Akamai Sustainability Report

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2019AkamaiSustainabilityReport

Table of ContentsMessage from the CEO and the Director of Sustainability . . . . . . . . . . . . . . . . . 02Sustainability Mission . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 03Public Goals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 04Platform Efficiency . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 05Renewable Investment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 06Managing Our Greenhouse Gas Emissions . . . . . . . . . . . . . . . . . . . . . . . . . 08Managing Our E-Waste. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10Expanding Our Reach . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11Supply Chain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11Where We Work, Operate, and Live . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12Where We Work . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12Where We Operate. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13Where We Live . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13Transparency . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15Reporting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15Customer Scope 3 Reporting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15The Future . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15Appendix . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16A1 Accounting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16Scope 1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16Scope 2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16Scope 3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17A2 Method of Calculation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 172019 Akamai Sustainability Report 1

Message from the CEO andthe Director of SustainabilityAt Akamai, we continue to innovate to reducecertification standards as defined by the U.S.the amount of energy consumed by ourGreen Building Council. Sustainable featuresglobal intelligent edge platform, reduce ourinclude a rooftop solar array to help offset ourgreenhouse gas emissions, recycle electronicelectricity impact on the grid and an activewaste responsibly, and have meaningful andchilled beam system for energy efficiencybeneficial impacts on the places where we work,and building comfort.operate, and live.We also continue our work to decommissionRemarkably, the volume of Internet traffic thatelectronic equipment responsibly, includingcan be delivered over the Akamai Intelligentobsolete servers, network hardware, laptops,Edge has more than tripled since 2015, while itsand other electronic devices. Akamai has beenenergy consumption and carbon emissions havean e-Stewards Enterprise since 2012, reducingremained basically flat over the same period. Theour electronic waste by implementing rigorousenergy efficiencies realized by our world-classstandards for our electronics recycling. Byteam of engineers have also delivered millionsprioritizing reuse and then recycling at end ofof dollars in expense savings while making ourlife, we are maximizing the economic value ofcustomers’ digital experiences fast, intelligent,electronic assets while minimizing our waste.and secure — in an environmentally friendly way.Our goal is to process 100% of our electronicwaste through e-Stewards–certified assetHalf of our electricity will soon come frommanagement vendors or associated partners.renewable sources. Over the past year alone,we have invested in net-new, on-grid renewablewind energy projects in Dallas, Texas, andChicago, Illinois. We have made it a priority topartner with third-party data center providersusing the Future of Internet Power (FoIP)Requirements for Supplier-Procured RenewableEnergy to ensure that they understand thebenefits of using renewable energy to powertheir facilities and how doing so can help alltheir customers meet their goals, too.Our new global headquarters, which opened inCambridge, Massachusetts, this year, prioritizedsustainability in the design. The building’s coreand shell were built to achieve LEED Gold v42019 Akamai Sustainability Report 2

We are committed to transparency in our journey,corporate social responsibility at Akamai, weas this report demonstrates. While we are proud ofapproach sustainability not as an isolated agendathe recent accolades that Akamai has received forbut as part of a holistic approach to efficientour sustainability practices, we continue to searchsystems and processes — one that inspiresfor additional ways to expand our initiatives andinnovation and builds a more environmentallypartnerships with like-minded organizations andfriendly world that benefits all of Akamai’scommunities in order to realize positive changestakeholders on the planet.on a global scale. As a major component ofSincerely,Tom LeightonMike MatteraChief Executive OfficerDirector of SustainabilitySustainability MissionAkamai believes it is our responsibility to help create digital experiences that are fast, smart, and secure,all while caring for the larger environment. That is why we’re making sustainable business decisions thatbenefit our customers and our communities, as well as the future of our industry.Akamai’s sustainability commitments focus on reducing our energy intensity across the platform,investing in renewable energy projects around the world, reducing and managing our greenhouse gas(GHG) output, and responsibly managing our e-waste. In addition to our public goals, Akamai is takinga step further to engage our suppliers in sustainable action and encourage our employees, partners,and like-minded companies to take action with us in the areas where we all work, operate, and live.2019 Akamai Sustainability Report 3

