Amazon (AMZN) Stock Dips Despite Q2 2025 Beat: Cloud Growth Slows, Net-Zero Push Expands

Saptakee S
-
0
Amazon (AMZN) Stock Dips Despite Q2 2025 Beat: Cloud Growth Slows, Net-Zero Push Expands

Amazon reported strong second-quarter results for 2025, exceeding Wall Street expectations on both revenue and earnings. However, a lighter-than-expected guidance for the upcoming quarter and lukewarm growth in its cloud business triggered a sharp stock decline.

Investors, while impressed with the current numbers, are showing concern over the company’s forward momentum, especially in light of increasing competition in the AI-driven cloud space. On the other hand, if we take a peek into its sustainability goals, the retail giants’ emissions are still challenging.

Let’s study the revenue growth and the net-zero plans in the content below:

Amazon Tops Q2 Forecasts with Strong Sales and Profit Jump

Amazon posted net sales of $167.7 billion, a solid 13% increase from $148 billion in Q2 2024. This beat analyst estimates around $162 billion.
The company also reported:
  • Adjusted earnings per share (EPS) of $1.68, up 33% year-over-year.
  • Operating income came in at $19.2 billion, outpacing analyst predictions of $16.9 billion.

Despite this strong showing. The market now values the company at approximately $2.44 trillion.

amazon revenue
Data Source: Amazon Earnings Press Release

AWS Struggles to Keep Pace in AI Race

Amazon Web Services (AWS), long the crown jewel of Amazon’s business, grew 17% to $30 billion in revenue. While that’s still solid, it fell just short of expectations ($30.78 billion) and didn’t match the high momentum shown by Microsoft’s Azure and Google Cloud Platform.

amazon AWS
Sourced from Reuters

AMZN Stock Slides but Analysts Still See Upside

Reuters reported that investors are holding Amazon to a higher standard, especially as Microsoft and Google have both shown clear AI-driven revenue jumps in their cloud platforms. While Amazon is also investing heavily in AI, the returns haven’t yet wowed investors.

So far in 2025, Amazon’s stock had gained around 7% leading up to the earnings announcement. But after the company issued weaker-than-expected guidance, some investors pulled back, causing the stock to dip in after-hours trading.

Even so, market sentiment remains mostly positive. Analysts are still confident in the company’s long-term growth and expect the AMZN stock to recover soon. Many have set short-term price targets between $234 and $238 by the end of August 2025.

Meanwhile, full-year 2025 consensus estimates project earnings per share (EPS) of around $6.29. This signals faith in the company’s fundamentals despite short-term uncertainty.

AMZN stock
Source: Yahoo Finance

Future Guidance Adds to Market Jitters

Amazon’s Q3 2025 guidance suggests net sales between $174 billion and $179.5 billion, a projected 10% to 13% increase over Q3 2024. The company also forecasts operating income of $15.5 billion to $20.5 billion, compared with $17.4 billion a year earlier.

Though these are healthy figures, they indicate slowing growth and rising spending. Capital expenditure for 2025 is now expected to exceed $118 billion—well above rivals—fueling concerns over shrinking margins.

Amazon’s Emissions Still a Big Challenge

Amazon says it’s working to cut its carbon footprint. The company has reduced its Scope 1 and 2 emissions slightly by utilizing more renewable energy and improving the efficiency of its buildings. These emissions come from its operations and the electricity it buys.

But Scope 3 emissions—which come from suppliers, product shipping, and customer use—are still going up. These emissions make up over 75% of the company’s total carbon output. As the company builds additional data centers and expands its cloud and AI services, these indirect emissions may increase further.

Amazon has promised to reach net-zero carbon by 2040. Still, some experts say the company needs to share more details about these indirect emissions and do more to cut them across its supply chain.

amazon carbon footprint
Source: Amazon

Electrifying Delivery Fleet

Amazon has aggressively ramped up its electric delivery vehicles (EVs).

  • As of mid-2025, the company has delivered 1.5 billion packages using over 31,400 EVs.
  • It also built the largest private charging network in the U.S. with 11,770 chargers across 50 delivery stations.
  • In Europe, it is adding over 200 Mercedes-Benz eActros 600 electric trucks, expected to carry around 338 million packages annually.

Renewable Energy Milestone Reached Early

Amazon pledged to power all its operations with 100% renewable energy by 2025, but achieved this target two years early in 2023. Today, it matches 100% of its global electricity usage with renewables, primarily through wind and solar projects.

AMAZON ENERGY
Source: Amazon

READ MORE: 

Cleaner Fuels and Smarter Shipping

In 2024, the company scaled up its use of cleaner fuels. It used 4.7 million gallons of renewable diesel, compared to just 286,300 gallons the year before. It also bought 3.7 million gallons of blended sustainable aviation fuel to cut emissions from air transport.

It also improved delivery routes. By offering customers smarter shipping options, it saved over 452 million delivery trips and reduced the use of more than 494 million boxes. These changes helped avoid an estimated 335,000 metric tons of carbon emissions in 2024 alone.

Making Packaging and Logistics Greener

Amazon is cutting emissions by bringing fulfillment centers closer to customers, reducing delivery distances and fuel use. It uses more rail transport instead of trucks to lower emissions.

In cities, it relies on on-foot deliveries and electric cargo bikes for short trips as well. This cuts pollution and eases traffic. The company also invests in lighter, recyclable packaging, aiming to have half of its shipments be net-zero carbon by 2030.

Expanding Carbon Removal Projects

While Amazon is cutting emissions through renewable energy and electrification, it’s also backing large-scale carbon removal efforts. These initiatives are vital for tackling the emissions that cannot be completely avoided.

It is investing heavily in nature-based solutions like reforestation, wetland restoration, and soil carbon capture. The company partners with trusted environmental organizations and developers to ensure these projects meet strict environmental and scientific standards.

Additionally, Amazon also funds early-stage technologies focused on direct air capture (DAC) and ocean-based carbon removal. These advanced methods pull CO₂ directly from the air or water and lock it away permanently. The company views these long-term technologies as crucial to scaling carbon removal in the decades ahead.

By building out a global portfolio of carbon removal projects, Amazon is not only addressing its own footprint but also helping grow the carbon market and drive down the cost of climate solutions.

Amazon’s Game-Changing Carbon Credit Platform

Amazon launched a carbon credit platform through its Sustainability Exchange to help suppliers and partners reach their net-zero goals. This new service gives qualified companies access to high-quality carbon credits. These credits come from real projects that either remove CO₂ from the air or prevent its release.

Unlike many carbon marketplaces, Amazon’s platform is selective. It only allows companies that set net-zero targets, measure and report emissions, and commit to cutting carbon in line with climate science.

Driving Real Change Beyond Offsetting

This platform goes beyond simple offsetting. It aims to enable real decarbonization across Amazon’s entire value chain. By offering vetted credits to customers, suppliers, and Climate Pledge members, Amazon unlocks new private funding for effective climate projects.

Over time, this platform could make Amazon a leader in corporate carbon management—not just logistics or cloud services. Plus, it encourages collaboration by providing educational tools, playbooks, and a space for companies to share best practices. This broad approach could speed up the decarbonization of many industries.

As Amazon navigates the twin challenges of AI-driven cloud competition and rising operating costs, its environmental leadership and aggressive long-term planning offer strong fundamentals for future growth.

Rolls-Royce Stock Soars with 50% Profit Surge, Strong SMR Partnerships, and Net Zero Drive

Saptakee S
-
0
Rolls-Royce Stock Soars with 50% Profit Surge, Strong SMR Partnerships, and Net Zero Drive

Rolls-Royce reported a 50% jump in underlying operating profit to £1.7 billion in the first half of 2025. The operating margin rose to 19.1%, up from 14% last year. This increase shows the effect of strategic changes, smarter operations, and cost discipline.

