AWS, Microsoft, and Google are pressing their data centre suppliers for increased transparency so they can accurately measure Scope 3 emissions. The tech giants argue that limited data on embodied emissions of equipment is hindering their efforts to assess the environmental impact of expanding data centres.
This move, outlined in a recent joint letter, signals a new era of environmental accountability that will reverberate throughout the entire tech ecosystem, with IT resellers firmly in the crosshairs.
For many years, the big three hyper-scalers had at their core the idea that they were good companies. Google was founded on the principle of “do no evil”. Microsoft has massive ambitions for carbon reduction and clawing back its past environmental impacts.
However, as their business models have pivoted towards AI, they have needed to invest more in data centres. Their once-bold claims about reducing their environmental impact are being publicly tested.
Public pressure, coupled with the growing awareness of the industry’s resource consumption, has forced tech giants to take a stand. By demanding greater transparency from their suppliers, these companies are attempting to shift the spotlight away from their own carbon footprints while simultaneously driving positive change within the supply chain.
The implications of this shift for IT resellers are profound. As the intermediaries between customers and technology vendors, resellers will inevitably face increased pressure to deliver more sustainable solutions. Customers, armed with greater awareness of environmental impact, will demand transparency and accountability from their IT partners.
Whilst vendors get to grips with their reporting, resellers will be at the frontline of data requests from customers. They will need to gather detailed information on the environmental performance of the products they offer, including carbon footprint, water usage, and material composition. This will require robust data collection and reporting capabilities. We are already starting to see resellers faced with this moment.
Alongside this, customers will expect resellers to provide expert advice on sustainable IT solutions, helping them to reduce their own environmental impact. This will necessitate a deep understanding of sustainability principles and the ability to translate complex information into actionable recommendations.
While these challenges may seem daunting, they also present significant opportunities for forward-thinking IT resellers. By embracing sustainability as a core value, resellers can differentiate themselves in the market and build stronger relationships with customers.
At Circularity First, we believe that circularity is key to building a sustainable future for the IT industry. Our Circular Impact Reporting tool provides valuable insights into the carbon footprint and material composition of IT equipment. It also shows comparisons to vendor remanufactured hardware. This allows resellers to meet customer expectations and help them make more informed decisions about the equipment they are purchasing
By extending the lifecycle of technology through remanufacturing and refurbishment, resellers can reduce waste, conserve resources, and deliver cost-effective solutions to their customers.
