfolio additions will deliver sizeable energy savings and up to ten-fold capacity increases – with minimal or no added footprint.

Leading the portfolio enhancements is Radio 4490, a dual-band radio that delivers 25 percent lower power consumption and lesser weight compared to the current product. This radio type is compatible with most of the radio sites globally as it supports the main FDD (Frequency Division Duplex) bands being used by many service providers for their 5G deployment.

Ericsson is also launching a high-power version of the new dual-band radio, 4490 HP, which enables up to 50 percent more output power compared to current radios. The two new radios apply passive cooling – reducing power consumption further, as fans are not needed. They are also Cloud RAN-ready.

Per Narvinger, Head of Product Area Networks, Ericsson, says: “We continue to evolve our RAN portfolio with more solutions for smart, slim, and sustainable 5G networks. Our latest innovations will further optimize 5G sites for both purpose-built and Cloud RAN deployments.”

5G rollouts are accelerating across the world, with frontrunners gearing up for the shift to 5G Standalone to drive new consumer and enterprise use cases. Introducing 5G means added spectrum and hardware – which is where Ericsson’s new products play a key role through the ability to raise capacity while slashing power usage – fueling efforts to break the energy curve.

 

 


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GSMA Report Reveals How Cybersecurity and Revenue Growth are Driving Enterprise Digital Transformation

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A new report from GSMA Intelligence (GSMAi) shows that enterprises are focusing more on improving cybersecurity and boosting revenue rather than cutting costs, as they speed up their digital transformation.

The research, “The rise of digital industries: navigating enterprise needs, investments and supplier decisions” reveals that 60% of businesses prioritise revenue growth, customer experience, and competitive positioning over cost-related goals for their digital transformation.

Investment in digital technologies is projected to increase substantially over the next six years to meet business needs, with organisations surveyed planning to allocate 9% of enterprise revenue during 2024–2026, growing to 11% during 2027–2030.

Focus on 5G and AI

85% of enterprises see 5G networks and connectivity as important, with almost half marking them as extremely important, for their digital transformation success. Enterprises plan to spend 21% of their digital transformation budgets on connectivity and associated devices, 13% on mobile (including 5G), and 8% on fixed and Wi-Fi networks. Enhanced security (57%) and connectivity (52%) are the top 5G features they value most and investment in 5G between 2024 and 2030 is projected to be 2.5 times more than in 4G, especially in high mobility sectors such as automotive, transportation, logistics and warehousing.

AI is also a significant factor, making up 14% of enterprise technology expenditures, implemented to elevate customer experiences, strengthen security protocols and increase productivity among employees. Generative AI has swiftly gained importance in the digital strategy of companies, with 90% of them incorporating it, but only 33% are utilising it in advanced ways, indicating potential for further development.

IoT adoption is progressing, with businesses transitioning to more advanced use of IoT technology, including greater use of 5G. Moreover, enterprises show high interest in using eSIM for their IoT deployments, due to its scalability and enhanced security features. Enterprises expect eSIM to account for 42% of the total IoT cellular market by 2030.

Enterprise wants full stack suppliers

As enterprises accelerate their digital transformation journeys, they are opting to work with a broad range of suppliers to meet their technology needs. The research shows a preference for generalist suppliers – such as hyperscalers and telecoms network/equipment vendors – that offer nearly full-stack solutions.

Pablo Iacopino, Head of Research at GSMAi, said: “Enterprises of all sizes are eager to advance their digital transformation and are making the necessary investment. As a result, supplier competition is fierce.

“Telcos need to go beyond just providing network services since enterprises are increasingly looking for partners who can help them throughout their full digital transformation journeys, combining technologies such as 5G, AI, IoT and cloud to improve efficiency, security and drive revenues.

“The cost of implementation and complexity of tech integration are the top two deployment challenges faced by enterprises. This means the role of tech orchestrator will become even more important, and demanded in the future, which presents new opportunities for multi-service suppliers.”