Public Goals30%2020Reduction in Energy IntensityGHG Levels Below 2015 Levels50%100%Renewable Power Energyin Leased FootprintElectronic Waste Management TargetPlatform EfficiencyRenewable InvestmentManaging Our EmissionsManaging Our E-Waste2019 Akamai Sustainability Report 4

Platform EfficiencyAkamai has committed to a 30% reduction of our network energyintensity per unit of capacity.The globally distributed Akamai Intelligent Edge Platform is made upof 260,000 servers running in more than 130 countries, in 3,900 locations. Akamai has been working toward an annual reduction ofSince 2015,Akamai’s platform uses61% LESS ENERGYper gigabit of capacity whilestill growing by over 182%our network energy intensity of 30% by 2020.Akamai’s world-class engineers are committed to innovating softwareand developing hardware that is technologically advanced andenergy efficient. Over the past two years, we made strides towardefficiency by expanding the platform to support our customers’ needswhile decreasing the overall energy intensity per bit served. Since2015, we grew our platform capacity by over 182% while onlyincreasing our net power usage by 9%. In addition to our platform2019 marked106 TBPS INPEAK TRAFFIC,while the overallenergy intensity of theplatform decreasedgrowth, we have seen a 61% energy intensity reduction per gigabitof capacity when compared to 2015 levels. As we continue to expandthe network, we believe it is important to remain conscious of ourenvironmental impact by using our energy resources wisely andreducing waste in our operations whenever possible.“It is important that we take our electricity usage seriously. Inaddition to integrating renewable sources into how we power theplatform, our engineering teams are continuously developingmore efficient software and hardware that help increase ourcapacity while using less energy for every bit served for ourcustomers. We are striving to be more environmentally consciousoverall and working hard to reduce waste in how we operate.”Vinay Kanitkar, CTO, Global Carrier Strategy & Akamai Fellow2019 Akamai Sustainability Report 5

2018–2019 Akamai Global Network Capacity to Power and CO2e IntensityBitCap (Gbps)MWh Need (With PUE)Total GHG MB (MT CO2e)Total GHG LB (MT 820Q11920Q21920Q31920Q41920Renewable InvestmentAkamai has committed to sourcing renewable energy for 50% of ourglobal network operations by 2020.While we have been successful in decoupling our business growth fromenergy usage to create a more efficient platform, we will always needto consume energy. A key to Akamai’s sustainability progress is thedecarbonization of the energy we use by investing in education for our50%renewable targetmet in EMEApartners and in projects that add net-new renewables to the global gridswhere we have facilities. We have a simple goal: positively impact the placeswhere we work, operate, and live. Since 2015, we have achieved 32% globalrenewable energy through our approach. This strategy has also accountedfor reducing our carbon footprint by 23%.In 2018 and 2019, we expanded our renewable colocation partnerships acrossthe globe. We have added renewable resources to our portfolio by workingwith our partners who attest on our behalf and pass the renewable energyon to Akamai. We have made significant progress with our global partners,including a large portion of our European operations, where we haveachieved 50% renewable.In 2017, we announced our first on-grid renewable energy investment,a wind farm located in Seymour Hills, Texas. With site operations commencingin May, the output from the project supports 100% of our Dallas metrooperations. This accounts for 10% of our North American electricity load.We believe it is important to develop net-new renewable sources of energyDallas operationspowered by100% RENEWABLEENERGYto create a lasting, meaningful impact and will continue to look for thesetypes of projects in our future planning.2019 Akamai Sustainability Report 6

