Our approach
Our approach to sustainability is built on our company’s purpose – to create technology that helps the world act together. Environmental, Social and Governance criteria (ESG) represent the sixth pillar of our corporate strategy, where we aim to make it a competitive advantage for Nokia and therefore our customers and partners.
Sustainability is integral to our technology vision 2030, technology strategy as well as Nokia’s business group product and operational strategies.
All of these are underpinned by our unwavering focus on adherence to high standards of integrity and security that build trust and help create the capabilities needed for a more productive, responsible, sustainable and inclusive world.
Our sustainability strategy
The five ESG focus areas
Nokia’s sustainability strategy aims to ensure we maximize our impact in the ESG areas most significant to our company. It is implemented through our business groups and consists of five focus areas: Environment (climate and circularity), Industrial Digitalization, Security and Privacy, Bridging the Digital Divide, and Responsible Business.
We strive to create value and, where possible, exceed stakeholder requirements and expectations while complying with increasing regulatory requirements and stakeholder expectations. Our current sustainability strategy focuses on where we believe we can have the greatest impact on ESG risks and opportunities.
Environment (climate & circularity)
In Environment, we emphasize two areas: climate and circularity. For climate, we look to be the leader in energy efficiency in silicon, software, and systems, providing the networks and operations skills to scale smart energy solutions. We also intend to accelerate our first mover ambition in energy efficiency in 5G-Advanced and 6G through early engagement in standardization and ecosystem development. For circularity, we focus on opportunities to promote hardware circularity and manage the sourcing and reuse of key source materials.
In Environment, we emphasize two areas: climate and circularity. For climate, we look to be the leader in energy efficiency in silicon, software, and systems, providing the networks and operations skills to scale smart energy solutions. We also intend to accelerate our first mover ambition in energy efficiency in 5G-Advanced and 6G through early engagement in standardization and ecosystem development. For circularity, we focus on opportunities to promote hardware circularity and manage the sourcing and reuse of key source materials.
Industrial Digitalization provides the opportunity to sustainably transform physical industries and cities through digitalization and connectivity. Our offering for industry and cities can support decarbonization, resource efficiency and improved safety.
Security and Privacy are together positioned as cornerstones of our product proposition. Product development follows our “Design for Security” methodology, and Nokia’s security team partners with our customers to build and maintain secure networks, compliant with national regulations for critical telecom infrastructure.
In Bridging the Digital Divide, we use our broad product portfolio and non-terrestrial communication networks to connect the unconnected and underserved and invest in partnerships to support digital skills building.
In Responsible business, we strive to do business ethically and responsibly, ina manner aligned with our proclaimed corporate values. We collaborate closely with customers and suppliers to engage on systemic issues related to the environment, the mitigation of technology misuse, (and advocating for responsible AI principles, ethics, human rights and working conditions. Responsible business at Nokia includes Supply Chain, Human Rights, Ethics and Compliance.
Our handprint and footprint
We believe the technology we provide enables environmental and social benefits to individuals, industries, communities and economies that can outweigh potential negative impacts. These benefits are the handprint of digitalization and connectivity. We have both a social and an environmental handprint. We maximize this handprint.
We must, however, continually strive to minimize any potential negative impacts of technology. This is our “footprint”. We have both an environmental and a social footprint. We collaborate throughout our value chain to continually minimize our footprint.
These two aspects of our approach are underpinned by responsible and ethical business practices. We strive to be a trusted, ethical company that our employees, customers, suppliers, partners, governments and investors are proud to work for and with. As part of our responsible approach, we aim for:
- Robust practices, procedures and policies that minimize risk
- Management accountability for sustainability and responsibility throughout the organization
- Trust, accountability and ethical behavior as foundations on which we operate
- ISO-certified and audited management systems
- A robust people strategy and mature processes to attract, retain and develop talent.
Enabling and engaging our organization
In 2024 we continued sustainability enablement across our global organization through the ESG Community of Interest, a collaborative innovation platform for knowledge building particularly targeting employees working with customers. During 2024 the community organized sessions on energy efficiency, bridging the digital divide, reporting, sustainable sourcing, circularity and ESG standards.
