Applied Materials’ Net Zero 2040 Playbook™ enables innovative and collaborative sustainability solutions across the semiconductor value chain.
Applied Materials Addresses Semiconductor Sustainability Challenge
Technology is reshaping every facet of our lives, and semiconductors are at the core of this transformation. Remarkable progress in AI, EVs and IoT is driving the digital shift in the economy. As AI adoption speeds up, energy consumption by edge devices and data centers is increasing sharply.
Indeed, the total energy demand by electronics and computing systems could surge from around 10 percent of global electricity usage today to over 30 percent by 2030. Several industry observers are forecasting the semiconductor market to double in size this decade, reaching $1 trillion in global revenue by around 2030, while data from imec projects the industry’s carbon footprint to quadruple in the same period. To proactively address this challenge, Applied developed its ™ – a collaborative approach to reducing the company’s and the semiconductor industry’s carbon emissions.
Applied Materials Launches Collaborative Net Zero 2040 Playbook to Enable Semiconductor Sustainability
Applied’s Net Zero 2040 Playbook illustrates a clear roadmap to decarbonize the company’s business in line with the 1.5°C pathway as defined by the Paris Agreement. The company’s latest Sustainability Report outlines the Playbook’s four key drivers: increasing grid decarbonization globally; helping customers achieve their net zero goals; reducing the energy consumption of Applied’s products; and decarbonizing the supply chain.
Implementation of Applied’s Net Zero 2040 Playbook can benefit the environment, society and the industry, as well as drive value for the company. Accelerating grid transformation scales the need for green energy and, in turn, drives semiconductor demand. For example, smart grid connectivity increases demand for sensors and power devices. Grid intelligence requires logic and memory chips. Each megawatt of wind and solar produced requires power chips, and so on.
With about 80% of Applied’s Scope 3 emissions stemming from customers’ use of Applied products, the company notes that over two-thirds of their customers aim for net zero goals, offering a chance to promote more energy-efficient products. To support their sustainability efforts and help customers reduce emissions, Applied is improving its own systems and offering products with lower emissions. In 2023, the company introduced Sculpta™ and ™, cost-effective, energy-saving products focused on sustainability.
Advancing Semiconductor Technology is Crucial for Achieving Net Zero
Semiconductors are the foundation of technological advances that can help tackle climate issues. Applied’s dedication to, and transparency behind, its Net Zero 2040 Playbook gives us an insider view for understanding what’s possible when taking a holistic approach to energy-efficient computing.
President and CEO of Applied, Gary Dickerson said, “None of us can do this alone. The only way we can accomplish Net Zero is by working together.” Success hinges on teamwork within the company and collaboration across the value chain.By working together to decarbonize the grid that powers breakthrough technology and to innovate in new and transformative ways, Applied is prepared to enable a path to net zero carbon emissions.
