Akamai Technologies Inc - Climate Change 2020...Akamai believes that market shifts in supply and...

Akamai Technologies Inc - Climate Change 2020

C0. Introduction

C0.1

(C0.1) Give a general description and introduction to your organization.

Akamai secures and delivers digital experiences for the world’s largest companies. Akamai’s intelligent edge platform surrounds everything, from the enterprise to the cloud,so customers and their businesses can be fast, smart, and secure. Top brands globally rely on Akamai to help them realize competitive advantage through agile solutions thatextend the power of their multi-cloud architectures. Akamai keeps decisions, apps, and experiences closer to users than anyone - and attacks and threats far away. Akamai’sportfolio of edge security, web and mobile performance, enterprise access, and video delivery solutions is supported by unmatched customer service, analytics, and 24/7/365monitoring. To learn why the world’s top brands trust Akamai, visit www.akamai.com, blogs.akamai.com, or @Akamai on Twitter.

At Akamai, we believe the Internet represents boundless opportunity; it can bring the world closer together and facilitate greater understanding among people across theglobe. We are proud to be a part of the essential fabric of the Internet, creating a better future for all. We also believe that operating our business with integrity, a smallenvironmental footprint, and respect for human rights is fundamental to unlocking the potential of the Internet and an essential value for our customers and the communities inwhich we operate. Our environmental sustainability initiative is focused on addressing material environmental impacts of our energy consumption, greenhouse gas (GHG)emissions, and electronic waste generation. Environmental stewardship is of growing importance to our customers as well, and our success helps them achieve their supplychain sustainability goals. Looking through the lens of sustainability provides a fresh perspective that stimulates new ways of thinking about our operations, markets, andsupply chain, and inspires innovation.

Akamai is trusted by:19 of the Top 20 U.S. eCommerce RetailersAll of the Top 25 U.S. Banks10 of the Top 10 European Banks10 of the Top 10 U.S. Asset Managers8 of the Top 10 European Asset Managers13 of the Top 14 U.S. OTT Providers23 of the Top 24 Global Videogame Companies

C0.2

(C0.2) State the start and end date of the year for which you are reporting data.

Start date End date Indicate if you are providing emissions data for past reportingyears

Select the number of past reporting years you will be providing emissions datafor

Reportingyear

January 12019

December 312019

No <Not Applicable>

C0.3

(C0.3) Select the countries/areas for which you will be supplying data.AfghanistanAlbaniaAlgeriaAngolaAntarcticaAntigua and BarbudaArgentinaArmeniaArubaAustraliaAustriaAzerbaijanBahamasBahrainBangladeshBarbadosBelarusBelgiumBelizeBermudaBhutanBolivia (Plurinational State of)Bosnia & Herzegovina

•••••••

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http://www.akamai.com/

http://blogs.akamai.com/

BotswanaBrazilBritish Virgin IslandsBrunei DarussalamBulgariaBurundiCambodiaCameroonCanadaCentral African RepublicChadChileChinaChina, Hong Kong Special Administrative RegionChina, Macao Special Administrative RegionChristmas IslandColombiaCongoCosta RicaCôte d'IvoireCroatiaCuraçaoCyprusCzechiaDemocratic People's Republic of KoreaDenmarkDjiboutiDominican RepublicEcuadorEgyptEl SalvadorEquatorial GuineaEritreaEstoniaEthiopiaFalkland Islands (Malvinas)Faroe IslandsFijiFinlandFranceFrench GuianaGabonGambiaGeorgiaGermanyGhanaGibraltarGreeceGrenadaGuadeloupeGuamGuatemalaGuernseyGuineaGuyanaHaitiHondurasHungaryIcelandIndiaIndonesiaIran (Islamic Republic of)IraqIrelandIsle of ManIsraelItalyJamaicaJapanJerseyJordanKazakhstanKenyaKuwaitKyrgyzstanLao People's Democratic RepublicLatviaLebanonLiberiaLibyaLiechtenstein

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LithuaniaLuxembourgMadagascarMalawiMalaysiaMaldivesMaltaMarshall IslandsMartiniqueMauritiusMexicoMonacoMongoliaMontenegroMontserratMoroccoMozambiqueNamibiaNepalNetherlandsNew CaledoniaNew ZealandNicaraguaNigerNigeriaNorth MacedoniaNorwayOmanPakistanPanamaPapua New GuineaParaguayPeruPhilippinesPolandPortugalPuerto RicoQatarRepublic of MoldovaRéunionRomaniaRussian FederationRwandaSaint LuciaSaint Martin (French part)Saudi ArabiaSenegalSerbiaSeychellesSierra LeoneSingaporeSint Maarten (Dutch part)SlovakiaSloveniaSolomon IslandsSomaliaSouth AfricaSouth Georgia and the South Sandwich IslandsSpainSri LankaSudanSwedenSwitzerlandSyrian Arab RepublicTaiwan, Greater ChinaTajikistanThailandTogoTrinidad and TobagoTunisiaTurkeyTurks and Caicos IslandsUgandaUkraineUnited Arab EmiratesUnited Kingdom of Great Britain and Northern IrelandUnited Republic of TanzaniaUnited States of AmericaUnited States Virgin IslandsUruguayUzbekistan

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Venezuela (Bolivarian Republic of)Viet NamYemenZambiaZimbabwe

C0.4

(C0.4) Select the currency used for all financial information disclosed throughout your response.USD

C0.5

(C0.5) Select the option that describes the reporting boundary for which climate-related impacts on your business are being reported. Note that this option shouldalign with your chosen approach for consolidating your GHG inventory.Operational control

C1. Governance

C1.1

(C1.1) Is there board-level oversight of climate-related issues within your organization?Yes

C1.1a

(C1.1a) Identify the position(s) (do not include any names) of the individual(s) on the board with responsibility for climate-related issues.

