Environmental Initiatives

The SoftBank Group's “Environmental Policy” sets out the principles to take the global environment into consideration when conducting corporate activities. This policy was decided by a resolution of SoftBank Group Corp.'s Board of Directors and it requires all directors, officers and employees of the SoftBank Group to be aware of the need to reduce the burden on the global environment in all business activities, to conserve resources and energy, to improve energy efficiency and make effective use of resources in order to achieve harmony between mankind and nature, and to maintain biodiversity and contribute to the continuous improvement of the global environment. We will communicate with SoftBank Group stakeholders to promote business activities in consideration of the global environment.

SoftBank Group monitors its environmental performance, including data on greenhouse gas emissions and energy consumption in the course of its business operations, and discloses the results annually. In cooperation with our stakeholders, we are promoting initiatives contributing to solve environmental issues, such as addressing climate change and enhancing energy efficiency.

Furthermore, major operational bases of SoftBank Corp. have established and operated an environmental management system (EMS) under the International Organization for Standardization’s ISO14001 Standards. SoftBank Corp. performs the PDCA (plan, do, check, act) cycle on a timely basis in our environmental management system and continuously makes improvements based on the level of impact that its business activities have on the environment. The company has strived to comply with environmental laws and regulations. There were no violations of environmental laws and regulations in fiscal 2023.

SoftBank Group established the “SoftBank Group Code of Conduct,” which specifies that we are committed to:

· Introduce innovative solutions that provide a positive environmental and social impact.

· Lead globally and act locally to reduce and improve our impact on the environment.

· Conduct our business activities with consideration for the global environment and the effective utilization of limited natural resources.

SoftBank Group has thoroughly disseminated the Code of Conduct to all Group employees. Specifically, we require employees to consider the environment in our everyday work, including control and reduction of the emission of greenhouse gases and handling of industrial waste. SoftBank Group also regularly provides training sessions to promote the understanding of the Code of Conduct.

In addition, SoftBank Corp. conducts e-learning-based environmental education to provide employees with basic knowledge concerning environmental conservation and raise their awareness. In FY2023, the company conducted e-learning programs on 3 areas: climate change, circular economy, and biodiversity, focusing on the latest topics in each. IN particular with regard to industrial waste disposal, emphasis was placed on what each employee should do in order to comply with laws and regulations and reduce waste, such as optimizing order amounts, and promoting reuse. As for water resources, employees were taught on appropriate water usage within the company. This environmental e-learning content can be used on iPads and iPhones, facilitating the effective use of employee time.

In order to promote environmentally-friendly business activities, the SoftBank Group has formulated ethical standards for the environment in its “Supplier Code of Conduct,” and require suppliers to work in accordance with the ethical standards set forth in the Code. The SoftBank Group will proactively undertake relevant environmentally-friendly corporate activities through partnership with our stakeholders.

Natural disasters caused by climate change are becoming more severe every year and urgent action to climate change mitigation and adaptation is required. The SoftBank Group recognizes the importance of addressing climate change and is making group-wide efforts to provide the society with new and innovative technologies that contribute to solving climate change.

SoftBank Group Corp. disclosed its climate-related governance, risk management, strategy, metrics and targets in accordance with the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD).

For our major subsidiaries’ climate-related information disclosures in accordance with the TCFD recommendations and similar regulations, please refer to the websites of each company.

Arm has provided climate disclosures in its annual report adhering to the UK Climate-related Financial Disclose regulation (CFD) under the UK Companies Act^*.

The SoftBank Group is making efforts to reduce greenhouse gas emissions from business activities. The majority of the SoftBank Group’s greenhouse gas emissions come from the use of electricity. Therefore, as a step forward to achieve Carbon Neutrality, the SoftBank Group mainly focuses on a shift to electricity generated from renewable energy sources. Meanwhile, electricity and energy-saving measures utilizing IoT are also implemented at the head office building and data centers.

SoftBank Group Corp. set a group target^*1 as below in June 2022 and aims to reduce greenhouse gas emissions from business activities of the SoftBank Group to net zero by fiscal 2030.

In March 2024, SoftBank Group Corp. formulated and disclosed a plan for reducing greenhouse gas emissions to achieve the Group target, which is reviewed when required. SoftBank Group Corp. and its major subsidiaries are undertaking greenhouse gas emissions reduction initiatives in accordance with this plan.

SoftBank Group Corp. has achieved Carbon Neutrality^*3 since fiscal 2020. In addition, major subsidiaries have also set their own targets regarding greenhouse gas emission reduction, undertaking various initiatives to achieve the targets.

Recognizing the importance of efficient and sustainable use of energy and resources, the SoftBank Group is working to reduce the use of energy and resources and actively introduce renewable energy.

The SoftBank Group has set a target for SoftBank Group Corp. and major subsidiaries to achieve carbon neutrality in Scope 1 and 2 by FY2030. As part of this initiative, since September 2022, SoftBank Group Corp. and SoftBank Corp. have switched to using renewable energy^* at the company headquarters, “Tokyo Portcity Takeshiba Office Tower,” where they are located.

