Top 10: Sustainable Smartphone Manufacturers

As the smartphone industry evolves, it faces a series of increasingly complex and interconnected sustainability challenges. The global “Right to Repair” movement is gaining momentum in both the US and Europe, compelling manufacturers to reassess product design.

A growing emphasis on durability, modularity and access to spare parts is reshaping traditional business models that have long depended on rapid device replacement cycles.

At the same time, sourcing critical battery materials—such as cobalt and lithium—ethically remains a pressing concern. Greater transparency in the supply chain and investment in alternative chemistries are now essential to address the environmental and social impact of mineral extraction.

The most profound challenge lies at the intersection of AI  and climate goals. Companies leading the way in sustainability are also spearheading advances in AI. While AI is often used to support climate initiatives—such as optimising energy use or modelling emissions—its infrastructure requires vast energy and water resources.

The process creates a paradox: the very tools intended to combat climate change risk undermining overall progress due to its environmental impact. Companies will need to disclose and account for this cost to demonstrate that AI delivers more benefits than harm.

To move forward, all stakeholders must act: consumers can favour brands that embrace circularity and transparency, investors must dig into ESG data to assess real risk, and policymakers have a pivotal role in enforcing standards and creating markets where sustainability is a competitive imperative.

This week, Telco Magazine explores the top 10 sustainable smartphone manufacturers.

10 | Hon Hai Precision Industry (Foxconn)

Founded: 1974

Annual Revenue: US$213.6bn

Chief Executive Officer: Young Liu

Number of Employees: +1m

Hon Hai Precision Industry, widely known as Foxconn, remains a cornerstone of the global electronics supply chain. As a key manufacturing partner to brands like Apple, Google and Sony, Foxconn’s sustainability performance carries far-reaching implications. 

In 2024, it achieved a significant milestone by securing validation of its net zero emissions targets from the SBTi. It conducted extensive audits through the Responsible Business Alliance (RBA), reflecting ongoing efforts to address labour, emissions and waste challenges across its global operations.

9 | Xiaomi

Founded: 2010

Annual Revenue: US$50.8bn

Chief Executive Officer: Lei Jun

Number of Employees: 43,688

Xiaomi, the world’s third-largest smartphone manufacturer, is making notable progress on its environmental journey. It has introduced a robust circular economy strategy, aiming to recycle 38,000 tonnes of e-waste by 2026, with nearly 90% of the target achieved by the end of 2024. 

It is setting greenhouse gas reduction targets for its supply chain partners, including a goal of 100% renewable electricity use by 2050. While Xiaomi’s ESG reporting is still maturing, its “Medium” ESG Risk Rating from Sustainalytics reflects steady momentum in the right direction.

8 | ZTE

Founded: 1985

Annual Revenue: US$17bn

Chief Executive Officer: Xu Ziyang

Number of Employees: 68,375

ZTE, a leading Chinese ICT firm, is emerging as a sustainability frontrunner, despite a smaller consumer market share than its peers. In 2024, it became the first major Chinese technology company to receive validation from the SBTi for both its near-term and long-term net-zero targets. 

It secured a place on CDP’s prestigious A List for climate action. ZTE achieved a 13.4% year-on-year reduction in Scope 1 and 2 emissions, marking a significant milestone in operational decarbonisation.

7 | Sony

Founded: 1946

Annual Revenue: US$91.1bn

Chief Executive Officer: Kenichiro Yoshida

Number of Employees: 113,000

Sony, the Japanese electronics giant, has built its sustainability strategy on the long-term “Road to Zero” plan, launched in 2010. In 2024, it achieved a key milestone by meeting its 2025 target of sourcing 35% renewable electricity two years ahead of schedule. 

It has brought forward its net-zero emissions goal to 2040, now validated by the SBTi. While Sony shows strong environmental credentials overall, progress within its smartphone division is steady rather than industry-leading.