Position ofindividual(s)

Please explain

Board-levelcommittee

Out of the nine members on the board, there are five that sit on Akamai’s Nominating and Corporate Governance Committee. Members of this committee provide oversight of the company’sEnvironmental, Social and Governance (ESG) matters including but not limited to the charitable activities of the Akamai Foundation, company-wide corporate sustainability initiatives, and diversityand inclusion initiatives. The Nominating and Corporate Governance Committee has oversight of climate change because it is one of the ESG matters of relevance to the company. The Committeeheld six meetings in 2019, each meeting including topics on our top ESG and corporate social responsibility (CSR) matters.

ChiefExecutiveOfficer(CEO)

The board members of the Nominating and Corporate Governance Committee hold the CEO accountable for overall risk management in regards to environmental social governance (ESG) matters.The CEO is held accountable for ensuring that the company upholds good corporate governance and adheres to ethical behavior. The committee has a defined charter and will look to the CEO toadhere to and maintain relevant ESG standards and high ethical standards to act in the best interest of Akamai's stakeholders.

C1.1b

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(C1.1b) Provide further details on the board’s oversight of climate-related issues.

Frequencywithwhichclimate-relatedissues areascheduledagendaitem

Governancemechanismsinto whichclimate-relatedissues areintegrated

Scope ofboard-leveloversight

Please explain

Scheduled– somemeetings

Reviewingand guidingstrategyReviewingand guidingmajor plansof actionReviewingand guidingbusinessplansMonitoringandoverseeingprogressagainst goalsand targetsforaddressingclimate-relatedissues

<NotApplicable>

Akamai has Board-level oversight through the Nominating and Corporate Governance Committee for integrated environmental risk assessment, which considers any climate-related risks. When significant risks and mitigation strategies are identified by the Nominating and Corporate Governance Committee, the risks are brought to the full Board'sattention for discussion and broader action. 2019 was focused on monitoring progress towards Akamai’s 2020 goals. The Board continued to become more active in this topicthrough open discussions focusing on progress against our 2020 goals and reviewing future planning that more deeply mitigates our larger environmental impact. Our 2020goals include: sourcing renewable energy to power 50% of our global operations, make our network 30% more efficient to therefore decrease our emissions by 30% year overyear from 2015. We also recycle 100% of our e-waste. We are on track to meet these goals in their entirety by the end of the year. The Nominating and CorporateGovernance Committee has direct input into the future planning for our company-wide sustainability strategy and direct input into the development of our 2030 goals to ensurewe are adhering to industry best practices.

C1.2

(C1.2) Provide the highest management-level position(s) or committee(s) with responsibility for climate-related issues.

Name of the position(s) and/or committee(s) Reportingline

Responsibility Coverage ofresponsibility

Frequency of reporting to the board onclimate-related issues

Chief Executive Officer (CEO) <NotApplicable>

Assessing climate-related risks and opportunities <Not Applicable> Quarterly

Other C-Suite Officer, please specify (Executive VicePresident of Platform)

<NotApplicable>

Assessing climate-related risks and opportunities <Not Applicable> More frequently than quarterly

Other C-Suite Officer, please specify (Senior VicePresident of Networks)

<NotApplicable>


Other C-Suite Officer, please specify (Chief HumanResources Officer)

<NotApplicable>


Other C-Suite Officer, please specify (Chief MarketingOfficer)

<NotApplicable>

Other, please specify (Assessing climate related risks and brandreputation)

<Not Applicable> Quarterly

Other C-Suite Officer, please specify (Chief LegalCounsel)

<NotApplicable>

Other, please specify (Assessing climate related risks, brand reputation,and stakeholder priorities )

<Not Applicable> More frequently than quarterly

Other C-Suite Officer, please specify (ChiefTechnology Officer and Fellow)

<NotApplicable>

Both assessing and managing climate-related risks and opportunities <Not Applicable> More frequently than quarterly

Environment/ Sustainability manager <NotApplicable>

Both assessing and managing climate-related risks and opportunities <Not Applicable> More frequently than quarterly

Sustainability committee <NotApplicable>

Other, please specify (Focused on all corporate social responsibilityinitiatives)

<Not Applicable> Quarterly

C1.2a

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(C1.2a) Describe where in the organizational structure this/these position(s) and/or committees lie, what their associated responsibilities are, and how climate-related issues are monitored (do not include the names of individuals).

Climate change strategy and risk management are well integrated into Akamai's corporate structure. Sustainability starts at the top, with our CEO being accountable foroverall risk management in regards to environmental social governance (ESG) matters. The CEO is informed by the operating committee (OC) whose corporate socialresponsibility (CSR) function is called the Sustainability Committee and consists of the following roles; Executive VP of Platform, Senior Vice President of Networks, ChiefHuman Resources Officer, Chief Marketing Officer, Chief Legal Counsel, and the Chief Technology Officer/ Akamai Fellow. The Sustainability Committee overlooks thecompany's risks and opportunities as it related to environmental social governance (ESG) matters and informs the other members of the OC and the CEO on a quarterlybasis or as needed. The Sustainability Committee itself is informed by the Global Director of Corporate Sustainability, who reports into the Chief Technology Officer/ AkamaiFellow. It is the responsibility of the Global Director of Corporate Sustainability to measure and manage Akamai's environmental impact, as well as engage the keystakeholders (Sustainability Committee or other) on Akamai's environmental goals and strategies. This responsibility includes monitoring climate-related issues such asincreased costs due to regulatory changes, risks to infrastructure due to increased floods and storms, risks to our supply chain where disruption to our operations could occur,and expectations of our customers and investors around environmental action. The Global Director of Corporate Sustainability has two executive counterparts, the ExecutiveDirector of the Akamai Foundation and the Vice President of Human Resources, who manages our diversity and inclusion efforts; two key areas for our ESG matters. Theseroles also sit on the Sustainability Committee.

If/when a risk is identified, the Global Director of Corporate Sustainability brings it to the attention of the Sustainability Committee who then reviews and assesses the risk withthe enterprise risk management team if required. If a risk is identified as urgent, either action is taken and the OC brings the issue to the CEO and Nominating and CorporateGovernance Committee to then bring to the full board.

C1.3

(C1.3) Do you provide incentives for the management of climate-related issues, including the attainment of targets?