In addition, the building is equipped with energy-saving technologies, such as LED lighting that uses motion sensors to automatically adjust brightness, and blinds that open and close automatically to optimize air conditioning, in an effort to ensure the efficient use of energy.

SoftBank Corp. is promoting the conversion of base station power consumption to renewable energy to achieve its commitment to reducing its greenhouse gas emissions to net zero by 2030. SoftBank Corp. purchases electricity from renewable energy^* from SB Power Corp., a subsidiary of the company that operates an electricity retail business. At the end of fiscal 2023, more than 81.6% of the electricity used at base stations has already been provided by renewable energy^*. The company plans to increase the ratio to 90% or more in fiscal 2024.

LY Corporation is actively switching electricity which is a major factor of CO₂ emissions in Scope 1 and 2. In its major data centers in Japan, the corporation has been installing air conditioning systems that use outside air for exhaust heat treatment of servers, and has been working to significantly reduce electricity consumption. The company has sequentially switched its power used in Kita-Kyushu Data Center and Shirakawa Data Center to renewable energy^* from fiscal 2021.

SoftBank Corp. is promoting R&D to achieve practical application of next-generation batteries that can reduce environmental burden, with the SoftBank Next-generation Battery Lab and the Research Institute of Advanced Technology as the focal points of these efforts.
In March 2023, SoftBank Corp. developed a battery pack for stratosphere-based high-altitude platform stations (HAPS) using a high-specific energy lithium-metal battery cell developed jointly with Enpower Japan Corp. HAPS is a general term for telecommunications service systems that deliver telecommunications services in broad areas using unmanned aircraft equipped with telecommunications base stations that circle the stratosphere. The implementation of HAPS enables telecommunications services to be delivered in challenging areas such as mountainous areas and remote islands lacking a telecommunication network, developing nations, and zones afflicted by earthquakes, typhoons, and other natural disasters. Working in cooperation with ENAX Inc., SoftBank Corp. succeeded in reducing the weight of the HAPS battery pack components, bringing the companies much closer to building a battery pack with a specific energy of 300 Wh/kg, equivalent to the highest value achieved with conventional lithium-ion batteries. A charge-discharge cycle test of the battery pack conducted in the United States in February 2023 demonstrated successful operation in stratospheric conditions, a first for such battery packs.

With effect from February 2023, LY Corporation introduced a feature enabling users to check the CO₂ emissions of searched routes and select environmentally friendly route options. This feature was made available in the Yahoo! Map map application, the Yahoo! Car Navigation car navigation application, the Yahoo! Transit transit route navigation application.
Yahoo! Map and Yahoo! Car Navigation provide CO₂ emissions estimates that closely reflect actual circumstances by utilizing distance, incline, and other data as a basis for calculating estimated emissions. In addition, Yahoo! Car Navigation allows users to enter details such as vehicle weight and power classification (e.g., gasoline or hybrid). As for Yahoo! Transit, apart from displaying CO₂ emissions for searched routes, it also displays the difference in emissions when traveling by automobile as compared to by train, thus enabling users to be aware of how much traveling by train contributes to reducing emissions. Further, an ECO mark is placed next to the route with the lowest emissions so that users may see the most environmentally friendly option at a single glance.

With accelerated growth in shipments of Arm-based chips, Arm architecture is found in an ever-greater range of applications, from smartphones and home appliances to vehicles and servers. Arm has developed numerous technologies that combine exceptional processing with energy efficiency.

As compute demands continue to grow to handle increasingly complex workloads, Arm’s solutions prioritize reduced energy consumption while providing market-leading performance. For example, Arm’s data center customers are reporting substantial performance-per-watt savings compared with legacy architectures and this contributes to why Arm’s energy-efficient technology is being chosen to help run these workloads.

SBG and SBIA participate in the One Planet Sovereign Wealth Fund (OPSWF) Network, which was established as a Working Group in July 2018. That same year, the OPSWF’s founding members developed the OPSWF Framework to advance the integration of climate change risks and opportunities into large and diversified asset pools. The Abu Dhabi Investment Authority, the Kuwait Investment Authority, the New Zealand Superannuation Fund, the Public Investment Fund and the Qatar Investment Authority currently lead the OPSWF’s Steering Group. In July 2019, the One Planet Asset Manager (OPAM) Initiative was launched to allow for asset managers to support the OPSWF Framework. Similarly, in July 2020, the One Planet Private Equity Funds (OPPEF) Initiative was founded by Ardian, The Carlyle Group, Global Infrastructure Partners, Macquarie Asset Management, and SBIA. SBIA and the OPPEF Group, now comprising 11 members, actively engage in the OPSWF's programs and discussions, including the CEO Summits and Peer Exchanges.

To promote renewable energy, SB Energy Global Holdings and its subsidiaries operate a power generation business that boasts one of the largest solar power projects in the U.S. The project consists of nine solar farms,^* which collectively generate 2,130 MW.^*