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Amazon’s Climate Pledge to achieve net-zero carbon by 2040 is one of the most high-profile corporate commitments. Yet Amazon’s rapid growth complicates its sustainability journey.
Progress so far:
- Over 10,000 Rivian electric delivery vans deployed as of 2024.
- $2 billion Climate Pledge Fund supporting carbon capture, clean manufacturing, and low-carbon fuels.
- 85% of operations powered by renewables by the end of 2023.
Challenges:
- Amazon’s total carbon footprint grew 18% from 2020 to 2022 due to expanding logistics networks.
- Scope 3 emissions — the hardest to control — make up about 75% of Amazon’s total emissions.
Strategic insight:
Amazon’s approach highlights a critical sustainability lesson: business model transformation is often harder than technological adoption. In contrast, Microsoft’s carbon-negative strategy (targeting removal, not just reduction) may set a stronger long-term precedent.
Sources:
https://sustainability.aboutamazon.com/
https://www.aboutamazon.com/news/sustainability/amazon-delivers-progress-on-the-climate-pledge
https://www.theclimatepledge.com/