  • Revenue grew by 10.8% to £9.06 billion and free cash flow hit £1.58 billion, driven by higher profits and solid performance from long-term service agreements (LTSA).
  • Its market value topped £90 billion for the first time, placing it among the top five firms in the FTSE 100.
Rolls Royce revenue
Source: Rolls-Royce

CEO Tufan Erginbilgic, said:

“Our multi-year transformation continues to deliver. Our actions led to strong first half year results, despite the challenges of the supply chain and tariffs. We are continuing to expand the earnings and cash potential of Rolls-Royce. 

We delivered continued strong operational and strategic progress in the first half of 2025. In Civil Aerospace, we achieved significant time on wing milestones and delivered improved aftermarket profitability. In Power Systems, where we now see further growth potential, we continued to capture profitable growth across data centres and governmental. In addition, Rolls-Royce SMR was selected as the sole provider of the UK’s first small modular reactor programme. We expect Rolls-Royce SMR to be profitable and free cash flow positive by 2030.”

Rolls-Royce Holdings PLC (RYCEY) Stock Performance 

Rolls-Royce Holdings PLC has seen a strong comeback in 2025, following record profits. On July 31, Rolls-Royce reported a significant beat on its first-half operating profit and free cash flow, raising full-year forecasts. The company posted a 50% jump in operating profit to £1.7 billion and increased its guidance for 2025 operating profit to between £3.1 billion and £3.2 billion (up from a prior range of £2.7–£2.9 billion), and free cash flow to £3.0–£3.1 billion.

This strong performance was driven by:

  • Substantial improvements in its civil aerospace business, with higher utilization and engine flying hours surpassing pre-pandemic levels.
  • Growing power systems sales to data centers and government contracts.
  • Robust order intake, particularly for large aircraft engines.
  • Successful delivery on turnaround strategies set by the CEO, including enhanced profitability and margin expansion across divisions.

The jump reflected renewed investor confidence and belief that the company can sustain this growth trajectory. The day’s gain of about 10% made Rolls-Royce one of the top performers in major European indices and resulted in record share prices.

Rolls-Royce share price

Analysts have praised the results. Shore Capital called them “excellent,” noting strong margins in Civil Aerospace. Morgan Stanley mentioned that the company’s guidance might be conservative, given the current momentum.

The firm also pleased investors by announcing an interim dividend of 4.5p per share, payable in September. Additionally, it completed £400 million of its planned £1 billion share buyback, boosting shareholder confidence.

The company raised its full-year forecast, now expecting £3.1 billion to £3.2 billion in profit and £3.0 billion to £3.1 billion in free cash flow.

2025 rolls royce
Source: Rolls-Royce

SMRs Set to Power Rolls-Royce’s Nuclear Ambitions

The company’s clean energy vision centers on its Small Modular Reactor (SMR) program. It is making great progress and aims to be a global leader in SMRs.

Key SMR Developments:

  • UK Government Deal: Rolls-Royce was selected by Great British Energy – Nuclear as the preferred bidder to develop Britain’s first SMRs, supported by £2.5 billion in public funding.

  • Czech Republic Partnership: A partnership with ČEZ Group aims to deploy up to 3GW of clean energy in the Czech Republic, with more opportunities in Central Europe.

  • Growing Nuclear Ties: The UK and Hungary are deepening cooperation, potentially opening more SMR opportunities.

  • Technology Backing: Siemens Energy will supply steam turbines and generators, while Westinghouse is developing nuclear fuel for Rolls-Royce SMRs.

These collaborations enhance technical capabilities, lower costs, and support global SMR deployment.

Research and Supply Chain Push

Rolls-Royce is teaming up with the University of Sheffield’s AMRC. They aim to enhance modular manufacturing methods. This partnership will speed up production and lower costs for SMR.

As a member of the European Industrial Alliance on SMRs, Rolls-Royce collaborates with governments and industry to boost energy security and expand nuclear energy across Europe.

The company plans to form new utility partnerships in Asia and North America. It also aims to expand its supply chain with local engineering partners. There’s potential to link SMRs with energy storage and hydrogen. This could position them as a clean energy backbone for the future.

Rolls-Royce Aims Net Zero by 2050: Real Progress, Not Offsets

Rolls-Royce has made climate leadership a priority. It aims for net zero by 2050, not just in its operations but also across its products.

The company avoids relying on carbon offsets. Instead, it focuses on cutting emissions through innovation, efficient operations, and renewable fuels.

Here’s how it is cutting Scope 1 and 2 emissions from its operations:

It targets a 46% emissions cut by 2030, based on 2019 levels. The goal is to reach net zero emissions from its operations by 2050. This includes emissions from engine testing, which have increased due to higher development activity.

Rolls-Royce net zero
Source: Rolls-Royce

The company plans to use sustainable aviation fuel (SAF) in tests. They are shifting to clean power sources and installing batteries in locations like Friedrichshafen. Additionally, they are also buying renewable energy and focusing on efficiency improvements.

  • In 2024, total Scope 1 and 2 emissions increased to 301 ktCO2e. This rise includes a 55 ktCO2e jump in test-related emissions.
  • However, operational emissions dropped by 5 ktCO2e, a 3% decrease, which indicates progress.
scope emissions Rolls-Royce
Source: Rolls-Royce

Scope 3 Focus: Tackling Value Chain Emissions

Beyond direct emissions, Rolls-Royce is addressing Scope 3 emissions—especially from the use of its products (category 11) and purchased goods and services (category 1). These are major sources, with purchased goods accounting for 2.18 MtCO2e in 2024, around 2.5% of total emissions.

It is working with suppliers to set net zero targets, partnering with logistics firms for low-emission transport, and promoting resource efficiency to reduce waste.

Rolls-Royce emissions
Source: Rolls-Royce

Innovation for Cleaner Products

Rolls-Royce is investing significantly in future-ready, low-carbon products. They aim to ramp up their R&D spending on net-zero technologies by 75% this year.

Notable milestones include the UltraFan engine, a next-gen demonstrator with high fuel efficiency and SAF compatibility. All current in-production aero engines are certified to run on 100% sustainable aviation fuel. The company’s SMR projects aim to deliver scalable, clean electricity to national grids.

These projects are vital for its net-zero strategy and essential for decarbonizing the heavy industry and global aviation sectors.

All in all, Rolls-Royce demonstrates that climate action and financial growth can be mutually beneficial. From record profits to world-class clean tech investments, Rolls-Royce exemplifies how legacy companies can become climate leaders even without carbon credits. This approach helps create a responsible and profitable future.

Microsoft (MSFT) to Get Fusion Power as Helion Energy Kicks Off Orion Plant Construction

Saptakee S
-
0
Microsoft (MSFT) to Get Fusion Power as Helion Energy Kicks Off Orion Plant Construction

In a major leap toward commercial fusion energy, Washington-based Helion has begun site work on its first fusion power plant, Orion. The move marks a defining moment for both Helion and its key partner, Microsoft.

In 2023, Helion signed the world’s first power purchase agreement (PPA) for fusion energy, committing to supply electricity to Microsoft once the plant is operational. Located in Chelan County, Washington, the site was selected for its easy access to power transmission and its legacy of energy innovation.

This project represents a significant step in Helion’s mission to bring fusion electricity to the grid by 2028. Constellation Energy will serve as the power marketer. Now, with construction efforts underway, Helion is staying on track to meet the 2028 target.

helion fusion
Source: Helion

Helion’s Fusion Breakthrough: A Clean Energy Milestone

Fusion energy—the process that powers the sun—has long been viewed as the ultimate solution to the world’s energy needs. It offers virtually unlimited, clean energy without carbon emissions or long-lived radioactive waste. If Helion succeeds in delivering fusion electricity to the grid, it could mark a paradigm shift in how the world powers itself.

Over the past decade, Helion has built six fusion prototypes and made steady technical progress through rapid iteration and testing. Its sixth machine, Trenta, made history by achieving a fuel temperature of 100 million degrees Celsius—considered the minimum threshold for fusion to become commercially viable.