6 | LG Electronics

Founded: 1958

Annual Revenue:  US$64.1bn

Chief Executive Officer: Joo-wan Cho

Number of Employees: 35,727

LG Electronics demonstrates impressive execution, having already surpassed its 2030 goal for waste recycling at production sites with a 97.4% rate in 2024. It has a robust e-waste collection programme, cumulatively recovering more than five million tons of electronics since 2006 and significantly increased its use of recycled plastics.

As the first South Korean home appliance maker with SBTi-validated targets, its commitment to reducing Scope 1, 2 and 3 emissions is clear. LG Electronics’ strong performance and consistent inclusion in the Dow Jones Sustainability World Index solidify its position as a reliable leader.

5 | Samsung Electronics

Founded: 1969

Annual Revenue: US$220.6bn

Chief Executive Officer: Young-Hyun Jun

Number of Employees: 129,480

Samsung, one of the world’s leading electronics companies, is making progress toward its climate goals at scale. Its Device eXperience (DX) Division, which includes its smartphone business, achieved a 93.4% renewable energy use rate by the end of 2024 and is integrating recycled materials into 31% of plastic parts. 

Samsung aims for 100% recycled plastic use by 2050. However, its semiconductor-focused Device Solutions (DS) Division faces greater decarbonisation hurdles, with a longer 2050 net-zero timeline. 

4 | Lenovo (Motorola)

Founded: 1984

Annual Revenue: US$65.9bn

Chief Executive Officer: Yang Yuanqing

Number of Employees: 69,500

Lenovo has emerged as a sustainability frontrunner, driven by top-tier third-party ratings and a science-based net zero target validated by the SBTi. It has received a Platinum medal from EcoVadis and an AAA ESG rating from MSCI, reflecting strong governance and environmental performance.

Its circular economy strategy is equally robust, with a target for all PC products to contain post-consumer recycled content by 2026, as well as comprehensive repair and end-of-life services. Its integrated approach places Lenovo among the sector’s most progressive sustainability leaders.

3 | Alphabet (Google)

Founded: 2015 (Alphabet), 1998 (Google)

Annual Revenue: US$359.3bn

Chief Executive Officer: Sundar Pichai

Number of Employees: 183,323

Alphabet has positioned itself as a sustainability leader through bold climate targets and advanced technological integration. It aims to reach net zero emissions across its full value chain by 2030; one of the most ambitious commitments in the sector. 

A pioneer in renewable energy procurement, Alphabet has matched 100% of its electricity use with renewables since 2017 and now targets 24/7 carbon-free energy. Its Pixel 8 smartphone features 100% plastic-free packaging and its AI-driven tools are driving measurable emissions reductions at scale.

2 | Microsoft

Founded: 1975

Annual Revenue: US$261.8bn

Chief Executive Officer: Satya Nadella

Number of Employees: 228,000

Microsoft has set some of the most far-reaching environmental targets in the technology sector, aiming to be carbon negative, water positive and zero waste by 2030. Backing its ambition is the fact that it has become one of the largest corporate investors in carbon removal, having contracted for nearly 22 million metric tons to date. 

Microsoft requires key suppliers to use 100% carbon-free electricity by 2030. Circularity is advancing through its Surface devices, which feature improved packaging and reuse initiatives, underscoring a holistic sustainability strategy with both breadth and operational depth.

1 | Apple

Founded: 1976

Annual Revenue: US$400.3bn

Chief Executive Officer: Tim Cook

Number of Employees: 164,000

Apple leads the sector in sustainability through unmatched integration of environmental goals into product design, manufacturing and strategy. It achieved carbon neutrality across its corporate operations and is on track to make every product carbon neutral by 2030. 

It uses 100% recycled aluminium, gold, tin and rare earths in key iPhone and MacBook components. With more than 320 suppliers in its Clean Energy Program and a 55% reduction in emissions since 2015, Apple exemplifies comprehensive, supply chain-driven climate leadership and materials innovation.