Since this first investment, Akamai has expanded our renewableenergy portfolio through participation in a buyer consortium ledby Apple, along with Etsy and Swiss Re. With strategic and technicalguidance provided by our partner 3Degrees, the companiescontracted for renewable energy with two projects: a wind farmin Illinois and a solar farm in Virginia. This coordinated purchasingapproach was led by Akamai’s proposal and demonstrates howdiverse buyers can come together for greater impact.“Akamai emerged as an enthusiastic leader in renewable energyprocurement with its global strategy and first Virtual Power PurchaseAgreement in 2017. That VPPA blazed so many trails for others— Akamai proved that they could make a new renewable energyproject possible even with a relatively small load; they includedenergy load sitting inside supplier facilities as part of their initiative;and they immediately followed up that first agreement with twoothers. And all throughout, the Akamai team has been generouswith their time in sharing their learnings and best practices withother companies hoping to follow in their footsteps.”Erin Craig, Vice President, 3DegreesRenewable Energy Buyers AllianceThe Renewable Energy Buyers Alliance (REBA) is a membershipassociation for businesses and organizations seeking to procurerenewable energy across the United States. Composed of largeclean energy buyers, energy providers, and service providers,REBA is working to lead a rapid transition to a cleaner, prosperous,zero-carbon energy future.Akamai and REBA are proud to collaborate and partner towardgroundbreaking projects by aggregating smaller energy buyers —like Akamai, Etsy, and Swiss Re — to create net-new, clean energyadditions to the grid, as well as looking at opportunities for datacenter education and engagement.2019 Akamai Sustainability Report 7

Future of Internet PowerIn 2012, the Future of Internet Power (FoIP) was founded around a missionto increase the use of renewable energy to power data centers throughcollaboration with companies, power providers, developers, utilities, andpolicymakers. FoIP members include Adobe, Akamai, Autodesk, Bank ofAmerica, CA Technologies, eBay, Facebook, Hewlett Packard Enterprise,Salesforce, Symantec, and Workday.Akamai is proud to be a part of FoIP and to be making progress to further scalerenewable energy access and use.“Akamai’s leadership in the FoIP has helped to raise the bar for emissionsaccounting and drive innovative approaches to sourcing renewableenergy and working toward a zero carbon Internet.”Michael Rohwer, Director, Information and Communications Technology, BSR/FoIPManaging Our Greenhouse Gas EmissionsAkamai has committed to – and has achieved – at least a 30% reductionof our GHG intensity relative to network traffic.Since 2015, Akamai has seen an evolution in our hardware and softwareplatforms, where we can now serve more traffic while using less energy.This helps us reduce our overall GHG impact. Akamai monitors our Scope 1,2, and 3 emissions closely. We believe that accurate accounting helps us tobetter determine which steps we can take to reduce our global impact.Since 2015, we haveREDUCED OURSCOPE 2 EMISSIONSBY 40%Currently, we are focused on addressing critical markets to reduce our GHG,especially in the metropolitan areas where we have our highest impact. Inaddition to being more efficient when serving traffic, we are working with ourdata center partners and select renewable energy developers to mitigate ourCO2e output from our operations globally.2019 Akamai Sustainability Report 8

Akamai’s Top 6 Focus Geographies for CO2e Mitigation50.00%49.86%GHG Offset 6%21.20%10.00%0.00%EuropeNorth AmericaOceaniaHong KongJapanAsiaIn addition to strategically reducing greenhouse gas globally, in2017, we embarked on an innovative journey to develop two Akamaiowned and operated data centers in key metros on the east coast ofthe United States to lower our power usage effectiveness (PUE). Bothof these facilities were developed to consume outside air as theirprimary source of cooling (even during the warmest months of theyear), which lowers the overall environmental impact of our NorthAt our Northern Virginiafacility, we continue to seea PUE OF 1.09–1.15over the past 12 monthsof monitoringAmerica operations.Furthermore, by taking advantage of the operational heat tolerancesof the hardware, we can operate our facilities at warmer temperaturesthan you would normally see in a traditional data center. This helpsus lower our overall energy intensity through the development ofinnovative cooling and ventilation systems. This effort has contributedto a more efficient physical footprint while helping to reduce ourgreenhouse gas output.2019 Akamai Sustainability Report 9

