Swisscom and Atlantic Ventures Report Highlights Growth and Trends in Sustainability Software Solutions

Swisscom and Atlantic Ventures Report Highlights Growth and Trends in Sustainability Software Solutions

(IN BRIEF) Swisscom and Atlantic Ventures’ latest report reveals trends in the growing yet consolidating market for sustainability and carbon management software. The integration of AI is transforming the sector by enabling greater efficiency in achieving sustainability goals, automating key processes, and helping companies meet complex regulatory requirements. As the market for sustainability solutions continues to expand, the role of technology in enabling corporate sustainability strategies becomes even more crucial.

(PRESS RELEASE) BERN, 20-Feb-2025 — /EuropaWire/ — A new report from Swisscom and Atlantic Ventures sheds light on the latest market developments and emerging trends in sustainability and carbon management software solutions. The report is designed to assist ESG managers, CFOs, and CIOs in achieving their corporate sustainability objectives with improved efficiency and transparency. As regulatory pressures intensify, particularly with the introduction of the Corporate Sustainability Reporting Directive (CSRD), the market continues to expand, even as it experiences an increasing rate of consolidation. One of the standout technological advances is the integration of artificial intelligence (AI) into software solutions, which is playing a crucial role in improving efficiency in sustainability efforts.

Navigating Regulatory Requirements and Market Growth
Swiss companies have been required to provide detailed reports on climate-related risks and their financial impacts since the start of 2024. Furthermore, the implementation of the Climate and Innovation Act in early 2025 mandates that companies develop a clear reduction pathway to achieve net-zero emissions by 2050, in line with the Science-Based Targets Initiative (SBTi). The Swiss Federal Council is also considering expanding the scope of these regulations to include smaller companies with over 250 employees. With growing regulatory demands, businesses are under pressure to refine their sustainability strategies and enhance reporting practices. This includes ensuring that their carbon footprints are accompanied by effective decarbonisation measures and are subject to audits.

For many companies, the challenge lies in effectively managing sustainability data and carbon emissions. This is where sustainability software can provide significant support, streamlining the process and ensuring compliance with increasingly complex requirements.

Sustainability Software Market: Consolidation and Growth
The latest report from Swisscom builds on its first publication from early 2024, offering insights into the evolving market for sustainability software. While the sector continues to expand, the growth rate has slowed in comparison to previous years. Market consolidation is becoming more pronounced, as cash-rich ESG and EHS providers acquire niche software solutions to broaden their product offerings. Private equity firms are increasingly targeting software companies, driving further consolidation through strategic acquisitions.

Technological Innovation: AI’s Role in Enhancing Efficiency
One of the key technological trends identified in the report is the integration of artificial intelligence into sustainability software. AI is revolutionizing the way companies approach their sustainability goals by offering more efficient and transparent solutions. A major benefit of AI adoption is process automation, which enables the automation of data capture, processing, risk assessments, scenario analyses, and reporting. The use of large language models (LLMs) also facilitates the processing of vast amounts of data, helping organizations meet regulatory requirements with greater ease.

Gina Obrecht, Business Developer for Data-Driven Sustainability at Swisscom Business Customers, emphasized the importance of customized corporate software solutions: “A tailored software solution gives companies a significant edge in implementing their sustainability strategies. As a multi-award-winning company recognized for our sustainability management, we help our customers evaluate the right tools and integrate them seamlessly into their existing IT infrastructure.”

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SOURCE: Swisscom