As we approach 2025, which is expected to be the hottest year on record, the urgency to address our planet’s interconnected challenges has never been greater. Climate change and resource scarcity require businesses, governments and communities to act with intent and scale.
At Cisco, we remain committed to our goal of reducing environmental impact and strengthening resilience to ensure communities, ecosystems, and industries can adapt, thrive, and sustain in the face of uncertainty. Here are six sustainability trends expected to emerge in 2025.
1. Grid digitization
Artificial intelligence (AI) has the potential to bring positive change to society, but this requires rethinking networks and cleaner, more resilient and reliable energy sources. Anticipating these challenges now can help you build the right infrastructure to support you tomorrow. This is how we can balance a livable planet with the needs of a rapidly digital, AI-integrated society.
Digitizing the grid is essential to meet growing energy demand and enhance energy security. For example, the U.S. Department of Energy estimates that most of the U.S. power grid was built in the 1960s and 1970s, and that 70 percent of transmission lines are more than 25 years old. The integration of AI can transform the way energy is managed and distributed, creating more efficient and reliable systems.
At Cisco, we believe that energy grids, buildings, networks, data centers, and technologies, whether AI or otherwise, must be designed and future-proofed for upcoming energy requirements. We continue to leverage our expertise in secure networks to drive this change and enable innovative and resilient grid modernization. Improved efficiency can support greater economics and reliability across the energy sector.
2. Transition to circular economy
The shift from linear to circular business models is reshaping how industries operate, creating opportunities to reduce waste and maximize resources. But there is still more work to be done. “A record 62 million tonnes of e-waste were produced in 2022,” said the United Nations Global E-waste Monitor 2024. This is an 82% increase from 2010. We plan to increase it by another 32% to 82 million tons in 2030.”
Cisco is leading the transition to a circular economy and is embedding circularity in its product design and lifecycle strategy. Our approach focuses on designing for sustainability, creating durable, modular products that can be easily repaired, upgraded and recycled.
We are already doing this by:
- We have set a goal to apply circular design principles to 100% of our new products and packaging by fiscal year 2025. As of FY24, we have reached 96%.
- We offer the following initiatives: Cisco Take Back and Reuse Program and cisco refreshExtends the life cycle of devices, enabling remanufacturing, reuse and recycling, reducing electronic waste and conserving resources.
- Almost 100% of products returned to us are reused or recycled.
These initiatives not only support our circularity goals, but also help our customers adopt more sustainable practices, ensuring their valuable materials are used for as long as possible.
3. Invest in innovation
Innovation is essential to meeting the challenges of our changing planet. Globally, annual clean energy technology investments are expected to exceed $900 billion by 2030.
At Cisco, we partner with early-stage startups driving innovative solutions in clean energy, circularity, and climate resilience. CorPower Ocean and DEScycle, two exemplary companies in the Cisco Investments portfolio, are leading the way.
Our goal is to accelerate innovation by investing in companies that align with their environmental sustainability strategies. Rather than simply providing capital, these investments serve to send a signal to the broader market about what we value and where we believe the future is headed.
In 2021 cisco foundation We demonstrated this by investing $100 million over 10 years to support climate innovation in both non-profit and for-profit startups.
4. Expanding influence through public-private partnerships
No single entity can solve environmental problems like climate change alone. The path to a more sustainable future requires cross-sector partnerships. According to a 2023 report from the World Economic Forum (WEF) in collaboration with McKinsey & Company, 87% of public-private-philanthropic partnerships are focused on emerging economies, which have less ability to provide solutions independently than developed economies. You may fall. By 2025, the emphasis on public-private partnerships is expected to increase further as governments and businesses work together to localize their efforts and expand their impact.
From national incentives for clean energy adoption to local initiatives that promote water conservation, partnerships are critical to integrating the policies, funding, and innovation needed to achieve meaningful progress.
5. Identify trends in two emerging sustainability topics: nuclear power and water insecurity.
As global energy demand continues to grow, nuclear energy is being discussed again as a potential solution for reliable clean energy because it emits no greenhouse gases (GHG). According to the International Atomic Energy Agency (IAEA), global nuclear capacity is expected to increase to 2.5 times current capacity by 2050. Nuclear energy is increasingly recognized as part of the diverse energy mix needed to sustain ambitious climate goals and contribute to energy development. Enhance security and meet growing energy demands.
Water insecurity is becoming one of the most pressing sustainability challenges of our time. According to WWF, approximately 1.1 billion people worldwide do not have access to water, and 2.7 billion people experience water scarcity for at least one month of the year. Water use is at the center of conversations about generative AI. Because water is a key resource needed for data centers that provide AI processing power. By 2025, we expect to see greater innovation in water management and greater focus on equitable access to this essential resource.
6. Building community resilience
Resilience is more than overcoming challenges; it is about the systemic ability to adapt, recover, and thrive amid change.
Today, technology is tightly integrated with resilience, providing the accessibility and capabilities needed to connect and participate in society. Worldwide, 2.6 billion people still do not have access to the internet, and even among those who do, there are disparities in quality and affordability.
By 2025, resilience is expected to be the watchword of a movement that puts communities at the center of solutions to strengthen critical infrastructure.
At Cisco, we support resilient communities through technology and innovation. From secure digital networks to grid modernization, our solutions are designed to help communities and businesses respond to extreme weather and climate risks, support reliable resource access, and build a foundation for long-term prosperity. Resilience is key to stronger sustainability efforts. Because stronger communities are better equipped to implement and scale more sustainable practices.
looking ahead
At Cisco, environmental sustainability is about more than reducing climate impact. We believe it is important to build resilience to meet the challenges of today and tomorrow.
In 2025, we will have the opportunity to scale and intentionally lead solutions that address climate risks while helping communities adapt and thrive. Learn more about what Cisco has accomplished on sustainability and where we are headed next in our FY24 Purpose Report.
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