Provide incentives forthe management ofclimate-related issues

Comment

Row1

Yes Yes, Akamai provides incentives for the successful management of ESG related issues. Akamai seeks to align executive compensation with performance across a variety of areaswhich includes ESG matters by utilizing performance-based vesting restricted stock units, or PRSUs, that require the achievement of rigorous financial targets in order to vest andgranting restricted stock units that require us to meet relative total shareholder return, or TSR, targets in order to vest.

C1.3a

(C1.3a) Provide further details on the incentives provided for the management of climate-related issues (do not include the names of individuals).

Entitled to incentive Type ofincentive

Activityinventivized

Comment

Executive officer Monetaryreward

Efficiencyproject

The executive responsible for Akamai's global network platform has a management by objective (MBO) to reduce cost of goods sold per unit of traffic fornetwork operations that includes energy efficiency savings. Financial compensation is tied to achieving MBO's.

Business unit manager Monetaryreward

Efficiencyproject

The business unit manager responsible for Akamai's office operations has a management by objective (MBO) to reduce operational costs, including ourenergy costs. Financial compensation is tied to achieving MBO's.

Environment/Sustainabilitymanager

Monetaryreward

Emissionsreduction projectEmissionsreduction targetEnergyreduction projectEnergyreduction target

The Global Director of Sustainability has a management by objective (MBO) to achieve a renewable energy target to cover 50% of global networkoperations using renewable energy and reduce absolute GHG emissions below 2015 levels by 2020. Financial compensation is tied to making progresstowards and achieving MBO's.

All employees Non-monetaryreward

Emissionsreduction projectSupply chainengagementOther (pleasespecify) (Anytopic(sustainability orother) thatemployees feelcould beimproved upon)

Employees that are SVP level and below are encouraged to participate in a program called Akamai Wizards. It's an annual program where employees arewelcomed to submit ideas on how to better improve Akamai; our products, customer experience, and even how the company is run. In this program, there isan option to submit ideas around sustainability improvements, with winners of the competition, which is decided by a select group of internal judges, beingrecognized at a company-wide All Hands. Depending on the idea, a monetary reward could be included in the recognition Additionally, we have a toolcalled Akalades, where employees can recognize others for hard work and dedication to certain projects. We offer a sustainability/platform efficiencycategory option, to recognize employees who have gone above and beyond in moving our sustainability program forward.

C2. Risks and opportunities

C2.1

(C2.1) Does your organization have a process for identifying, assessing, and responding to climate-related risks and opportunities?Yes

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C2.1a

(C2.1a) How does your organization define short-, medium- and long-term time horizons?

From(years)

To(years)

Comment

Short-term

1 3 This time horizon is aligned with other business practice time horizons. It reflects the time horizon for quickly changing factors, those that have a higher likelihood of changing, and thatpresent climate-change risks/opportunities (regulatory, customer/investor expectations). It is within the range of our operational contract terms for network and office operations, whichare both fully outsourced. It is also within the range of our product development and innovation planning cycles.

Medium-term

3 8 This time horizon is aligned with other business practice time horizons. It reflects the time horizon for factors that present climate-change risks and opportunities that are evolving slower,or if the evolution is less certain, like risks to infrastructure. Our definition of medium term also includes the time it may take to develop and implement response/innovation strategies.This time horizon is within the range of our operational contract terms for network and office operations, which are both fully outsourced. It is also within the range of our long-termstrategy development and planning cycles for infrastructure and product innovation.

Long-term

8 15 This time horizon is aligned with other business practice time horizons. The time horizon reflects the time horizon for factors that present climate-change risks and opportunities that areevolving slowly, or in instances where the evolution is uncertain. These should be monitored for a need to develop a response or innovation strategy.

C2.1b

(C2.1b) How does your organization define substantive financial or strategic impact on your business?

Akamai defines substantive financial impact as greater than 5% of a business unit’s annual operating budget or forecasted fiscal year revenues. In addition to monitoring theimpact at a BU/product level, the Board and its committees monitor risk through both formal and informal mechanisms. They review business, regulatory, operational, ESG,cyber security and other risks that are incorporated in operating and strategic presentations that members of management and our advisors make to the Board. In addition,the Board regularly reviews information regarding our liquidity and operations, as well as the risks associated with each.

Financial reporting risks are typically addressed by the Audit Committee through internal audits, committee agenda items, ethics and whistleblower updates and otherdiscussions. As an example, the Audit Committee has overseen and reviewed analyses prepared by our internal audit function designed to assess the likelihood thatenumerated risks would occur, the harm such risks would create if they occurred and current sufficiency of controls to address such risks. These risk analyses are alsoinclusive of Environmental Social Governance (ESG) topics as well, as ESG issues also can have a financial risk.

C2.2

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(C2.2) Describe your process(es) for identifying, assessing and responding to climate-related risks and opportunities.

Value chain stage(s) coveredDirect operationsDownstream

Risk management processIntegrated into multi-disciplinary company-wide risk management process

Frequency of assessmentMore than once a year

Time horizon(s) coveredShort-termMedium-term

Description of processClimate is one of the factors that we look at as a business when addressing corporate risk. The Director of Corporate Sustainability is responsible for helping business unitleads to identify and monitor climate related risks to Akamai's global operations. We periodically review our global network footprint to better understand the implications thata natural disaster (i.e. superstorm, flooding, or other catastrophic events) would have on our operations. The study focuses on various geographies, target capacity values,and the possible effect of simultaneous events. The model shows potential capacity loss, deficits, and the company-wide impact if major events were to occursimultaneously. Even with this model in place, our network is agile and self-healing in nature and redirects traffic according to localized impact. The agility of the Akamaiplatform ensures our services are available and uninterrupted 24/7. Multiple events would have to occur at the same time to have a long-term or deep lasting effect on ouroperations globally. When looking at climate change related risks deeper, we define, evaluate, and prioritize using a materiality assessment. Akamai quantifies themateriality of climate-change related risks by measuring and monitoring our yearly energy consumption and scope 1,2,3 emissions as its related to our network operations.These risk items are then evaluated and prioritized based on: 1. Size and scope of impact 2. Our ability to address 3. Requirements from outside stakeholders 4. Acost/benefit analysis