Governance and materiality
Our governance model
Sustainability issues are reviewed regularly at all levels of the company. We will continue to strengthen our governance structures and the processes we have established to manage ethical business practices and corporate responsibility, reflecting the significant change in our mode of operation implemented in the company during 2023. Our 2024 governance model is shown below. Read more about our governance model here
Materiality
Nokia conducted the double materiality assessment in accordance with the Corporate Sustainability Reporting Directive and the European Sustainability Reporting Standards. The materiality assessment helped determine the material sustainability topics, and the related disclosures and information included in the Sustainability Statement. Based on Nokia’s double materiality assessment Climate Change, Resource Use and Circular Economy, and Social and Governance topics were identified as material. Further detailed information can be found in the Sustainability Statement.
Climate, ethical business practices, and how Nokia’s products can enable change in other industries, cities and society continue to be among the most material topics. The most significant growth in importance can be seen in privacy and security, responsible sourcing and circularity.
In Q4 2023 we completed our double materiality assessment in preparation for the EU Corporate Sustainability Reporting Directive (CSRD) requirements and related standards. The results of that exercise provided the basis for our sustainability efforts in 2024.
Sustainability reporting
For the first time our 2024 Sustainability Statement is included in the Annual Report. This statement includes data and related impact narrative that cover all material aspects of Nokia's sustainability journey across environmental, social and governance in 2024. It is building upon Nokia’s long-standing sustainability report, People & Planet, as well as on its renewed assessment of sustainability matters conducted through impact analysis and stakeholder engagement. It is based on the renewed assessment and stakeholder engagement through the Double Materiality Assessment. This Sustainability Statement is prepared for the first time in accordance with the provisions of the newly applicable EU Corporate Sustainability Reporting Directive and with the requirements of the European Sustainability Reporting Standards. The Statement reflects Nokia’s sustainability performance, impacts, risks and opportunities across environmental, social and governance dimensions. It is building upon Nokia’s long-standing sustainability report, People & Planet, as well as on its renewed assessment of sustainability matters conducted through impact analysis and stakeholder engagement. We have published annual corporate responsibility reports since 1999 and the reports are available in digital format from as far back as 2003 at our report archive.
Our priorities and targets
We set short-, medium- and long-term sustainability targets and report progress on all of them annually in our sustainability report.
Ratings and recognitions
We take part in a number of ESG-focused ratings, indices and benchmarks. While all such initiatives have a slightly different focus, generally they are used by stakeholders such as customers, investors and civil society to assess a company’s performance in a broad range of sustainability related topics.
In March 2025 we were once again named by Ethisphere as one of the World’s Most Ethical Companies®. Nokia is one of two companies in the telecommunications sector and the only Finnish company to be recognized in 2025.
Nokia has been recognized as the overall leader in ABI Research’s competitive ranking for Telco Scope 3 Emissions Management. Nokia was awarded with the highest scores in both the implementation and innovation categories. This ranking assesses top telecom vendors based on their efforts, progress and long-term commitment in reducing Scope 3 emissions, the largest contributor to their carbon footprint.
In January 2025 Corporate Knights ranked Nokia as one of the top 100 sustainable companies in the world. Nokia was ranked number 1 among 55 companies in the communications equipment industry, number 1 among 122 companies in its peer group (telephones and telecom equipment manufacturing), number 7 among 1033 companies in the information technology sector and number 44 among the top 100 sustainable companies in the world.
In November 2024 Nokia was assessed by Sustainalytics to be at low risk of experiencing material financial impacts from ESG factors. In January 2024 Nokia was included in Sustainalytics’ 2024 Top-Rated ESG Companies List.
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In August 2024, we received a rating of AAA (on a scale of AAA-CCC) in the MSCI ESG Ratings assessment.
In July 2024, FTSE Russell (the trading name of FTSE International Limited and Frank Russell Company) again confirmed that Nokia has been independently assessed according to the FTSE4Good criteria, and has satisfied the requirements to become a constituent of the FTSE4Good Index Series.