Now, Helion is constructing its seventh and most advanced prototype, Polaris. This machine is expected to go further than any before it: demonstrating not just fusion reactions, but also the first electricity produced directly from fusion.

Polaris: A Critical Step Toward Commercial Fusion

Polaris represents a major step in Helion’s roadmap to build a zero-carbon fusion generator. It will improve upon previous machines in several key ways:

  • Higher Frequency Pulses: Polaris is designed to pulse faster than Trenta, allowing more frequent fusion reactions.
  • Stronger Magnetic Fields: Enhanced magnets will provide improved plasma confinement, essential for sustaining the extreme conditions needed for fusion.
  • Direct Electricity Generation: Unlike traditional fusion designs that rely on steam turbines, Polaris is built to demonstrate direct electricity generation from fusion reactions, a critical innovation for scalable deployment.

If successful, Polaris will become the first fusion machine—public or private—to show that fusion can generate electricity in a compact system. Its success will provide the foundation for Orion, the first commercial-scale plant aiming to deliver fusion electricity to Microsoft and the wider grid.

polaris fusion
Source: Helion Energy

From Permits to Power: Orion Prepares to Energize the Grid

Helion began building the Orion facility on leased land from the Chelan County Public Utility District. The project cleared Washington’s rigorous environmental review process, receiving a Mitigated Determination of Non-Significance (MDNS) under SEPA guidelines.

Since 2023, Helion has actively collaborated with government agencies, Tribal Nations, and local stakeholders to prepare for the construction and operation phases. The company’s transparent approach to permitting and community engagement has helped smooth the path for the project.

After a one-year ramp-up period, the fusion power plant is expected to generate at least 50 megawatts (MW) of electricity. If successful, the Orion project could fast-track fusion’s role in global clean energy supply—years ahead of other industry projections.

Microsoft’s Energy Shift: From Solar to Fusion and Fission

Helion’s fusion energy isn’t the only clean power solution Microsoft is betting on. As the tech giant races to meet its ambitious climate goals to become carbon negative by 2030, it has also turned to traditional nuclear energy. The growing power demands of artificial intelligence (AI) and cloud computing have made constant, reliable energy a top priority.

While wind and solar remain crucial parts of Microsoft’s strategy but their intermittency creates challenges for powering massive data centers around the clock.

That’s where nuclear energy enters the equation. Microsoft has invested in multiple nuclear projects, including a 20-year PPA to purchase power from the restarted Three Mile Island nuclear facility in Pennsylvania. This deal alone will supply over 800MW of carbon-free electricity to Microsoft’s operations starting in 2028.

Microsoft MSFT emissions
Source: Microsoft

AI and the Rising Demand for Energy

Microsoft’s clean energy push is largely driven by surging electricity needs tied to AI development and cloud infrastructure. Industry analysts expect data center energy use to double by 2028, fueled by generative AI technologies and hyperscale computing. Between 2020 and now, Microsoft’s total energy use rose by 168%, driven by a 71% increase in revenue and significant expansion in its cloud operations.

At the same time, Microsoft’s emissions have gone up by 23.4% compared to its 2020 baseline. While this rise is modest relative to the company’s operational growth, it underscores the difficulty of decarbonizing at scale. Fusion and nuclear energy offer Microsoft a path forward—delivering stable, 24/7 clean electricity that wind and solar alone can’t guarantee.

Supporting Innovation and Clean Energy Leadership

The tech giant is becoming a leader in reshaping the nuclear and fusion energy industry. The company signed its first large-scale nuclear PPA with the Crane Clean Energy Center in 2024. That agreement will enable the restart of an 835MW nuclear plant in Pennsylvania, retired in 2019. The plant’s return will inject new clean energy into the PJM power grid, one of the largest in the U.S. and critical to Microsoft’s East Coast data centers.

By partnering with emerging fusion firms like Helion and supporting small modular reactor (SMR) projects, Microsoft is also fueling innovation in next-generation nuclear technologies. These efforts don’t just benefit Microsoft—they send a strong signal to markets, encouraging other corporations to invest in scalable, zero-carbon power solutions.

In fact, Microsoft’s influence is already visible across the energy sector. Its clean energy strategy is helping revive shuttered nuclear facilities, create local jobs, and guide public policy toward advanced carbon-free solutions.

Economic and Community Benefits

The economic ripple effects of Microsoft’s nuclear partnerships are expected to be substantial. Reviving plants like Three Mile Island will bring billions of dollars in investment and long-term job creation to surrounding communities. These projects also help maintain grid stability as power demand continues to grow.

Moreover, Helion’s Orion project could turn Chelan County into a global showcase for fusion innovation. If Polaris succeeds in producing electricity, Helion would not only lead the private fusion race but also bring global attention to the Pacific Northwest as a clean tech hub.

How Big Tech Is Reshaping the Clean Energy Landscape

Alongside Microsoft, Amazon, Google, and Meta are the hyperscalers driving renewable and nuclear energy adoption. As projected by S&P Global Insights, collectively, these tech giants have amassed more than 84 gigawatts of clean energy capacity across 29 countries. This scale is transforming global corporate energy markets, shifting clean energy from a sustainability perk to a business necessity.

Additionally, Microsoft has also joined influential advocacy groups like the Fusion Industry Association and the U.S. Nuclear Industry Council (USNIC), strengthening its voice in policy and industry discussions around the future of energy.

NUCLEAR

The partnership between Helion and Microsoft is more than a fusion pilot—it’s a turning point for nuclear energy innovation. As the Orion plant moves forward, it could accelerate the arrival of commercial fusion while giving Microsoft a reliable, zero-carbon energy source to support its rapidly growing AI infrastructure.

Apple (AAPL Stock) Rings Up $94B Q3 Win Fueled by iPhones, AI Push, and Climate Smarts

Jennifer L
-
0
Apple (AAPL Stock) Rings Up $94B Q3 Win Fueled by iPhones, AI Push, and Climate Smarts

Apple Inc. (NASDAQ: AAPL) delivered a strong third quarter in fiscal 2025 and beat analysts’ expectations. Robust iPhone sales and steady services growth drove the results, while rising AI investments and continued progress toward net-zero emissions highlighted Apple’s dual focus on innovation and sustainability.

Q3 Power Surge: Apple Beats on iPhones and Service

For its fiscal Q3 ended June 28, 2025, Apple reported revenue of over $94 billion, up nearly 10% year-over-year and ahead of analyst expectations. 

The company also posted earnings per share (EPS) of $1.57, beating forecasts of $1.43. Net income came in at approximately $23.4 billion.

iPhone sales surged 13.5%, reaching $44.58 billion, driven by early purchases ahead of possible tariffs. Mac revenue rose to $8.05 billion, surpassing estimates, while iPad sales reached $6.58 billion, slightly below forecasts.

Wearables and accessories sales fell short at $7.4 billion. Meanwhile, services revenue totaled $27.42 billion, marking steady growth. Gross margin stood at 46.5%, slightly above analyst expectations. Overall, financial performance is strong and has mostly beaten expectations. 

Apple financial report q3 2025
Source: Apple Financial Report

Tim Cook, Apple’s CEO remarked:

“Today Apple is proud to report a June quarter revenue record with double-digit growth in iPhone, Mac and Services and growth around the world, in every geographic segment. At WWDC25, we were excited to introduce a beautiful new software design that extends across all of our platforms, and we announced even more great Apple Intelligence features.”

Investors React: Small Stock Bump, Big AI Optimism

Following the earnings release, Apple’s stock rose slightly in after-hours trading, reflecting investor satisfaction over Q3 2025’s stronger-than-expected iPhone results and service growth. Analysts consider Apple better positioned as it accelerates AI investments and continues to diversify its supply chain.