Value chain stage(s) coveredDownstream

Risk management processA specific climate-related risk management process


Time horizon(s) coveredMedium-termLong-term

Description of processAkamai’s combination of services, global scale, and performance is highly differentiated; but with this massive scale comes opportunity for climate-related risks. Ourcustomers and their customers are becoming more aware of the negative impacts that modern internet usage has on the environment. Akamai has identified this as a riskfor its potential negative impacts to our brand through customer perception, media relations, talent acquisition, and investor relations. We have also identified this as anopportunity to be a forerunner in sustainable CDN and cloud security. Even though we do not yet build revenue impact into our annual financial planning, Akamai believesthat our ability to reduce customer's energy costs, alleviate potential carbon taxes, and supply chain GHG emissions with our products provides additional value-add. Thesesentiments have a direct impact on branding, which is measured as a key performance indicator (KPI) of success. In order to understand the magnitude of these attitudes,potential behavior changes, and impacts, Akamai has a dedicated group with the goal of understanding customer's perception of Akamai, the extent to which sustainabilityis considered, and inform this audience of our program when appropriate. This group meets regularly with target accounts (those with substantial sustainability programsthemselves) to understand how Akamai, as a key part of their supply chain, is helping them meet their sustainability goals. This then informs our branding and mediastrategy to ensure appropriate communication and cadence. Furthermore, the insights gathered by this team are used by our press relations (PR) and investor relations(IR) teams. We have seen environmental sustainability become a key part of our press communications, with media engagement surrounding our rankings in Forbes JustCapital 2019's most just companies and award announcements as an Emerging Leader in Public Policy by Ceres and Outstanding Corporate Leader of 2019 bySustainability Roundtable, Inc. Anecdotally, we learned from our social media team that our sustainability messages have significantly more engagement than other topicson our social channels. Lastly, Akamai has identified employee sentiment in regards to our sustainability practices/program as both a risk and an opportunity. We surveycurrent employees in both a bi-annual pulse survey and smaller group surveys to further assess the importance of our program and what employees want to see more of.Out of a sample group, more than half (54%) said that they wish Akamai would engage employees more about taking sustainable action. We then integrate thesecomments into an employee outreach and communication strategy to make our employees feel heard and lessen the risk of churn.

Value chain stage(s) coveredDirect operationsUpstream

Risk management processA specific climate-related risk management process


Time horizon(s) coveredShort-termMedium-termLong-term

Description of processDescribe your process(es) for identifying, assessing and responding to climate-related risks and opportunities. We also take climate-change related risk into considerationwith our data center partners. Since Akamai leases the vast majority of our data centers, we have service contracts for our data center operations which includes climate-change related risks. They are considered at an asset level, in this case IT equipment in colocation data center facilities, IT and data center infrastructure in Akamai ownedand operated facilities, and office facilities, by considering potential changes in: 1. Flood and storm frequency and intensity 2. Regulatory changes, e.g., carbon tax,electronic waste management requirements 3. Availability of water and water quality used for data center operations, when available

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C2.2a

(C2.2a) Which risk types are considered in your organization's climate-related risk assessments?

Relevance&inclusion

Please explain

Currentregulation

Relevant,alwaysincluded

Current regulations are incorporated into business unit decision making and analysis. There were two examples of current regulation focusing on climate-related issues that Akamaiconsidered in 2019; the UK carbon tax and Singapore Recycling laws. To ensure that Akamai is always in compliance with regional and country-wide laws, we continuously monitor currentregulations to ensure we are not only in compliance but are reporting as transparently as possible to course-correct when needed. To meet the requirements of the Resource SustainabilityBill in Singapore, Akamai took a heavily researched approach. We engaged internal and external counsel to understand our total impact in those areas. Although Akamai already recycles100% of our e-waste through e-stewards partners, we took steps to further ensure our compliance with these new regulations. Akamai took a similar approach in the UK. We engagedauditors, accountants, and legal counsel to understand if and how our operations would be impacted by the applicable laws.

Emergingregulation


It is possible that future climate change-related regulatory or legislative initiatives, for example, a carbon or fuel tax could affect the costs of operating our network of servers and our otherbusiness operations. Such costs could make us less profitable in future periods, so we take care to consider emerging regulation in our planning and risk management process.

Technology Relevant,alwaysincluded

Since Akamai isn't as large as other cloud providers in our industry, our relative emissions are smaller, but we still prioritize their mitigation in our technology development. In addition tobuilding hardware and software that uses energy more efficiently, we heavily rely on our data center partners. Because we lease the vast majority of our server rack space from them,Akamai has a negligible amount of scope 1 emissions. Since Akamai is responsible for the emissions from data center operations, we work closely with our data center partners to solutionenvironmental impact mitigation strategies. In this way, the technology risk is actually seen as an opportunity for improvement. When implementing new servers or technology, we prioritizehardware that is energy efficient and better suited to meet our customer's needs. We evaluate our technology to reduce our GHG impact on behalf of our platform operations, which alsohelps to alleviate technical debt.

Legal Relevant,alwaysincluded

Akamai continuously evaluates the legal risk of climate change, with plans to address any issues from having a material impact on our bottom line. We take our responsibility to protect ourstakeholders and the environment seriously. In 2019, the Global Director of Sustainability met with the legal advisory team on a monthly basis to assess and address changes inregulations and other emerging legal risks to ensure we protect Akamai its employees and shareholders against emerging legal risks.

Market Relevant,sometimesincluded

Akamai believes that market shifts in supply and demand for products and services related to climate change is a material risk. Our servers, like all servers, are made with precious andrare earth materials which could be under risk due to climate change related instances. Furthermore, the demand for our products and services could be diminished due to climate changerelated disasters affecting our customers.

Reputation Relevant,alwaysincluded

Akamai monitors changes in market trends, requirements and/or attitudes of our customers and investors relating to climate change. We use these determinants to assess reputationalrisk. Akamai is aware of the growing trend of customer's requiring suppliers to have climate-change management strategies in place, with goals and a demonstration of progress towardsthose goals. This is also true of Akamai's investors and talent pool. For example, some prospects and customers are including supplier renewable energy goals and/or energy efficiencygoals in supplier assessments as part of the procurement process. Being able to understand and satisfy/exceed those expectations will help Akamai provide competitive differentiation andpreserve/grow market share.