In May 2024 we were again awarded a Platinum EcoVadis Medal. This places our company among the top 1 percent of companies assessed by EcoVadis, with especially high scores for environment and sustainable procurement.
In February 2024 we were ranked as A- and Leadership status by CDP for our work on and disclosure of climate change data. In March 2024, we received a score of A from CDP Supplier Engagement Rating (SER). It evaluates companies’ work with suppliers to reduce emissions and lower environmental risks in the supply chain.
In February 2024, Nokia was rated ‘Prime’ with rank B by ISS ESG Corporate Rating.
In March 2023 we were recognized as the leading European hardware company in the World Benchmarking Alliance’s Digital Inclusion Benchmark, where we were placed 24th out of the 200 companies assessed. The benchmark measures how the world’s most influential technology companies are helping to advance a more inclusive digital society.
In March 2023 we were certified as a ‘Nasdaq ESG Transparency Partner’ for our engagement in market transparency and in raising environmental standards.
Other awards and recognitions
In 2024 we received the e& Sustainability Award in their annual Partner Recognition Event, and were also recognized by TIME magazine as one of the top 500 sustainable companies in the world.
In addition to customer recognitions, we have won several prestigious awards (iF Design Awards and Red Dot Design Award) for our sustainable packaging design, demonstrating peer recognition.
We are a member of RE100, which gives us a framework to report our renewable energy related activities transparently. Nokia was selected as the winner of the Best Newcomer category in the 2022 RE100 Leadership Awards.
RE100 Leadership Awards 2022
Engaging with stakeholders
We work with a range of stakeholders and look for where we can increase collaboration and respond to requirements in building sustainable solutions. Collaboration is key to moving the needle on many sustainability topics – from protecting the environment to bridging the digital divide and improving security.
Supporting our customers’ sustainability goals
We work with our customers, both communication service providers and enterprises, on sustainability topics ranging from energy and materials efficiency to supply chain transparency, human rights and community involvement. We have ESG Customer Advisory Councils covering Asia and India, and the Middle East and Africa regions, complementing the existing council for Europe. We also engage with the broader ecosystem, for example on climate issues.
The following table summarizes how we engage with key stakeholders.
Our approach
Nokia interacts and engages with its customers on a frequent basis through various mechanisms and multiple channels to address issues and concerns, present proposals, identify solutions, and evaluate, mitigate or remedy impacts. Cooperation mechanisms are set up to enable Nokia to tackle environmental and social challenges together with its customers, and to look at ways in which technology can enable positive changes.
Key topics raised in 2024
GHG emissions reduction, energy and materials efficiency, climate actions, circular products and services, recycled materials, value chain, responsible operations, inclusion and diversity, human rights, nature.
Our approach
Nokia deploys a variety of means to engage with its workers, both through statutory mechanisms as well as voluntary initiatives that enable and stimulate workers to be informed and consulted, and to react to management decisions, plans, ideas, strategies and approaches, on a frequent basis and without fear of retaliation.
Key topics raised in 2024
New people vision, Nokia essentials, wellbeing, health and safety, future ways of working and flexibility policies, inclusion and diversity, leadership development, technical career development, ethical business practices.
Our approach
We have regular discussions with our shareholders and the investor community on ESG topics including our approach, policies, targets, customer and technology opportunities
Key topics raised in 2024
Climate targets and actions, governance and energy efficiency of our products, responsible sourcing, labor and human rights, ESG reporting, diversity and inclusion and social impact.
Our approach
We work with suppliers to drive transparency, sustainability and good ethical and business practices in our long and often complex supply chain.
Key topics raised in 2024
Inclusion and diversity, modern slavery, ethical recruitment practices, responsible minerals sourcing, climate change, circular materials and health and safety.