Still, the stock remains down around 15–16% year to date, lagging behind other major tech companies. Analysts broadly expect potential upside, with many targeting price levels around $235. This is supported by confidence in Apple’s next steps in AI and hardware innovation.

apple stock q3 2025
Source: Yahoo

Scaling Up Services and Supply Chain Smarts

Services revenue, which includes the App Store, iCloud, and Apple Music, continues to be a key growth engine with 13% year-over-year growth. This segment now contributes nearly 29% of total revenue.

Additionally, Apple’s move to shift iPhone production from China to India helped avoid roughly $900 million in tariff exposure. Sales in Greater China recovered, rising to $15.37 billion, while Americas revenue grew 9.3% to $41.2 billion.

AI Investments and Product Evolution

Apple is increasing its focus on artificial intelligence. The company plans to make a more personal Siri. It is also investing in on-device intelligence. This will improve user privacy and performance.

Moreover, research and development spending reached an estimated $8.8 billion, about $800 million more than the same period last year.

Some experts think Apple is behind rivals like Microsoft and Google in AI. However, others back its focus on privacy and integration with products.

Apple’s strategy is to add AI features to its current ecosystem. Instead of launching separate products, they enhance what they already have.

Apple’s Climate Strategy: Net Zero, Circular Design, and Carbon Removal

Apple has committed to becoming carbon neutral across its entire value chain by 2030. It has achieved carbon neutrality for its corporate operations. Now, it aims to cut Scope 3 emissions, which account for most of its total footprint.

Apple net zero goals
Source: Apple

To get there, Apple is working with over 300 suppliers that now use 100% renewable energy for Apple production.

Recent Apple Watch models were the first to be labeled as carbon neutral, and Apple has also eliminated most plastics from its packaging.

Apple is also redesigning its products with the climate in mind. The company is steadily using more recycled materials. This is especially true for device enclosures and internal parts. These include aluminum, rare-earth elements, and recycled gold in important parts.

Many recent Mac and iPad models are made with 100% recycled aluminum, and newer iPhones now include recycled rare earth elements in key parts.

Packaging is also changing. Apple has switched most plastic in its boxes to fiber-based options. This change cuts waste and boosts recyclability.

In 2023, the company introduced its first carbon-neutral products, starting with select models of the Apple Watch. These products combined a lower-emission design with clean energy use and carbon removal investments.

Energy efficiency is another priority. Apple’s hardware is designed to consume less electricity during everyday use. This not only benefits the environment but also saves energy costs for consumers.

In terms of emissions Apple cannot yet eliminate, the company supports carbon removal initiatives, including:

  • reforestation,
  • wetland restoration, and
  • advanced tech, which features direct air capture and enhanced rock weathering.

The company publishes a Carbon Removal Progress Report to keep stakeholders informed of its progress.

Apple remains highly rated in ESG assessments and is aligned with the Science Based Targets initiative. It regularly receives top scores from groups like CDP and MSCI.

Final Take: Stable Growth Meets Purpose-Driven Innovation

Apple’s Q3 2025 performance shows its ability to deliver strong financial results while advancing in new areas like AI and sustainability. Robust iPhone sales, healthy service growth, and tight cost control helped Apple exceed expectations.

At the same time, its long-term climate commitments and innovation in design, materials, and carbon removal reinforce the company’s broader mission.

As Apple prepares for future product launches and further develops its AI ecosystem, its ability to balance profitability, innovation, and environmental responsibility will remain central to its identity—and its value to investors.

Is Tesla (TSLA) Securing U.S. Battery Independence with $4.3 B LG Energy Solution Deal?

Saptakee S
-
0
Is Tesla (TSLA) Securing U.S. Battery Independence with $4.3 B LG Energy Solution Deal?

In a major move to reduce dependence on Chinese imports, South Korea’s LG Energy Solution (LGES) has reportedly secured a $4.3 billion deal to supply Tesla with lithium iron phosphate (LFP) batteries for energy storage systems. As the U.S. ramps up tariffs on Chinese goods, the agreement marks a strategic pivot for Tesla, which has heavily relied on China for its battery needs.

Reuters disclosed that neither company has confirmed the deal publicly, but a source familiar with the matter said that the LFP batteries will be produced at LGES’s Michigan factory, which recently began production.

The contract, among LGES’s largest to date, will run from August 2027 through July 2030, with an option to extend for up to seven additional years and increase volumes based on future discussions.

LG Energy Solution’s (LGES) Power Shift: From EVs to Energy Storage

CNBC reported that LG Energy Solution had earlier disclosed a $4.3 billion contract to supply LFP batteries globally over three years, but did not name Tesla as the customer or clarify whether the batteries would be used for electric vehicles or energy storage systems (ESS). However, growing signals point to Tesla’s booming energy business as the likely focus.

With EV demand slowing, LGES has shifted gears toward energy storage. The company is betting on a surge in demand fueled by the rapid expansion of AI data centers and renewable energy installations.

Liz Lee, Associate Director at Counterpoint Research, confirmed to CNBC that the deal is expected to be closely linked to LGES’s Michigan facility, which now serves as its first North American ESS battery manufacturing hub.

This strategic shift comes as LGES considers repurposing some of its U.S. EV battery lines for ESS production in response to weakening EV market dynamics.

ESS LGES
Source: LGES

Strong Q2 2025

The company recently posted solid second-quarter earnings for 2025, even without North American production incentives. The company reported revenue of KRW 5.6 trillion, down 11.2% from the previous quarter. However, operating profit surged 31.4% to KRW 492.2 billion, with an 8.8% margin. Notably, North American incentives contributed KRW 490.8 billion to the operating profit.

CFO Chang Sil Lee stated,

“In the second quarter, we secured stable EV battery sales and also started production at our new ESS battery facility in North America. However, constrained customer purchase sentiment, coupled with the reflection of metal price decline to our average selling price (ASP), affected our quarterly revenue.”

Moving forward, LGES anticipates a short-term slowdown in EV demand due to new tariffs and cost pressures on automakers. Yet, the company remains optimistic about mid- to long-term growth, driven by advances in autonomous driving and energy storage.

To adapt to this shift, it is focusing on maximizing output at existing production lines, particularly for ESS batteries. It plans to expand its annual production capacity for ESS to 17 GWh by year-end. The company also aims to reduce fixed costs by scaling back investments while securing a competitive supply chain.

Sustainability Goals 

Beyond profits, the company is committed to achieving carbon neutrality across its value chain by 2050. One major step involves converting 100% of its power use across all global sites to renewable energy by 2030.

LGES is also working on creating a closed-loop battery ecosystem. With millions of tons of used EV batteries piling up, the company is actively exploring ways to reuse them for energy storage and recycle production waste. These initiatives aim to minimize environmental harm while securing critical raw materials.

lg energy solution LGES
Source: LGES

Tesla’s Push for U.S.-Made Batteries Gains Momentum

The global battery market is shifting rapidly, driven by policy changes like the U.S. Inflation Reduction Act (IRA) and similar initiatives in Europe and the UK. These regulations are encouraging companies to diversify supply chains and reduce reliance on Chinese suppliers. For LG Energy Solution (LGES), this creates a clear advantage. With operational plants in Michigan and an upcoming facility in Arizona, LGES is well-positioned to meet growing U.S. demand while staying aligned with evolving trade rules.

China has long dominated the lithium iron phosphate (LFP) battery space, but LGES is emerging as one of the few manufacturers building significant LFP production capacity on American soil. Its Michigan plant began operations in May, and the Arizona plant is set to further strengthen its U.S. presence.

CEO Elon Musk reinforced the importance of this shift, noting that energy demand is booming despite ongoing tariff and supply chain pressures.

He said during the company’s latest earnings call,

“Not many people realize just how massive battery demand has become.”

While Tesla plans to open its own LFP cell manufacturing facility in Nevada by the end of the year, it’s expected to cover only a fraction of the company’s overall battery needs. That’s where LGES comes in.

Its new U.S.-based capacity provides Tesla with a critical, non-Chinese alternative. The partnership aligns perfectly with Tesla’s goal to localize its battery supply chain—offering both strategic location and advanced manufacturing capability.