Acutephysical


Akamai believes that there is potential physical risk to our data centers due to increased flooding and extreme storms. This could cause business continuity issues for our network IToperations or for our employees. For example, a flood in a major city where Akamai has a large office could disrupt employees ability to operate for an extended period of time due toelectricity outages, flooding of the office building, or direct impact to employees in their personal lives.

Chronicphysical

Relevant,sometimesincluded

Akamai believes that climate related impacts such as sea-level rise and more persistent heat waves could increase the cost of our network operations. It would also affect our strategy insiting of data centers and have increased operational cost implications.

C2.3

(C2.3) Have you identified any inherent climate-related risks with the potential to have a substantive financial or strategic impact on your business?Yes

C2.3a

(C2.3a) Provide details of risks identified with the potential to have a substantive financial or strategic impact on your business.

IdentifierRisk 1

Where in the value chain does the risk driver occur?Direct operations

Risk type & Primary climate-related risk driver

Acute physical Increased severity and frequency of extreme weather events such as cyclones and floods

Primary potential financial impactIncreased indirect (operating) costs

Climate risk type mapped to traditional financial services industry risk classification<Not Applicable>

Company-specific descriptionAkamai believes that there is potential physical risk due to increased flooding and extreme storms in areas where Akamai has physical infrastructure. Physical risks thatjeopardize the business continuity of our network operations are prioritized based on potential impacts. When reviewing potential impact on operations, we take multipleareas into consideration including: negative impacts to customers, ability to serve traffic, and ability to sustain global platform operations. Within our modelling efforts, wemeasure the potential impact of a significant natural disaster or weather event would have on global operations. We believe there is a risk to both our operations and cost tosustain operations if an event were to occur.

Time horizonLong-term

LikelihoodAbout as likely as not

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Magnitude of impactHigh

Are you able to provide a potential financial impact figure?Yes, a single figure estimate

Potential financial impact figure (currency)2200000

Potential financial impact figure – minimum (currency)<Not Applicable>

Potential financial impact figure – maximum (currency)<Not Applicable>

Explanation of financial impact figureThe financial impact figure is based on the cost of a new infrastructure build in similar proximity to existing operations on a per site basis. It is derived from an internallydeveloped cost to construct figure and ultimately be able to serve traffic from that network build. This cost also includes associated time with building out the infrastructure.

Cost of response to risk4400000

Description of response and explanation of cost calculationWe outsource data center operations in almost all cases, with the exception of Akamai owned data centers (AODCs). Akamai’s network IT infrastructure is not concentratedin any one city, to ensure that losses in any one region are limited. If they were to occur, the impact would be, for the most part, less than $5 million — a few percent ofAkamai’s annual network CapEx. Akamai is self-insured against these losses because we believe the cost of replacing at-risk equipment is small.

CommentWith over 300,000 servers globally, our network is self-healing in nature. Akamai has the ability to reroute traffic to avoid locations impacted by a force majeure, so the riskof our operations being impacted majorly is small. However, we acknowledge that these climate-related risks are real and have taken that into consideration as we continueto build out our network infrastructure. Additionally, the costs to rebuild affected data centers/locations will vary based on the magnitude of an event or if multiple eventswere to occur simultaneously. We look at varying scenarios to ensure we are capturing magnitude and potential impact.

IdentifierRisk 2

Where in the value chain does the risk driver occur?Direct operations


Emerging regulation Carbon pricing mechanisms

Primary potential financial impactIncreased capital expenditures


Company-specific descriptionWe have identified risks driven by changes in regulation. The Akamai platform consists of approximately 300,000 servers globally and consumes significant energyresources, including those generated by the burning of fossil fuels. It is possible that future regulatory or legislative initiatives such as a carbon tax could affect the costs ofoperating our network of servers and our other operations. Such costs could make us less profitable in future periods. Akamai has undertaken a number of initiatives toreduce exposure to these risks, including: 1) network energy efficiency improvements, 2) network productivity improvements, and 3) a 50% renewable energy goal by theend of 2020, which we are tracking to meet. The global geographic distribution of Akamai’s operations and diversification of its supply chain, both of which are fundamentalstrategies to Akamai’s operational model, also significantly reduce exposure to this risk. Our geographic distribution means that only a fraction of Akamai’s infrastructurewould be impacted by a regional carbon tax.

Time horizonMedium-term

LikelihoodLikely

Magnitude of impactMedium-low





Explanation of financial impact figureAkamai’s direct operations would likely not be significantly impacted by carbon taxes. There is a potential that downstream impacts would affect Akamai, but we havealready included these potential costs into our leases. As a recent example, we recently renewed contracts for data centers in the UK, where we built in prices for carbontax. Akamai fully anticipated carbon taxes in our data center partnerships around the globe and is included in the vast majority of our contracts. Cost increases would bepassed down through our supply chain, primarily through our colocation data center providers. An analysis of our network-wide carbon emissions, including colocation datacenter operations, estimated the impact of a $US20/mton carbon tax would amount to less than a 2% increase in our operational costs. The latest auction clearing meanprice for a GHG allowance on the California Cap-and-Trade exchange was approximately $US15. For regulatory risk management, R&D costs associated with theseinitiatives would be less than 2% of operating costs. The financial impact figure of 5,700,000 is defined by multiplying carbon taxes with our regional carbon emissions totals

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based on our market based accounting method. We have accounted for a potential additional overage above the base $2.8 million it would cost if we were to be charged$US20/mton. This may or may not happen in some contracts, but we have taken it into consideration anyway, to ensure we understand what our highest impact would be.The cost of geographic and supplier diversification is not additive because these operational strategies are inherent to achieving our performance guarantees and are builtinto core operations. For physical risk management, the cost of geographic and supplier diversification is also not additive because these operational strategies are inherentto achieving our performance guarantees and are built into core operations.