Managing Our E-WasteAkamai has committed to processing 100% of our electronic wasteat E-Stewards–certified facilities.Electronic waste poses a growing economic and environmental threat.The world produces close to 50 million tons of e-waste every year asindividuals and companies discard their old phones, servers, computers,network hardware, and so forth. Not only do these items containprecious minerals, resources, and metals that can be reused, but ifwe send these materials to landfill, it creates a significant amount ofAkamai has met ourrecycling goal to use100% E-STEWARDS–CERTIFIED FACILITIEShazardous waste.Akamai remains committed to doing our part to address the worldwide wastecrisis by partnering with E-Stewards–certified facilities to ensure 100% of ourglobal e-waste is recycled or reused whenever possible.In addition to our conscious recycling practices, Akamai takes our securitypractices seriously. We require certification that every piece of recycledhardware containing data meets or exceeds HIPAA, Sarbanes-Oxley,Department of Defense 5220.22-M, and NIST 800-88 data security anddestruction standards.Including the hundreds of thousands of servers located in more than130 countries worldwide, as well as equipment from our offices, we areprocessing over 60,000 pieces of e-waste annually with responsible partners.“Akamai is clearly demonstrating to the world how serious they are inaddressing the growing electronic-waste crisis through their early andfirm commitment to the e-Stewards Enterprise program. For almost10 years, we’ve been working with Akamai to expand their leadershiprole in the industry and find new ways to reuse, remarket, and recycleassets that have reached end-of-use. It is an exciting opportunity toassist a future-focused organization like Akamai in maximizing anasset’s potential through redeployment strategies rather than addingto the global e-waste problem.”Anne McKivergan, Vice President of Compliance and QC, NCS Global Services, LLC2019 Akamai Sustainability Report 10

Expanding Our ReachAkamai is constantly looking for ways to expand the reach of our globalsustainability program. Now more than ever, it is important that we formpartnerships to improve the areas where we work, operate, and live.We recognize that it will take collaboration and innovation to make asignificant environmental impact and we look forward to a future wherewe can make a better world for all.Supply ChainAkamai is committed to partnering with sustainable suppliers tolessen our overall impact.Akamai is working with internal and external teams on how we canbe more responsible with our purchasing. In 2019, Akamai launcheda partnership with one of our network suppliers, Jabil, to reduce theimpact of our operations. At Akamai’s request, and at no additionalcost, Jabil delivered innovative new product packaging concepts for our14 METRIC TONSApproximate amount ofrecycled content per yearJabil will saveservers to replace the old cardboard box and foam layer packaging with100% recycled materials, promoting the use of approximately 14 metrictons of new recycled content per year. The new, slimmer designs alsomean 40% fewer pallets needed for shipping and more products beingaccommodated during transit. This collaboration saved both companiesmoney and lessened the environmental impact of our server production.“Jabil is committed to managing its environmental impactsto positively contribute to addressing the effects of climatechange. We do that through increased operational efficiency,renewable energy strategy, and innovating new ways tointegrate sustainability into the way we work. Partnershipslike the one with Akamai are powerful because they bring theresources of two purpose-driven organizations together torealize great products while supporting global environmentalgoals, and we all reap the rewards.”Eric Austermann, Vice President, Sustainability, Jabil2019 Akamai Sustainability Report 11

Where We Work, Operate, and LiveWhere We WorkIn 2019, Akamai opened our new headquarters at 145 Broadway inCambridge, MA. Along with a focus on sustainability and energy efficiency,the building’s primary purpose was to deliver a comfortable indoorenvironment for tenants and visitors alike. By focusing on energy and waterusage, material selections, and the indoor environmental quality of thebuilding, the project is slated to meet its goal to be LEED for Core and ShellDevelopment version 4 (LEED-CSv4) Gold certified.Some consider

corporate social responsibility at Akamai, we approach sustainability not as an isolated agenda but as part of a holistic approach to efficient systems and processes — one that inspires innovation and builds a more environmentally friendly world that benefits all of Akamai’s stakeholders on the planet Sustainability Mission

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