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Goals and Progress

Design for Sustainability
Supply Chain (SuCCESS2030)

Goals

  • Reduce equivalent energy consumption for semiconductor products by 30% by 2030
     
  • Reduce chemical consumption for semiconductor products by 30% by 2030
     
  • Reduce tool footprint per production-unit ratio for semiconductor products by 30% by 2030
     

Progress

  • Set energy consumption baseline for semiconductor products (2019 basis) and completed key energy use models
  • Completed first-in-industry chemical impact analysis and began leveraging results to improve tool and process design
  • Achieved 10%+ reduction in square foot per wafer pass on selected new and existing semiconductor product platforms

Goals*

  • Transition the supply chain to recyclable packaging, with a target of 80% recyclability by end of 2023
     
  • Eliminate 100% of phosphate-based pre-treatment of metal surfaces by 2024
     
  • Increase the percentage of spend with, and representation of, women- and minority-owned businesses, by 2024
  • Comply with Responsible Business Alliance Code of Conduct and Applied Materials' Standards of Business Conduct
     

* SuCCESS2030 goal regarding shipping was removed due to the unique supply chain challenges faced by the company. Applied will continue to monitor for opportunities to address emission reductions in freight in the future.

Progress

  • In 2021, we achieved approximately 75% recyclable content for targeted plastics and corrugated fiberboard packaging materials
  • Pilot trials exploring a process of pretreating metal surfaces for rust protection using zinc oxide were successfully completed in 2021
  • Met our goal of increasing diverse supplier spend by at least 2% year on year, through new and newly onboarded diverse suppliers
  • Required 33% of our high-risk direct suppliers to undergo an RBA external audit in 2021 (intend to grow to 50% of high-risk direct suppliers and 10% of high-risk indirect suppliers in 2022)

 

 

Design for Sustainability

Applied focuses on innovating longer-lasting systems that consume fewer resources and are more easily reusable or recyclable. Our comprehensive, industry-leading effort encompasses a Design for Sustainability Center of Excellence, a proprietary modeling tool and strategic customer partnerships, as we aim to reduce high energy and chemical impacts in the semiconductor manufacturing industry through our 3x30 goals.

 

DESIGN FOR SUSTAINABILITY CENTER OF EXCELLENCE

Our Design for Sustainability Center of Excellence analyzes both in-design and existing semiconductor product sets to identify new reduction opportunities for energy, water, waste and chemicals.

PROPRIETARY MODELING TOOL

Using a proprietary modeling tool, Applied is able to quantify the energy, chemical and footprint impacts of past, present and future tool designs, which enables us to develop power and emissions reductions strategies during the design phase.

CUSTOMER PARTNERSHIPS

Working in collaboration with our customers, we’re continuously improving the efficiency of our existing hardware and software to make their manufacturing operations cleaner and more sustainable.

Read our 2021 Sustainability Report for more details.

 

 

Supply Chain Responsibility

Applied creates complex products containing thousands of parts sourced from across a broad supply chain. We are committed to working with suppliers who share our principles regarding ethical business practices and human rights.

We drive this commitment through a 10-year roadmap we call Supply Chain Certification for Environmental and Social Sustainability, or SuCCESS2030. We require our vendors and suppliers to comply with both our own Standards and the Responsible Business Alliance (RBA) Code of Conduct.

Customer Case Study: Transpak 
CA Transparency in Supply Chains Act 
Applied Materials Responsible Minerals Sourcing Policy 
Conflict Minerals Report 
Declarable Substances List 

 

 

SuCCESS2030 - Supply Chain Certification for Environmental and Social Sustainability

SuCCESS2030 strengthens our Environmental, Social and Governance (ESG) supply chain strategy, building on our foundation of supporting ethical labor practices, environmentally responsible operations, responsible minerals sourcing and other programs promoting adherence to industry standards and international human rights standards.

Learn More

 

Supplier Assessments/Monitoring

Applied Materials employs a metrics-based approach to assessing supply chain ESG risks and reflects these assessments in our supplier scorecards. Through our holistic SuCCESS2030 initiative, we work closely with our suppliers to ensure they have the resources and tools needed to close compliance gaps and thrive.

 

 

 

Responsible Minerals Sourcing

Applied Materials is committed to the responsible sourcing of materials used in our products. Our Responsible Minerals Sourcing Policy guides our direct suppliers' sourcing of tin, tantalum, tungsten or gold (3TG) minerals. To ensure the efficacy of our policy, we utilize the Responsible Minerals Initiative (RMI) Responsible Minerals Assurance Process as well as independent third-party audits.

Conflict Minerals Report
Applied Materials Responsible Minerals Sourcing Policy