Description of response and explanation of cost calculationAkamai's threefold solution of: 1) network energy efficiency improvements, 2) network productivity improvements, and 3) a 50% renewable energy goal by the end of 2020is already integrated into the cost of future network planning. Any associated cost can be attributed to activities/programs needed to continue down the path of emissionsreduction through technology efficiencies and renewable energy procurement.

Comment

IdentifierRisk 3

Where in the value chain does the risk driver occur?Downstream


Reputation Increased stakeholder concern or negative stakeholder feedback

Primary potential financial impactOther, please specify (Decrease in direct company investment by stakeholders and lost revenue from customer churn)


Company-specific descriptionWe have identified a risk given changing environmental social governance (ESG) investment and consumer trends. With consumers and investors becoming more awake tothe negative impacts of modern internet usage on the environment, Akamai has identified a risk with the potential to damage to our brand/reputation resulting in lostrevenue, negative customer and investor perception, higher employee churn and loss of competitive differentiation if we do not maintain or expand our level of commitmentto mitigating our environmental impacts. Akamai is a key part of today's internet and with such a role comes great scrutiny. If consumers and investors are not continuouslymade aware of the implications of modern internet usage, our environmental sustainability program, and its progress, we risk losing investment opportunities andcompetitive differentiation. Furthermore, if employees are dissatisfied with our approach, we risk losing top talent resulting in higher costs of employee churn andonboarding.


LikelihoodUnlikely

Magnitude of impactMedium-high

Are you able to provide a potential financial impact figure?Yes, an estimated range

Potential financial impact figure (currency)<Not Applicable>

Potential financial impact figure – minimum (currency)9769500

Potential financial impact figure – maximum (currency)13026000

Explanation of financial impact figureIt is notoriously hard to measure these impacts, given the emphasis on theoretical and trend data. A worst case speculation would show top investors leaving or forgoing aninvestment in Akamai and a higher rate of customer churn, which would have impacts on both stock price and our bottom line, if we chose to lessen our investment in oursustainability program. Another, more more measurable impact, would be the cost of employee churn and the cost of onboarding new talent. If Akamai discontinued orlessened our program, we would anticipate a higher rate of employee turnover, with the risk of increased cost to onboard, anywhere from 15-20%. With environmentalsustainability becoming an important consideration for employment, (79% of millennials consider ESG performance in choosing employment), Akamai is able to measurethe potential impacts of increased rate of employee churn by multiplying the cost to onboard a new employee, $8,350 by the estimated churn rate of 15-20% of our 7,800full time employees to get the above financial impact range.


Description of response and explanation of cost calculationTo respond to the risk of missed investment, the sustainability team relies on frequent communication with our investor relations group to highlight our program's progress(on at least a quarterly basis) and collect feedback from key investment groups for areas of improvement. We also externally disseminate new investor-focused material onat least a biannual basis. To respond to the risk of customer churn, we also rely on frequent communication with key customers. Akamai has a dedicated team within themarketing org with the goal of understanding customer's perception of Akamai, the extent to which sustainability is considered in purchasing decisions, and to inform thisaudience of our program when appropriate. This group meets regularly with target accounts (those with substantial sustainability programs themselves) to understand howAkamai, as a key part of their supply chain, is helping them meet their sustainability goals. We survey these key accounts via customer conversations at least annually toensure that our customers are aware and satisfied with our program. When applicable, we offer instances of sustainable partnership to our customers by divulging ourrenewable energy plans (expressed under NDA) with an invitation to collaborate. We also take customer requests into consideration when creating our sustainabilitystrategy, and look to integrate their goals whenever possible. For example, a key customer wanted Akamai to work towards a higher percentage of emissions reductions ina shorter time frame. While our plans are still confidential, we went back to the drawing board to further push ourselves when setting emissions reduction targets. Akamaiprioritizes the needs of our customers and investors and looks to integrate them into our sustainability strategy wherever viable. Costs of responding to investor and

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customer risk are already included in marketing program costs which include marketing content, bought media expenses, research group membership costs, analyst fees,employee salaries, and other ancillary costs. To respond to the risk of employee churn risk, Akamai is very open about our program with existing and potential employees.We spend an average of $4,000 on recruiting new employees and had a an employee turnover rate of 12% in FY 2019. The cost of response to risk is calculated by taking12% of our 7,800 employees and multiplying that number by the cost of recruiting a new full time employee.

Comment

C2.4

(C2.4) Have you identified any climate-related opportunities with the potential to have a substantive financial or strategic impact on your business?Yes

C2.4a

(C2.4a) Provide details of opportunities identified with the potential to have a substantive financial or strategic impact on your business.

IdentifierOpp1

Where in the value chain does the opportunity occur?Direct operations

Opportunity typeResource efficiency

Primary climate-related opportunity driverUse of more efficient production and distribution processes

Primary potential financial impactReduced indirect (operating) costs

Company-specific descriptionThe globally distributed Akamai Intelligent Edge Platform is made up of 300,000+ servers running in more than 130 countries, in 4,200+ locations. To meet our emissionstargets, Akamai worked toward a 30% reduction of our network energy intensity year over year. In the past five years, we grew our platform capacity by over 182% whileincreasing our net power usage by only 9%, meaning that delivering one gigabyte of data is 61% more efficient. If Akamai didn't continuously improve our network efficiencyand continued to pay for 2015 capacity and efficiency levels, our business model would not be viable. The efficiency of our network is a key part of Akamai's success.


LikelihoodLikely

Magnitude of impactHigh





Explanation of financial impact figurePlatform efficiency is integral in keeping our business model a viable one. To meet the capacity needs of the modern internet, we are continuously adding more servers toour already globally distributed network. Accounting for the useful life of a server being 5 years, our hardware and software efficiency initiatives have allowed us to avoid theuse of 28,000 servers and 668 racks. This means that we have saved about 172,000 megawatts of energy over 5 years, which therefore means that, given regional carbonemissions totals and grid mixes, we have avoided around 97,000 metric tons of carbon emissions as a direct result of our efficiency strategy. We calculated the potentialimpact figure of $151,000,000 given the cost of purchasing hardware, install, setup, and space needed for the 28,000+ servers over 5 years that we would have needed todeploy if were not for our efficiency progress.