Financial services leads in AI; automotive and mobility push 5G

The report highlights the vertical sectors driving digital transformation each with different priorities and technology investments:

  • Financial services: 92% are already using generative AI technology, and they lead in both wider AI adoption (92%) and spending on digital transformation (10.4% of revenue).
  • Media and entertainment: This sector leads in revenue growth as a top digital transformation objective, with 65% citing it as an extremely important objective. Also, 91% of media and entertainment enterprises are already using generative AI.
  • Utilities and energy: 51% of utility and energy enterprises are making advanced use of cloud technology—the highest of all sectors. 37% are prioritising generative AI for their financial spending through 2026 and allocating 16% of their digital transformation budgets to AI in the longer term.
  • Manufacturing and industrial: 33% of manufacturing enterprises identify a lack of internal expertise as a key challenge to AI deployment, the highest across all sectors. Manufacturing ranks high in its focus on cybersecurity, with 55% of enterprises making advanced use of these technologies.
  • Transportation, logistics and warehousing: This sector shows strong engagement with AI, including working with MNOs for AI solutions in any forms. This sector also stands out for its focus on IoT, with 36% of enterprises making advanced use of IoT technologies.
  • Healthcare: Healthcare enterprises allocate 14% of their digital transformation budgets to AI, and 41% of enterprises cite cybersecurity as one of their top five areas of financial spending over the next few years.
  • Automotive and mobility: This sector leads in terms of its focus on 5G, with 54% of enterprises rating 5G as extremely important to digital transformation.
  • Retail: 63% of retailers prioritise revenue growth as an extremely important digital transformation objective. They are also quickly adopting generative AI, with 87% using the technology and 34% making advanced use of it. 
  • Public sector: The public sector is investing heavily in digital transformation, allocating 10.1% of its revenues to these initiatives.
  • Agriculture, forestry, and fishing: This sector shows the lowest digital transformation score overall, leaving potential for improvement in areas such as IoT, AI and 5G.

To explore the full findings and insights from the Global Digital Transformation Survey 2024, full access to the report and dashboard can be found here.

In addition, there is a GSMAi webinar on 3 December (10:30am – 11:30am GMT) where Pablo Iacopino and Christina Patsioura, IoT and Enterprise Research Lead Analyst from GSMAi, will explore the key findings and insights from the survey research, and their implications.


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NEC Calls on States to Embrace NASENI’s Tech Innovations

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In a move to fast-track Nigeria’s industrialization, the National Economic Council (NEC), has urged state governments to patronize technological innovations developed by the National Agency for Science and Engineering Infrastructure (NASENI).

The Vice President Kashim Shettima stated this during the 146th NEC meeting which he chaired at the Presidential Villa, Abuja following a presentation by the Executive Vice Chairman of NASENI, Mr. Khalil Suleiman Halilu, which detailed a strategic roadmap by the Agency for Nigeria’s industrialization.

Mr. Halilu in his presentation titled “NASENI Economic Transformation Through Advancement in Technology Transfer and Adaptation”, detailed the Agency’s focus in critical sectors such as Renewable Energy & Sustainability, Health & Biotechnology, Agriculture & Food Manufacturing, Sustainable Transportation & Mobility, Digital Technology, Construction & Smart City, Defense & Aerospace.

The Agency sought NEC support to establish manufacturing industries in states, access local natural raw materials, streamline processes related to land and seaport facilitation, sought guidance or partnerships to tap into public sector market, assistance to set up showrooms for NASENI products and favourable policies to promote NASENI activities.

The EVC/CEO of NASENI highlighted the agency’s innovations in energy security, including electric vehicles, NASENI Solar Home Systems for enhanced rural electrification; Smart devices including laptops and tablets tailored for Nigeria’s market; and Solar irrigation pumps and coal-based fertilizers to improve agricultural productivity.

Halilu reiterated the Agency’s commitment to transforming Nigeria into a global innovation powerhouse through technology transfer, product commercialization, adding that the Agency is working with key partners on NASENI Troment (Vaccine factory), NASENI Portland (CNG Centre), NASENI Devfrontier (Solar light & battery), NASENI Renewable Park and NASENI Family Homes (Sustainable homes).