Battery Demand Powers Growth Outlook

Tesla’s energy generation and storage division, which includes its Megapack and Powerwall products, continues to play a growing role in its business. Despite overall revenue falling 12% in Q2 2025 to $22.5 billion, the energy segment generated more than $2.8 billion. However, this was a 7% year-over-year drop due to pricing pressure and supply chain challenges.

Still, the segment stands out as a growth area amid softening EV sales. Tesla has stressed that battery demand is growing at an unprecedented pace, making partnerships like the one with LGES essential to scaling operations.

TESLA

The Rise of Solid-State Batteries

As lithium-ion battery innovation continues, solid-state batteries are emerging as the next frontier in battery technology. These advanced batteries utilize solid ceramic or polymer electrolytes, providing enhanced safety, higher energy density, and longer lifespan.

The global solid-state battery market is expected to grow from $0.26 billion in 2025 to $1.77 billion by 2031, with a projected CAGR of 37.5%, according to MarketsandMarkets.

Solid-State Battery Market Size

Solid state battery market
Source: MarketsandMarkets

Solid-state batteries are ideal for electric vehicles, medical devices, and industrial sensors due to their resistance to leakage and thermal runaway. Primary solid-state batteries, commonly used in smart packaging, RFID tags, and medical patches, will likely dominate the market in the short term.

North America is set to lead in both research and commercialization. U.S. companies like Solid Power, QuantumScape, Sakuu Corporation, and Excellatron are spearheading innovation, with Mercedes-Benz and Factorial Energy collaborating on a technology that could offer EVs over 600 miles of range on a single charge.

solid state battery
Source: MarketsandMarkets

Other major players like ProLogium (Taiwan), Ilika (UK), and Blue Solutions (France) are also advancing the global rollout of solid-state battery technologies, signaling a strong future for energy storage innovation.

The LGES-Tesla deal signals a major shift in the energy market. As EV demand slows and energy storage rises, resilient, tariff-friendly supply chains and advanced battery tech are taking center stage. With new U.S. plants and strong sustainability goals, LGES is emerging as a key player in powering Tesla’s energy growth amid global trade and policy shifts.

Solar Surge and Wind Wins: 2024’s Renewable Energy Boom Breaks All Record

Jennifer L
-
0
Solar Surge and Wind Wins: 2024’s Renewable Energy Boom Breaks All Record

The global energy transition hit a major milestone in 2024. According to the latest report from the International Renewable Energy Agency (IRENA), the world added a record-breaking 582 gigawatts (GW) of new renewable energy capacity. This marks an over 15% increase from 2023 and the highest annual addition on record since IRENA began reporting.

Clean Energy Breaks Records in 2024

Most of this growth came from solar photovoltaics (PV), which made up 452.1 GW or nearly 78% of the total new capacity. Wind energy followed with 114.3 GW, while hydropower, geothermal, bioenergy, and concentrated solar power (CSP) made up the rest.

renewable power capacity 2024
Source: IRENA
  • By the end of 2024, the world’s total renewable capacity reached 4,443 GW.

China led the world in new installations. It contributed 276.8 GW of new solar capacity and 79.4 GW of wind. That means China alone was responsible for more than 60% of global solar additions and nearly 70% of new wind installations.

Other top contributors included India, the United States, Brazil, and Germany, which all made significant progress in expanding their clean energy capacity.

Even though these numbers are impressive, IRENA points out that global deployment must accelerate even faster to meet the “UAE Consensus” target agreed upon at COP28. That goal is to triple renewable capacity by 2030, reaching over 11,000 GW worldwide.

With six years left, the world will need to more than double the rate of annual additions to stay on track.

Renewables Prove the Cheapest Power Option

One of the clearest messages in the IRENA report is that renewables are now the most affordable form of new electricity generation in most countries. In 2024, 91% of newly commissioned utility-scale renewable projects produced electricity at a lower cost than fossil fuel-based alternatives.

Renewable energy LCOE decline, 2010-2024

Here are the global average levelized cost of electricity (LCOE) figures from 2024 per IRENA’s report:

  • Onshore wind: $0.034 per kilowatt hour (kWh)
  • Solar PV: $0.043/kWh
  • Hydropower: $0.057/kWh
  • Offshore wind: $0.082/kWh

Some markets saw even lower costs. For example, onshore wind in China came in at $0.029/kWh, and in Brazil, it was $0.030/kWh. Solar PV was also particularly cheap in China ($0.033/kWh) and India ($0.038/kWh).

While overall prices remained low, some renewable technologies experienced small cost increases in 2024:

  • Solar PV: Up 0.6%
  • Onshore wind: Up 3%
  • Offshore wind: Up 4%
  • Bioenergy: Up 13%

Other technologies saw cost declines, such as:

  • Concentrated Solar Power (CSP): Down 46%
  • Geothermal: Down 16%
  • Hydropower: Down 2%

Despite a few short-term fluctuations, the long-term trend is clear: renewables are getting cheaper and more competitive every year.

Battery Storage Supercharges the Grid

One of the most important enablers of the renewable boom is battery storage. These systems allow energy from variable sources like solar and wind to be stored and used when needed. This helps balance the grid and supports a stable electricity supply even when the sun isn’t shining or the wind isn’t blowing.

Global gross battery storage capacity additions

According to IRENA, the cost of utility-scale battery storage has dropped 93% over the past decade. In 2010, it cost $2,571 per kilowatt-hour (kWh). In 2024, it fell to just $192/kWh.

This dramatic price drop is the result of improved materials, larger manufacturing scale, and more efficient production processes. Batteries are also increasingly paired with solar and wind systems in hybrid projects. These setups include on-site generation, storage, and sometimes digital monitoring tools, allowing for smarter and more efficient energy use.

As battery prices continue to fall and deployment increases, these systems will play a critical role in grid flexibility and renewable integration.

Yet, Obstacles Stand in the Way

Despite the progress, the transition to renewable energy is not without challenges. IRENA points to several key barriers that could slow growth if not addressed:

  1. Geopolitical Tensions and Trade Barriers
    • Rising tariffs on solar panels, wind turbines, and raw materials could disrupt global supply chains.
    • Dependence on a few countries for manufacturing, especially China, adds risk.
  2. Financing Difficulties in Emerging Markets
    • Capital costs are higher in developing countries.
    • Limited access to affordable loans or public funding stalls projects.
  3. Slow Permitting and Grid Constraints
    • Many countries face delays in approving renewable energy projects.
    • Existing power grids are not always ready to handle large amounts of new renewable electricity.
  4. Policy Uncertainty
    • Inconsistent or unclear policies on renewable targets, tax incentives, or feed-in tariffs make it hard for investors to commit long-term.

The agency stresses that urgent action is needed. Governments must streamline regulations, invest in grid upgrades, and expand financial support if they want to scale up clean power and meet their climate goals.

Fossil Fuel Costs Avoided: A Hidden Benefit

One powerful but often overlooked benefit of renewables is the economic value of avoided fossil fuel costs. In 2024, renewable energy helped the world avoid $467 billion in fossil fuel spending, according to IRENA estimates.

Avoided fossil fuel costs from renewable electricity generation

This means fewer oil and gas imports, lower exposure to global price spikes, and less economic instability. For many developing nations, the ability to generate power locally using the sun or wind is not just cheaper — it’s also more secure.

Avoiding fossil fuel use also reduces exposure to geopolitical risks, such as conflicts that disrupt fuel supply. That makes renewables not only a climate solution, but also a resilience strategy.

Looking Ahead: Accelerate or Fall Behind?

The IRENA report makes it clear: renewable energy is no longer a niche technology. It is a mainstream energy source that’s expanding fast and cutting costs. Still, the pace must double to meet global targets.

The cost trends are encouraging. The technology is ready. Investment is rising. But challenges remain, and time is short.