Cost to realize opportunity0

Strategy to realize opportunity and explanation of cost calculationAkamai’s engineers build hardware that is technologically advanced and energy-efficient. Our ongoing hardware efficiency initiatives are responsible for lessening ourserver’s power consumption while increasing throughput 10x. The more throughput in a single server means improved performance for end-users, while lessening ourenvironmental footprint. Our engineers take platform efficiencies a step further by writing software that uses our hardware more efficiently. More specifically, we streamlineour code to include fewer instructions so that it uses less energy to complete complex tasks. Because of this, the cost to realize these efficiencies. We don't directly trackbecause it is already part of our engineer's scope of work. Akamai's emissions reduction plan is well integrated into network planning, given that resource efficiency savesunnecessary OpEx. As network efficiency is a main pillar of our program, the Global Director of Corporate Sustainability and their team reports to the SVP of networks, toensure collaboration between groups.

Comment

IdentifierOpp2

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Where in the value chain does the opportunity occur?Upstream

Opportunity typeEnergy source

Primary climate-related opportunity driverUse of lower-emission sources of energy

Primary potential financial impactReduced indirect (operating) costs

Company-specific descriptionAkamai has a public goal to power our network with 50% renewable energy by the end of 2020, which we are on track to meet. Our renewable energy procurementstrategy is one that focuses on putting net new renewable energy on the grid, prioritizing the grids where we have the most energy intensive operations. In 2019, weinvested in net-new, on-grid renewable wind energy projects in Dallas, Texas, and Chicago, Illinois. We made it a priority to partner with third-party data center providersusing the Future of Internet Power (FoIP) Requirements for Supplier-Procured Renewable Energy to ensure that they understand the benefits of using renewable energy topower their facilities. In doing this, we have identified a twofold opportunity in renewable energy procurement. First, we have negotiated a more fiscally responsible way ofprocuring renewable energy across our operations. While our overall goal is to be cost neutral, we have been seeing a positive cash influx from projects this past year.Secondly, and perhaps most importantly, we have found that lessons learned from our renewable energy procurement is valuable insight for other data center lessors. Weuse this as an opportunity to be a pacemaker in renewable energy procurement and look to share best practices with the industry as a whole. In collaboration with theRenewable Energy Buyers Alliance (REBA), we explored developing a training program called LESsen to help other data center customers, like Akamai, get access toattestable renewable energy to power their operations. At Akamai, we know that widespread change is needed to counteract climate change and we are thrilled to beworking with REBA to make this knowledge more attainable for all.

Time horizonShort-term

LikelihoodVirtually certain

Magnitude of impactMedium





Explanation of financial impact figureAkamai looks at this on a per project basis. We directly contract for renewable energy procurement instead of purchasing it on the retail market. In general, Akamai makescontracting decisions based on our total network capacity focused in the areas primarily where we have colocation leases. In 2019, we experienced cash positive returnson our renewable energy portfolio, 10% beyond our original model. As an example, Akamai's 7MW wind VPPA in Texas, (operational in June 2019), is expected to providea positive annual cash flow of between $180,000 and $320,000. This money will help offset our power spend in and around the Dallas metro.


Strategy to realize opportunity and explanation of cost calculationAkamai has a concrete plan for renewable energy procurement. At a high level, our strategy is to prioritize the geos in which we have the most energy intensive operations.While we have been successful in decoupling our business growth from energy usage to create a more efficient platform, we will always need to consume energy. A key toAkamai’s sustainability progress is the decarbonization of the energy we use by investing in education for our partners and in projects that add net-new renewables to theglobal grids where we have facilities. We have a simple goal: positively impact the places where we work, operate, and live. Since 2015, we have achieved 32% globalrenewable energy through our approach. This strategy has also accounted for reducing our carbon footprint by 23%. In 2019, we expanded our renewable colocationpartnerships across the globe. We have added renewable resources to our portfolio by working with data center partners to ensure our operations are powered byrenewable energy, even if their operations are not fully renewable. We have made significant progress with our global partners, including a large portion of our Europeanoperations, where we have achieved 50% renewable. We believe it is important to develop net-new renewable sources of energy to create a lasting, meaningful impact andwill continue to look for these types of projects in our future planning. To further realize the opportunities that come with renewable energy procurement, Akamai works withREBA and the Future of Internet Power (FoIP) group to identify new and innovative ways to make net new renewable energy procurement more attainable for small to mid-size businesses. Furthermore, Akamai was a launch partner of Iron Mountain’s Green Power Pass in 2019, a data center–focused renewable energy–reporting solution, thefirst of its kind in the industry. Green Power Pass (GPP) is an industry-endorsed, fully transparent solution for companies seeking to report greenhouse gas or carbondioxide equivalent (CO2e) reductions. This program in addition to our work with REBA on LESsen highlights Akamai commitment to demystify renewable energyprocurement to enable the industry to move the needle on climate change. The major cost drivers to realize the opportunity are defined on a per project basis and aremostly legal and ancillary fees.

CommentAkamai believes that — as a shared resource — our cloud computing platform performs at a higher level of energy efficiency than what most of our customers would beable to achieve with their own network infrastructure to realize a comparable level of performance, reliability, security, and availability. That is, Akamai can do the samework as a customer’s website infrastructure with comparatively less infrastructure and energy. This higher energy efficiency level may result in overall reduced GHGemissions for our customers. There are several elements to our potentially improved energy and infrastructure efficiency on an aggregate scale across all of our customers:1. Higher server utilization 2. Less excess capacity to absorb seasonal or event-based traffic spikes 3. Less infrastructure required to achieve high availability, performance,and security 4. Optimized server efficiency and productivity with custom designs to maximize performance per watt

IdentifierOpp3

Where in the value chain does the opportunity occur?Downstream

Opportunity type

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Products and services

Primary climate-related opportunity driverOther, please specify (Platform Hardware and Software Efficiency to Reduce Emissions)

Primary potential financial impactIncreased revenues resulting from increased demand for products and services