“Our mission is clear: to make NASENI the ‘go-to’ institution for technology transfer in Nigeria,” he stated, adding that the Agency has attracted $3.23 billion in investments, launched the DELT-Her initiative for female engineers, and how the Agency is championing renewable energy projects.

The Council lauded NASENI’s efforts in driving local manufacturing and industrial development and therefore directed the Agency to scale up the establishment of lithium battery factories in resource-rich regions and repair tractors nationwide under the National Asset Restoration Programme.

The NEC meeting further resolved to harness NASENI’s tailored support for manufacturing and public sector partnerships, ensuring Nigeria benefits from infrastructure, policy frameworks, and market access critical for economic diversification.

NASENI remains committed to working with states and the private sector to unlock Nigeria’s potential for industrial innovation and sustainable development.


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MTN Nigeria’s Inclusive Workplace: A Model for Innovation

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MTN Nigeria has reaffirmed its commitment to fostering a workplace that reflects these values. The company’s approach is not merely a response to societal pressures but is grounded in the belief that a diverse workforce enhances innovation and better serves its customer base.

MTN’s vision for diversity is encapsulated in its “Live Y’ello” values, which emphasize inclusion, respect, care, integrity, and agility. These principles guide the company’s efforts to create an environment where all employees can thrive.

Esther Akinnukawe, Chief Human Resources Officer at MTN Nigeria, stated, “Our diversity empowers us while inclusion unites us to succeed in a fair and equitable environment.” This sentiment resonates with broader industry trends. According to a 2023 Pew Research survey, about 61% of employees believe their organizations have policies ensuring fairness in hiring and promotions, highlighting the growing importance of D&I initiatives in workplaces across the globe.

Paul Norman, Chief Human Resources Officer, MTN Group, emphasizes that “a diverse workforce isn’t just about ticking boxes. It’s about bringing together different perspectives and ideas, which is crucial for innovation. At MTN, we believe that diversity drives creativity, and creativity drives success.” This philosophy underpins MTN’s commitment to promoting D&I through various initiatives focused on key areas such as gender equality, disability inclusion, and generational diversity.

The ICT company recently achieved the EDGE MOVE certification, making it the first telecommunications company in Africa to receive this recognition. This certification reflects MTN’s commitment to addressing gender disparities and fostering an inclusive work environment. Notably, research shows that companies in the top quartile for gender diversity are 25% more likely to outperform their peers financially, underscoring the business case for such initiatives.

In addition to gender equality, MTN is actively working to support persons with disabilities (PWDs) by implementing guidelines that encourage disclosure and providing reasonable accommodations. The company collaborates with organizations like the Nigeria Business Disability Network to enhance its practices and policies regarding disability inclusion.

Generational diversity is another focus area for the telco. The company recognizes the value of maintaining a balanced representation across different age groups within its workforce.

By promoting age-neutral language in job postings and creating platforms for interaction among various generations, MTN aims to foster an inclusive culture that benefits from diverse perspectives.

The broader telecommunications industry is also witnessing a shift towards more inclusive practices. National telecom companies around the world are revamping their recruitment strategies to attract talent from underrepresented groups.

For instance, AT&T partnered with Historically Black Colleges and Universities (HBCUs) to enhance workforce readiness among diverse candidates.

Similarly, Verizon has established Employee Resource Groups (ERGs) that support employees from various backgrounds, creating a sense of community and belonging.

As the company continues its journey towards greater diversity and inclusion, it remains committed to measuring progress through standardized metrics and accountability frameworks. By setting short- and long-term targets for D&I initiatives, the company aims to effect meaningful change across its organization.

MTN Nigeria’s dedication to fostering a diverse and inclusive workplace reflects a broader recognition of the importance of these values in driving business success.

As more companies embrace D&I initiatives, the innovation potential and improved performance increase—a trend that MTN is keenly aware of as it navigates the complexities of today’s market landscape.


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