If governments and industry leaders can work together to remove barriers, increase financing, and support innovation, renewable energy could power most of the world’s electricity by 2030. 

Rare Earth Demand to Triple by 2035: Can the U.S. Catch Up with China?

Saptakee S
-
0
Rare Earth Demand to Triple by 2035: Can the U.S. Catch Up with China?

Rare Earth Elements (REEs) play a vital role in the global transition to clean energy and advanced technology. Known for their magnetic, luminescent, and electrochemical traits, these 17 elements are widely used in high-tech applications—from electric vehicles and wind turbines to medical devices and defense systems.

As the energy transition accelerates, global demand for REEs is set to surge, raising major concerns around supply chain stability and geopolitical risks.

Magnet REEs Demand Set to Triple as EVs and Wind Power Take Off

A McKinsey report reveals that global demand for magnetic rare earth elements is projected to triple—from 59 kilotons in 2022 to 176 kilotons by 2035. This sharp rise is driven by booming electric vehicle adoption and the rapid expansion of wind power projects.

Neodymium (Nd) and praseodymium (Pr) form the core of REE magnets, while dysprosium (Dy) and terbium (Tb) are added to enhance performance in extreme conditions. Although magnetic REEs make up only 30% of REE volume, they account for over 80% of market value.

The demand surge is outpacing efforts to substitute REEs with copper coil magnets. Without sufficient supply, the world could face a 60-kiloton shortage by 2035—roughly 30% of projected demand.

The energy transition will likely lead to a surge in demand for magnetic
rare earth elements, with market balance tied to mining quotas in China

rare earth elements
Source: McKinsey

China’s REE Dominance: A Double-Edged Sword

China currently controls over 60% of global REE mining and more than 80% of refining. This dominance in the REE supply chain poses a major challenge for other countries. Light REE mining and refining are expected to remain concentrated in China through 2035 unless other regions ramp up production significantly.

Heavy REEs, critical for wind turbines, EVs, and robotics, are mostly mined in the Asia-Pacific region but still primarily processed in China. As a result, countries worldwide are scrambling to develop local REE supply chains. But even with rising investments, most current pipelines are unlikely to meet near-term demand.

Trade Tensions Trigger Rare Earth Supply Shocks

In April 2025, Beijing imposed export restrictions on several rare earth products in response to U.S. tariffs and tech restrictions. This caused rare earth magnet exports to the U.S. to plummet, disrupting global supply chains and forcing automakers outside China to partially suspend production.

However, following new trade agreements in June, shipments rebounded sharply. Reuters reported that China’s exports of rare earth magnets to the U.S. jumped 660% month-over-month in June to 353 metric tons. Yet, global export levels remained 38% lower compared to the same month in 2024, showing the lingering effects of supply disruption.

china rare earth
Image collected from Reuters. Original source: China Customs

America’s Untapped Rare Earth Potential Could Shift Global Dynamics

The U.S. Geological Survey (USGS) estimates that the United States has 3.6 million tons of measured and indicated rare earth resources. They are primarily in California, Alaska, Wyoming, and Texas. Canada boasts an even larger potential, with more than 14 million tons of identified REE resources, spread across Ontario, Quebec, and the Northwest Territories.

The only active rare earth mine in the U.S. is located at Mountain Pass, California, operated by MP Materials. In 2024, it produced approximately 45,000 tons of REO (rare earth oxide) concentrate, valued at $260 million. However, the ore is still mostly shipped to China for final processing, highlighting a critical gap in domestic refining capacity.

In southeastern U.S. states like Georgia and North Carolina, monazite—a phosphate mineral rich in rare earths—is being recovered as a byproduct from heavy mineral sands. Companies like Energy Fuels and Ucore Rare Metals are exploring new separation facilities and pilot-scale processing plants to close the refining gap and build end-to-end domestic REE supply chains.

Meanwhile, Canada has over 20 advanced rare earth projects in development, with several aiming to become commercial by the late 2020s. Notably, Vital Metals began small-scale production at its Nechalacho project in the Northwest Territories in 2021. Also Appia Rare Earths & Uranium Corp. is advancing its Alces Lake project in Saskatchewan.

Together, these efforts mark a strategic push by North America to reduce dependency on China. However, challenges remain, including long permitting timelines, environmental review hurdles, and the high cost of separating and refining REEs domestically.

World Mine Production and Reserves

rare earth
Source: USGS

Rare Earth Market Forecast: Strong Growth, High Volatility

According to Mordor Intelligence, the global rare earth metals market is expected to grow from 196.63 kilotons in 2025 to 260.36 kilotons by 2030, at a 5.8% CAGR. The magnet application segment will lead this growth with a forecasted CAGR of 8.02%, thanks to the rising demand for NdFeB magnets in EV motors and wind turbines.

rare earth market size
Source: Mordor Intelligence

Despite the promising outlook, market volatility is expected to persist through 2025. As manufacturers adapt, many are redesigning products to minimize REE use where possible, while governments are providing financial support. Since 2020, the U.S. Department of Defense has committed over $439 million to strengthen domestic REE supply chains.

Securing the Future: Time to Diversify the REE Supply Chain

The race is on to reduce global reliance on China for rare earths. Countries must invest in domestic mining, develop recycling infrastructure, and support technological innovation to ensure a steady, sustainable supply of REEs. Regulatory reforms and international collaboration will be key to overcoming bottlenecks.

Recycling Rare Earths

Given long mine development timelines and environmental concerns, recycling offers a fast-track solution to strengthen REE supply chains. By recovering REEs from used electronics, industrial equipment, and EV motors, countries can reduce import dependence and close supply gaps.

While large-scale recycling systems are still developing, they represent a sustainable and cost-effective way to boost local supply, especially for high-value magnets.

As the energy transition speeds up, rare earth elements are essential. In the future, ensuring resilient supply chains will be critical to advancing clean energy, digital technology, and national security.

Facebook Owner Meta Stock Surges After Beating Q2 Forecasts and Sustainability Milestone Progress

Jennifer L
-
0
Facebook Owner Meta Stock Surges After Beating Q2 Forecasts and Sustainability Milestone Progress

Meta Platforms delivered a standout Q2 2025, reporting $47.5 billion in revenue and $7.14 in earnings per share—both well above analyst expectations. The company’s stock jumped over 11% after the announcement. This rise came from high advertising demand and ongoing investment in AI.

At the same time, Meta reaffirmed its leadership in sustainability, maintaining net-zero emissions across global operations since 2020 and advancing its goal to reach full value-chain net-zero by 2030.

Stock Reaction: Sudden Surge after Earnings

Meta reported results for the quarter ending June 30, 2025. Revenue reached $47.5 billion, up 22% year‑over‑year, exceeding analyst estimates near $44.8 billion. Earnings per share came in at $7.14, a 36–38% rise above forecasts of about $5.88–5.92.

Advertising revenue drove the results, rising 21% to $46.6 billion. Meta raised its Q3 revenue guidance to a range of $47.5–50.5 billion, above prior expectations. The company also narrowed its full‑year expense range to $114–118 billion and capital expenditures to $66–72 billion.

Meta revenue q2 2025
Chart from Yahoo Finance

Meta’s stock price jumped sharply after hours. Shares rose nearly 11% on the day the results were released. Investors reacted favorably to the strong ad revenue, solid earnings beat, and guidance above consensus.

Confidence in Meta’s AI strategy also supported the rally. The stock is up almost 20% year‑to‑date and over 50% in the past 12 months.

META stock price q2 2025
Source: Yahoo

Building the AI Empire: Llama 4 and Superintelligence Labs

Meta continues to place AI at the center of its growth plan. The company is investing heavily in infrastructure, talent, and tools like its Llama 4 model and Advantage+ ad platform.

It plans up to $70 billion in capital spending in 2025, most of which will fund AI data centers and talent recruitment. While this drives costs, it also improves ad conversion rates—early AI tools reportedly boosted Reels conversion by about 5%.

