Executive vice president’s message about the Company’s sustainability initiatives

Building a sustainable, well-being
society as an ICT company that elicits
surprise and excitement

The issue of sustainability is directly connected to our future daily lives and related to global environmental concerns and the medium- to long-term state of the world. NTT Communications, as a member of the NTT Group and DOCOMO Group, has set 12 Priority Activities(materiality) in the four Priority Areas of “society,” “the environment,” “human resources,” and “governance,” as stated in the Sustainability Policy, under its mission of “creating communication methods that open up new possibilities for people and our world.” All of our employees have been working in concert to achieve 41 specific KPIs in these areas.

DX and GX are viewed as pillars of Japan’s future economic growth, and NTT Communications is already providing services that utilize low-power IOWN^®, which includes opto-electronic fusion technology, as well as tsuzumi, a small, low-power AI. We are also advancing GX in cutting-edge technologies and will soon launch Green Nexcenter^® to support power-saving liquid-cooled servers for data centers, which are expected to consume an enormous amount of power in the AI era.

Meanwhile, NTT Communications is co-creating a sustainable digital society with its customers, partners, and other stakeholders. Through the OPEN HUB as a co- creation platform, we have developed more than 1,000 new projects in the three years since its establishment, including comprehensive infrastructure management JCLaaS, digital BPO, land-based aquaculture, and Morikati, which generates forest value. In addition to DX solutions such as Smart World and the Smart Data Platform, which are provided using cutting-edge technologies, we have launched a guaranteed bandwidth service for docomo business RINK^®, a network service that can be configured securely and flexibly with zero trust. Moreover, we are collaborating with our stakeholders to establish a sustainable society.

These initiatives can be achieved if every employee consistently demonstrates their capabilities and plays an active individual role in response to the needs of society. NTT Communications values autonomous career development and is enhancing internal and external training programs, as well as developing BoostPark to support individual human resource development through AI. We are also advancing a diverse and inclusive human resources strategy, including women’s empowerment, and establishing a resilient and secure governance system through respect for human rights, creating a corporate culture with sound corporate ethics and dialogue with stakeholders.

In 2024, we revised our KPIs to further strengthen the pathway for a sustainable future society. In the Priority Area of “society,” we included engagement (NPI, NPS) for customers to which we offered digital solutions. For “the environment,” we expanded to Scope 3 for the Net-Zero by 2040 initiative for GHG emissions reduction and will green the electricity used in our data centers. For “human resources,” the percentage of female executives was added to the existing indicator for percentage of newly appointed female managers as part of our diversity, equity, and inclusion efforts. For “governance,” we expanded the scope of dialogue with stakeholders to include NPOs.

By pursuing activities in the four Priority Areas and conducting sustainability management through the PDCA cycle, we will open up new business and growth opportunities while minimizing risks. Since last fiscal year, we have been linking particularly important KPIs, such as GHG emissions and customer engagement rate, to the compensation of all managers to firmly support these activities.

To meet expectations worldwide, NTT Communications will continue to work as an ICT company together with our stakeholders through our business activities toward establishing a sustainable well-being society that elicits surprise and excitement.