Green Growth for Handsets
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1 WHITEPAPER Green Growth for Handsets This whitepaper is an extract from: Green Mobile Handsets & Applications Strategies, Scenarios & Forecasts information you can do business with
2 Whitepaper ~ Green Growth for Handsets Green Growth for Handsets Introduction The pressure on businesses to develop strategies which embrace environmental sustainability has increased dramatically in recent years, driven both by concerns about the long-term availability of fossil fuels and the impact of corporate activities upon the environment. The result has been that governments have developed and implemented a series of directives aimed at obligating corporations to become more energy efficient, using greener energy and thereby reducing CO2 emissions. Given both governmental and consumer pressure, many corporations have thereby sought to be more proactive in their attempts to deliver products and services which do not adversely impact the environment. For its part, the mobile industry is seeking to develop its own environmentally sustainable businesses; with regards to mobile handsets, this involves vendors and operators analysing emissions across the life cycle of handset, from raw material extraction to end-of-life, and putting policies into place which not only reduce the direct emissions from the industry, but which also have the potential to reduce emissions both across other industries and amongst consumers. A Greener Handset Lifecycle While the bulk of power consumption and thus CO2 emissions in the entire mobile lifecycle can be attributed to the network, the handset itself remains a substantial factor in the equation. Indeed, the usage phase where emissions are essentially caused through power consumption in the handset, both in use and from no-load comprise only a relatively small element of total handset lifecycle emissions. Figure 1 shows a typical handset lifecyle, from the production of the raw materials to the end of life. Page 1 Juniper Research
3 Whitepaper ~ Green Growth for Handsets Figure 1: Mobile Handset Lifecyle Process Source: Juniper Research Vendors are becoming increasing proactive in in their attempts to reduce emissions across this process. The following list highlights a number of the key means whereby opportunities exist to address direct or indirect CO2 emissions: Increasing energy efficiency in the handset Increasing energy efficiency of the charger Seeking to utilise solar-power handsets or solar-powered using materials sourced from companies with green credentials; Reducing packaging; and, Encouragingg handset recycling As an additional measure, vendors and operators can encourage consumers to contribute to chargers; Reducing transport emissions; Ensuring that handsets are manufactured sustainability by offering green applications either on the handset or from their storefronts/portals. Three Scenarios Forecasts Juniper Research has developed a series of scenario-based forecasts highlighting both the environmental and economic costs associated with critical areas within the mobile network. These forecasts focus on the following key areas: The proportion and number of green handset shipments; The level of CO2 emissions from handset chargers on no-load; The proportion and number of handsets recycled; and, The number of green applications downloaded by end-userss Page 2 Juniper Research
4 Whitepaper ~ Green Growth for Handsets These forecasts have all been modelled by incremental, progressive and transformational scenarios. Selected assumptions behind the three scenarios are outlined below. Table 1: Selected Forecast Assumptions by Scenario and Forecast Area Incremental Progressive Transformational Green Handset Shipments Low initial demand for green handsets Moderate demand for green handsets, in turn resulting in a more widespread and early introduction of recyclable materials into a greater proportion of mass market handsets Extremely strong end-user demand for green handsets developing in the short and medium term Recycled/Refurbished Handsets Operators and vendors do not exceeding current or announced commitments on handset takeback/recycling. Greater proactivity from operators and vendors above and beyond minimum requirements on takeback mandated by national and international regulation, with greater amount of pan-industry schemes to promote joint takeback schemes amongst leading players; greater degree of consumer response to accompany this heightened activity Widespread deployment of takeback schemes across the industry on a worldwide basis, with operators promoting takeback at point of sale (and in some cases offering consumer incentives for takeback) Source: Juniper Research Scenario Comparison Green Handset Shipments We can see that, perhaps unsurprisingly, as vendors are only now beginning to introduce green handsets, shipment volumes are relatively low in all cases. However, under the transformational scenario, vendors are far more willing to introduce measures such as recycled casings across the majority of mass market handsets, with the result that the volume of green handsets shipped are nearly 4.6 times higher than under the incremental model. Page 3 Juniper Research
5 Whitepaper ~ Green Growth for Handsets Figure 2: Green Handset Shipments (m) By Scenario, 2009 to 2014 Source: Juniper Research Order Full Report This whitepaper is taken from the Green Mobile Handsets & Applications Strategies, Scenarios & Forecasts report which provides an extensive analysis of the opportunities to reduce greenhouse gas emissions amongst mobile handsets and handset users, both directly in terms of handsets & chargers and indirectly through green mobile applications. The report provides unique scenario-based forecasts (incremental, progressive and transformational) projecting green handset shipments, recycled handset volumes, green application downloads and charger no-load emissions, all by scenario and by region, up until Detailed case studies of significant developments across key areas are provided, covering developments including solar powered handsets and chargers, handset take back programmes, eco-applications and bioplastic/recycled handset casings. Furthermore, this report also investigates regional and national legislation which impacts on mobile corporations, as well as considering industry responsess to environmental concerns, including the IPP pilot project, the Sony greenheart program and Nokia's we:recycle initiative. Key questions the report answers: How many green applications will consumers download over the next five years? What factors will determine the success of green handsets? What is the environmental impact from handset charger no-load and chargers? What are the key measures that vendors and operators can take to develop environmentally sustainable businesss energy emissions? What are the prospectss for solar powered handsets practices? Page 4 Juniper Research
6 Whitepaper ~ Green Growth for Handsets To what extent have handset recycling programs been deployed, and how are these likely to be developed in the medium term? For more details on this report visit the website or phone +44 (0) Juniper Research Limited Juniper Research specialises in providing high quality analytical research reports and consultancy services to the telecoms industry. We have particular expertise in the mobile, wireless, broadband and IP-convergence sectors. Juniper is independent, unbiased, and able to draw from experienced senior managers with proven track records. Publication Details Publication date: September 2009 Author: Windsor Holden For more information, please contact: Michele Ince, General Manager michele.ince@juniperresearch.com Juniper Research Ltd, Church Cottage House, Church Square, Basingstoke, Hampshire RG21 7QW UK Tel: +44 (0) / Fax: +44 (0) Further whitepapers can be downloaded at Page 5 Juniper Research
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