Meta also took a $15 billion stake in Scale AI and formed a new Superintelligence Labs division led by the founder of Scale AI.

Green Tech Titan: Meta’s Sustainability Wins and Net Zero Goals

Apart from its financial wins, Meta has also made a series of climate and sustainability commitments over the past 5 years. The company published its latest Sustainability Report in 2024, which outlined progress toward its long-term goal of reaching net-zero emissions across its entire value chain by 2030.

Meta already achieved net-zero emissions for its global operations (Scope 1 and 2) in 2020. This includes emissions from company offices, owned data centers, and electricity use. It has accomplished this by reducing direct emissions and purchasing renewable energy for 100% of its operations.

From a 2017 baseline, Meta has cut its operational emissions by 94%. This reduction comes from both energy efficiency improvements and a major shift to renewable power.

As of 2023, the company had signed contracts for over 11.7 gigawatts (GW) of renewable energy, placing it among the world’s largest corporate buyers of clean electricity.

However, Meta’s Scope 3 emissions — which come from its suppliers, business travel, hardware manufacturing, logistics, and cloud usage — remain significantly larger. In 2023, its market-based net emissions were about 7.5 million metric tons of CO₂e, while location-based emissions stood at 14 million metric tons.

meta GHG emissions 2023
Source: Meta

The difference reflects the use of renewable energy certificates (RECs), which have been criticized by some experts as less effective than direct decarbonization.

To address these upstream emissions, Meta has launched a Net Zero Supplier Engagement Program. It encourages its suppliers to set their own science-based targets.

By the end of 2023, around 28% of supplier-related emissions were covered by supplier reduction plans. The company is working to increase this figure by expanding engagement, improving tracking, and offering guidance to smaller vendors.

Other Major Sustainability Initiatives

In addition to climate targets, Meta is also addressing water use, waste, and biodiversity:

  • Water restoration is a key part of its environmental strategy. The tech giant aims to become water positive by 2030, meaning it will restore more water to the environment than it withdraws. In 2024, the company restored over 1.5 billion gallons of water through 18 nature-based projects across North America, India, and Southeast Asia. These include wetland rehabilitation, forest restoration, and rainwater harvesting.
  • Zero-waste and circularity programs are expanding. Meta diverted over 80% of operational waste from landfills in 2023 and is exploring ways to reuse server parts and electronics from decommissioned data centers.
  • Sustainable design is also integrated into Meta’s buildings and data centers. Many facilities are certified under LEED (Leadership in Energy and Environmental Design). The company also uses low-carbon materials like mass timber in construction.

Meta supports broader climate disclosure frameworks as well. It aligns its climate-related reporting with the Task Force on Climate-related Financial Disclosures (TCFD). It also follows guidance from the Sustainability Accounting Standards Board (SASB). Furthermore, the company supports policies that promote clean energy adoption and sustainable supply chains.

Despite these advances, Meta still faces ESG challenges. Critics point out that the company relies heavily on carbon offsets and RECs. Moreover, they claim that it has not disclosed a detailed decarbonization pathway for its full Scope 3 emissions.

Still, Meta’s environmental performance shows clear progress. Its operational footprint has shrunk significantly, and its large investments in renewables and water restoration have measurable impacts.

The next phase—achieving net zero across its supply chain—will require more supplier collaboration, stronger accountability, and continued transparency.

Dual Strategy: Balancing AI Growth with Green Responsibility

Meta shows it can grow rapidly while investing in AI. The strong Q2 results reflect healthy ad demand and early returns from AI ad tools. But AI expansion also raises environmental and governance questions.

Capital spending is increasing emissions from data centers and infrastructure—even as Meta offsets these with renewables and carbon accounting. The company must balance scaling AI with deeper value‑chain decarbonization. Its net‑zero goal across Scope 3 by 2030 remains ambitious but challenging.

Governance risks tied to policy changes and moderation remain material. These could affect ESG ratings over time, especially if controversies arise.

Meta posted strong 2025 second-quarter earnings. Heavy AI investments drive growth and costs alike. At the same time, it has also maintained net‑zero operations since 2020 and targets full value‑chain net‑zero by 2030. As such, the company continues to balance expansion with sustainability and net-zero goals. 

Microsoft (MSFT Stock) Tops Q2 2025 Record-Breaking Surge in Durable Carbon Removal Credit Purchases

Jennifer L
-
0
Microsoft (MSFT Stock) Tops Q2 2025 Record-Breaking Surge in Durable Carbon Removal Credit Purchases

The durable carbon dioxide removal (CDR) market experienced its strongest quarter ever in Q2 2025, per the CDR.fyi report. Companies bought 15.48 million tonnes of durable carbon removal credits. This almost doubles the total volume contracted in all past quarters combined.

This quarter’s figure exceeded the Q1 2025 total of 13.6 million tonnes and marked a major turning point for the market. Let’s discover the top buyers, suppliers, and what CDR methods are most in demand.

Microsoft the Megabuyer: One Tech Giant, Five Massive Deals

Microsoft dominated the quarter, contracting 14.6 million tonnes across five mega‑deals. These purchases accounted for 93.8% of Q2 volumes. The largest single deal was for 6.75 million tonnes from AtmosClear, followed by around 3.7 million tonnes from CO₂ Limited.

Other deals included contracts with:

Microsoft has bought nearly 25 million tonnes of durable CDR since late 2020. This accounts for about 79.5% of the total market volume, according to CDR.fyi.

Rising Stars: Non-Microsoft Buyers Step Up Their Game

Even excluding Microsoft, Q2 remained strong. Other buyers, not including the tech giant, purchased about 902,000 tonnes. This makes it the second-highest quarter for non-Microsoft purchases, just behind Q4 2024, according to CDR.fyi CSO Futures.

durable cdr purchasing trend q2 2025

JPMorgan Chase accounted for 450,000 tonnes of BECCS and 50,000 tonnes of DACCS, representing about 63% of the non-Microsoft volume.

Other buyers were Wihlborgs (a Swedish real estate firm), City-owned Helsingborgshem, Frontier Buyers marketplace, Capgemini, Mitsui O.S.K Lines, SAP, and Wild Assets.

New players like Capgemini and Mitsui expanded the buyer base. They made purchases in various technical removal types and improved weathering.

Purchaser Leaderboard Top 10

Biochar Delivers, BECCS Leads: Tech Showdown in the Carbon Race

BECCS led technology choices in Q2, making up 86% of contracted volume. This included Microsoft and other buyers, according to CDR.fyi CSO Futures.

Biochar is a key player in biomass carbon removal solutions (BiCRS). It achieved strong delivery performance, making up 89.4% of the 116,800 tonnes delivered this quarter. Biomass direct storage and biomass geological sequestration added another 6.6% of deliveries.

Durable CDR Purchase Volume by Method

BECCS is popular due to its high technology readiness levels (TRL 7–9), especially in Nordic countries where they have forest biomass feedstock. They also have strong energy markets and new CO₂ storage projects. For example, Norway’s Longship and Northern Lights facilities are part of this effort.

In terms of suppliers, biochar producers dominated the supplier leaderboard. Five of the top six suppliers are driving nearly 90% of contracted volume via large-scale BECCS or biochar projects.

CDr supplier q2 2025

Exomad Green held the top spot, delivering ~172,000 t and selling nearly 1.76 M t of biochar carbon removal (BCR) credits in total. Other leading firms included Aperam BioEnergia, Varaha, Wakefield Biochar, and Carboneers.

Together, they contribute significant delivery and contracted volumes via high-performing biochar methods. These recurring players show consistent performance and growing commercial traction in durable CDR.

Fewer Cheques, Bigger Bets: Why VC Funding Slowed While Deals Grew

While purchase volumes soared, investment funding cooled off. In Q2, just eight CDR companies raised $122 million, down from 24 companies and $137 million in Q1.