Our approach
Nokia contributes its experience and expertise by engaging and leading in discussions with organizations developing best practices for the industry and advising policymakers across the regions where Nokia operates. These included contributing experience and support to multiple streams of the ITUs Green Digital Action program and the first ever Digital Day at COP29 climate conference in Baku, Azerbaijan. We contributed expertise to standardization work for the industry including understanding the measurement of the environmental impact of AI. We also work with the mobile industry’s association on both environmental and social issues in our industry, covering topics such as energy efficiency, health and safety and digital inclusion.
Key topics raised in 2024
Measurement methodology standards for 5G radio and circularity-related standards for telecommunications products and networks in ETSI and ITU-T. Responsible use of Artificial Intelligence standards in ISO, CEN/CENELEC, and various national committees. Energy saving features in 3GPP.
Our approach
We collaborate with leading academic institutions on projects that are innovative and have a high impact on our Environmental, Social and Governance (ESG) strategy while also enabling us to strengthen our relationship with top universities in Europe, North America and Asia as we work to solve ESG challenges together.
Key topics raised in 2024
6G, Artificial Intelligence/ Machine Learning, industrial IoT, quantum technologies, optics, photonics and cybersecurity.
We are also leading the European lighthouse project on 6G sustainability SUSTAIN 6G
Our approach
We engage through relevant NGOs, non-profit or community organizations (e.g. UN Women and UNICEF). We work with NGOs to support programs which have a long-term impact and create a sustainable future platform in the target communities. Nokia’s committee members participate in key social and human rights organizations (e.g. Europe and Asia steering committee for Business for Societal Impact and board membership of Global Network Initiative (GNI)) Nokia engages with cities and communities to drive digitalization and smart sustainable development.
Regulatory authorities and standard-setting organizations
We contribute to policy debates fostering a connected society and the adoption of new technologies around the world.
Key topics raised in 2024
Digital skills building, empowering diverse groups providing the potential for equal access to opportunity, education, healthcare and the job market. Environmental protection and biodiversity.
Our approach
We work with cities and communities to drive digitalization and smart sustainable development.
Our approach
We contribute to policy debates fostering a connected society and the adoption of new technologies around the world. Nokia is active in the European Global Gateway Initiative and also promotes transregional cooperation on technology, and our leadership actively support the EU–US Trade and Technology Council, the EU–India Trade and Technology Council and the collaboration between the EU and Latin America.
Key topics raised in 2024
Digital and broadband policies, regulation of emerging technologies (AI), sustainability topics, including supply chain due diligence and human rights policies that encourage innovation, broadband rollout and adoption and the digital transformation of society and industry (including spectrum for broadband); policies for trusted and reliable international connectivity, for the security of digital infrastructures, (including6G roadmaps),
Read how Nokia and UNESCO’s new framework helps governments to use technology to make people’s lives better
Nokia and the United Nations Sustainable Development Goals
The United Nations Sustainable Development Goals (SDGs) and their targets remain a key framework for our sustainability work and for many of our customers and partners. Goals 8, 9 and 13 are the most relevant to our business, but we believe that digitalization and enhanced connectivity will continue to play an important role in accelerating and achieving all 17 SDGs.
Climate change remains the most significant sustainability challenge for our business and for the planet. Through the technology we provide, we help customers, other industries, economies and individuals decarbonize through the digitalization of industrial processes and society, so they become more predictive and productive, with reduced emissions.
To minimize our own footprint, we focus on both climate and circularity, where we aim for leadership in the energy efficiency of our products and circular practices. In early 2024, we again received a score of A- from CDP for our work and disclosures on carbon emissions.
8. Promote inclusive and sustainable economic growth, employment and decent work.
We connect the unconnected through a broad product portfolio that enables greater digital inclusion across countries globally. We deliver broadband to urban and rural communities through fixed and wireless networks and to businesses and educational institutions through private wireless and campus networks.
9. Build resilient infrastructure, promote sustainable industrialization and foster innovation.
Nokia products and solutions bring improved efficiencies, productivity and digitalization to industries, providing platforms for innovation and decarbonization.
13. Take urgent action to combat climate change and its impacts.
We focus on constantly improving the energy and material efficiency of our products across our portfolio. This helps our customers – both communication service providers and enterprises – minimize their environmental footprints.
