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AI and sustainability

KPMG surveyed 350 executives globally to understand how their businesses are balancing AI and sustainability ambitions 

Green IT and shared ownership of AI strategy are consistent themes for organizations

Organizations are prioritizing investments in Green IT in the next 2-3 years. They also expect an increase in ROI.

76%

expect to increase Green IT investments in the next 2–3 years

74%

anticipate improved ROI from Green IT investments in the next 2-3 years

20%

expect ROI to remain the same

Cross-functional collaboration between Sustainability/ESG and Strategy is key to moving from pilots to performance

Costs and sustainability are key considerations when building AI infrastructure

Strategies to reduce environmental impact of AI are mixed. Costs emerge as key criteria for data center development.

38%

Report partnering with cloud storage providers as highly effective for reducing environmental impact

36%

Highlight optimizing data center design as highly effective for reducing environmental impact

26%

Ongoing operational costs

19%

Initial construction/ upgrade costs

15%

Scalability and expansion potential

More than 4 in 10 organizations observe at least 6% ROI from making AI operations more sustainable

Achieving desired financial and sustainability impacts requires using AI

How organizations are using AI in their sustainability efforts

Most frequently-cited KPIs organizations use to measure the impact of AI. Most organizations already have or are developing a strategic goal for Green IT

74%

Improve resource utilization

73%

Lower operating costs

68%

of the organizations have a strategic goal for Green IT

24%

of the organizations are developing one

Technology partners that prioritize environmental sustainability are valuable

The value of external partnerships is expected to increase for the next 2-3 years

Survey demographics

KPMG surveyed 350 executives across 15+ countries to understand how companies are balancing their AI and sustainability ambitions

Steps you can take to establish a standout ESG M&A due diligence program:

1

Identify your motivation for the program

2

Develop a clear ESG strategy

3

Secure appropriate resources and assign responsibilities

4

Collaborate with external experts

5

Link ESG M&A due diligence to ESG strategy

6

Develop your ESG M&A due diligence framework

7

Perform ESG M&A due diligence procedures

8

Link ESG M&A due diligence findings to post-closing actions

9

Monitor and report findings to stakeholders

10

Continuously improve the due diligence process

KPMG at COP30

KPMG professionals will be present at COP30 in Belém, Brazil, which brings together world leaders, policymakers, industry innovators, and environmental activists to exchange ideas and formulate strategies to tackle climate change.

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