Direct air capture startups accounted for most fundraising. This slowdown reflects a maturing market where large corporate contracts play a bigger role than venture capital for project scaling.

The strong Q2 performance signals a turning point for durable CDR. It reflects both rapid growth in purchase activity and a narrowing gap between durable methods and nature-based removals.

A recent survey found that durable credits accounted for just 200,000 tonnes of retirements in 2024. In contrast, nature-based options reached 11 million tonnes.

Buyers want durable carbon dioxide removal volumes to equal or surpass nature-based credits by 2050. This will narrow the 6:1 ratio to parity by 2030.

Indexed CDR Purchase Volume Growth Projections

Buyers want clear net-zero standards, solid business case validation, and lower costs to boost durable CDR demand. About 65% of companies surveyed said stronger net-zero frameworks, like those from SBTi, drive demand.

Many investors are cautious about unproven technologies and gaps in standards. However, the record Q2 shows that major buyers are eager to invest in removal methods. These methods align with their climate goals.

What Comes Next: Can Durable CDR Close the Gap with Nature-Based Offsets?

The global CDR market is now about $2 billion. Analysts expect it to grow to $50 billion by 2030. If favorable policies and buyer demand happen, it could surpass $250 billion by 2035. McKinsey and others estimate durable, engineered CDR could scale into a trillion-dollar sector by mid-century.

Yet, challenges still exist, including:

  • Fragile market liquidity
  • Different credit types that aren’t interchangeable
  • Price uncertainty (durable carbon credits average about $180 per tonne, while nature-based credits average $35)
  • Concerns about delivery risk and credit permanence

These issues affect the market’s stability. Survey data shows that buyers usually expect prices to be lower than what suppliers predict. This is especially true for non-biochar technical removals. Cost barriers are slowing down adoption.

Q2 2025 results marked a milestone: the durable carbon dioxide removal market grew faster than ever before. Microsoft’s anchor purchases and broader corporate engagement drove 15.5 million tonnes of contracted volume—more than doubling the market size in a single quarter. BECCS and biochar led in both scale and delivery.

Still, investment slowed, and adoption barriers persist. Companies cite the need for net-zero standards, cost declines, and clearer risk frameworks. But as large-scale contracts become more common, durable CDR is shifting from early promise to practical climate action.

Powering Slovakia’s Nuclear Future: Urenco Secures Uranium Deal with Slovenské elektrárne

Saptakee S
-
0
Powering Slovakia’s Nuclear Future: Urenco Secures Uranium Deal with Slovenské elektrárne

Featured image sourced from Slovenské elektrárne’s official press release 

Slovenské elektrárne, a.s., Slovakia’s largest electricity producer, signed a long-term contract with the Urenco Group on July 25, 2025. British Ambassador Nigel Baker witnessed the agreement. This contract secures enriched uranium for Slovakia’s nuclear plants in Bohunice and Mochovce until the mid-2030s. It helps Slovakia diversify its nuclear fuel sources and boost energy security.

By partnering with Urenco, Slovenské elektrárne gains a trusted enrichment provider. This deal also lowers risks from geopolitical tensions and supply issues.

Branislav Strýček, Chairman of the Board of Directors and CEO of Slovenské elektrárne

“We are pleased that thanks to the future cooperation with Urenco, we will be able to ensure the diversification of our business relationships. This will significantly help us to continue to maintain the stable and safe operation of our nuclear power plants.”

Slovenské elektrárne: Leading Slovakia’s Carbon-Free Future

Slovenské elektrárne is Slovakia’s leading energy company. It generates over 70% of the country’s electricity. After shutting down the last coal-fired power plant in early 2024, it now produces electricity with zero direct CO₂ emissions.

The company’s energy mix includes nuclear, hydroelectric, and solar power. Its sustainability efforts focus on:

  • Efficient resource use

  • Environmental management

  • Reliable and ethical supply chains

  • Continuous improvement and financial stability

Energy efficiency services help businesses and homes cut energy use and CO₂ emissions. Solutions like LED lighting and smart cooling systems allow clients to make real strides toward their climate goals.

Slovenské elektrárne is 66% owned by Slovak Power Holding B.V., which is part of the Czech group Energetický a průmyslový holding (EPH). The Slovak Republic owns the other 34%. This structure provides local oversight and leverages regional expertise.

Energy Independence with Nuclear Power

Nuclear power has been central to Slovakia’s energy system for over 50 years. Slovenské elektrárne produces over 87% of the country’s electricity from nuclear sources, making it one of Europe’s leaders in low-carbon energy.

The contract followed an international tender launched in early 2024. With global geopolitical uncertainties and rising pressure on nuclear fuel markets, securing a reliable uranium partner is more important than ever. This deal with Urenco helps ensure a stable and clean electricity supply for households and industries in Slovakia.

Nigel Baker, British Ambassador to Slovakia

“In today’s world, diversification of energy supplies is crucial for national security. The long-term contract between Urenko and Slovenské elektrárne helps Slovakia achieve this goal and provides a reliable alternative for the supply of enriched uranium for the operation of the Slovak nuclear industry in the coming years. I am very pleased with this close partnership, which also helps to strengthen ties between Slovakia and the United Kingdom.”

Modern, Safe, and Efficient Nuclear Fleet

Slovenské elektrárne operates five VVER 440 pressurized water reactors—two at Bohunice and three at Mochovce. These reactors provide nearly two-thirds of the country’s electricity.

They are built with strong safety features, including thick reinforced containment structures and large cooling water reserves. The completion of new units at Mochovce has increased capacity. In January 2023, Unit 3 was connected to the grid after final regulatory approval in August 2022.

Each unit produces up to 535 MW of electricity, meeting around 13% of Slovakia’s needs. One reactor prevents about 5 million tonnes of CO₂ emissions yearly—like removing two million cars from the road.

This also strengthens Slovenské elektrárne’s resilience against nuclear fuel supply disruptions and supports its path toward climate neutrality.

Urenco: A Global Player in the Nuclear Supply Chain

Urenco, based in London, has offered uranium enrichment services for over 50 years. The company plays a vital role in the global nuclear fuel supply chain. It supports low-carbon electricity production in Europe, North America, and beyond. With enrichment facilities in Germany, the Netherlands, the UK, and the US, Urenco guarantees a secure supply for its clients.

The company aims for net-zero carbon emissions by 2040 and emphasizes strong environmental governance. Regular assessments monitor its impact on air, water, and energy use. Oversight by the UK’s Office for Nuclear Regulation ensures high operational safety standards.

Uranium Enrichment Process

URENCO URANIUM
Source: URENCO

Why Uranium Enrichment Is a Strategic Priority?

Uranium enrichment is a key and expensive part of the nuclear fuel cycle. This cycle includes mining, conversion, enrichment, and fuel assembly. Only a few companies worldwide can manage this process. Nuclear power operators, like Slovenské elektrárne, need reliable and varied enrichment services.

According to data from the World Nuclear Association, global demand is projected to keep rising steadily through 2040, while supply remains constrained. This growing imbalance is expected to create a significant gap between the world’s uranium supply and the level of demand by that time.

Some experts say that this is a cause for concern, as current mining and processing levels may fall short of what’s needed to scale up nuclear power generation. Thus, significant investments are required to ramp up supply and meet the rising demand for nuclear fuel.

uranium

Slovenské elektrárne’s contract with Urenco Group comes at the right time when the uranium market is strained. It’s also a step toward a strong, climate-friendly energy future for Slovakia. By investing in secure nuclear fuel and focusing on sustainability, the company leads in Central and Eastern Europe.

Laurent Odeh, Chief Commercial Officer of Urenco Group

“At Urenco Group, we are very proud to be entering a new market with a new customer, and I would like to thank Slovenské elektrárne for their trust.”

As Europe moves away from fossil fuels, Slovenské elektrárne leads the way—driving innovation, providing clean power, and ensuring electricity for all in Slovakia.

1...141516...218Page 15 of 218