Company-specific descriptionAkamai has identified opportunity in positioning our solutions as a method to alleviate our customers responsibility for managing their emissions and to decrease risk ofbeing impacted by carbon taxes. Legislation or regulations like a carbon tax will incentivize our customers to be more efficient in their website operations and minimize theiremissions to reduce the risk of carbon tax impacts and lessen overall emissions. Akamai’s streamlined global platform provides significantly more efficient operations thanmost of our customers can achieve alone or with other providers. Their utilization of Akamai’s services reduces traffic load on their own, less-efficient website infrastructure.By shifting load to Akamai, customers not only forgo the clunkiness, cost, and emissions of a homegrown solution, but they also have the potential to be more efficient intheir deployments and greatly decrease the impacts of a carbon tax. This has the potential to increase the demand for our existing services. In the past five years alone,Akamai has reduced the energy intensity of delivering one gigabyte of data by 61%. As a result, customers can grow their infrastructure at their own pace and scale, whilehaving lower impact per bit served from a carbon emissions view. Akamai’s ability to continually improve the energy and carbon intensity of our network operations couldhelp to offset potential costs associated with the risk of carbon taxes. Akamai does not sell products or services that are targeted to directly reduce or avoid GHG emissionsfor our customers. However, Akamai believes that — as a shared resource — our cloud computing platform performs at a higher level of energy efficiency than what mostof our customers would be able to achieve with their own network infrastructure if they want to realize a comparable level of performance, reliability, security, andavailability. That is, Akamai can do the same work as a customer’s website infrastructure with: 1. Higher server utilization 2. Less excess capacity to absorb seasonal orevent-based traffic spikes 3. Less infrastructure required to achieve high availability, performance, and security 4. Optimized server efficiency and productivity with customdesigns to maximize performance per watt

Time horizonShort-term

LikelihoodVirtually certain

Magnitude of impactMedium





Explanation of financial impact figureGiven that Akamai is everywhere, the impacts of a carbon tax on a single customer would be minimal, as mentioned in risk two. While taking into consideration existing andemerging regional carbon taxes along with changing customer purchasing habits, it would not be possible to translate this cost to a customer based on usage data. In turn,Akamai would absorb any ancillary carbon tax costs, which would be figured in to our COGs (cost of goods sold). Based on the data we have today, we believe this impactcould be anywhere from $5,000,000-$22,000,000 when considering the hardware, network server and switch capacity that had been reduced due to continued strides inplatform efficiency.


Strategy to realize opportunity and explanation of cost calculationTo realize this opportunity, there is a dedicated marketing role with the goal of understanding customer's perception of Akamai, the extent to which sustainability isconsidered in purchasing decisions, and to inform our customers audience of our program and its impacts. This group meets regularly with target accounts (those withsubstantial sustainability programs themselves) to understand how Akamai is helping them meet their sustainability goals and to reinforce the benefits of offloading a part oftheir emissions to us. We also reach customers through sales motions, dedicated sustainability campaigns, and train our salesforce on an annual basis on how to talk aboutsustainability and its benefits with customers. The majority of the costs to realize this opportunity are engineering and marketing salaries, marketing content/advertisingbudget, and R&D costs.

Comment

C3. Business Strategy

C3.1

(C3.1) Have climate-related risks and opportunities influenced your organization’s strategy and/or financial planning?Yes, and we have developed a low-carbon transition plan

C3.1a

(C3.1a) Does your organization use climate-related scenario analysis to inform its strategy?Yes, qualitative and quantitative

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C3.1b

(C3.1b) Provide details of your organization’s use of climate-related scenario analysis.

Climate-relatedscenariosand modelsapplied

Details

Other, pleasespecify(NaturalDisasterScenarioAnalysisBased onMetro)

Climate is one of the factors that we look at as a business when addressing corporate risk. In addition, we do periodic reviews of our global network footprint to better understand if a natural disasterwere to occur, such as a superstorm, flooding, or other catastrophic events that could devastate our operations. This study focused on various geographies, target capacity values, and possibleeffect of simultaneous events. This model reveals the potential loss of capacity, capacity deficits, and the potential impact we could see as a company if major events were to occur all at the sametime. Even with this model in place, Akamai’s network is self-healing in nature and is able to be agile in how it redirects traffic due to localized impact. The self-healing nature of the Akamai networkhelps keep our services available and uninterrupted. Multiple events would have to occur at the same time to have a long-term or deep lasting effect on our operations globally.

C3.1d

(C3.1d) Describe where and how climate-related risks and opportunities have influenced your strategy.

Have climate-related risksandopportunitiesinfluencedyour strategyin this area?

Description of influence

Productsandservices

Yes With consideration to climate related risks and opportunities, Akamai has realized an opportunity to build more efficient products and services. The foundation of our product offering isour globally distributed edge platform, so to make our business model a sustainable one, our engineers are constantly iterating our software and hardware to be as efficient as possible.In fact, our more recent product offerings main benefit is its efficiency. Akamai's Image and Video Manager (IVM) intelligently optimizes both images and videos with the combination ofquality, format, and size that is best suited for every device and browser. At its most basic level, IVM delivers website videos and images in the most efficient way possible by reducingbytes needed for images, videos, and animated GIFs across desktop, mobile, and apps for lighter, less energy intensive pages for better overall site performance.

Supplychainand/orvaluechain

Yes Akamai works closely with our data center partners to procure and put net new renewable energy back on the grid wherever possible. In fact, our contracts with key data center partnersrequire attested renewable energy to be put into our mix with an additional clause encouraging our partners to further procure renewable energy.

Investmentin R&D

Yes Akamai continuously invests in R&D to improve hardware and software to keep our network running as efficiently as possible. Back in 2010, Akamai realized the opportunity to manageand lessen our emissions through network efficiencies that was originally borne out of a COGs savings initiative. Since then, sustainability is a key influence in our network deploymentsand operations, with a focus on positively impacting our emissions reductions efforts and offloading that benefit to our customers.

Operations Yes Although the vast majority (over 80%) of our carbon emissions are from our network, there are other parts of our operations where we are cognisant of our impacts as well. In 2019,Akamai opened our new HQ in Cambridge, MA- a building slated to meet LEED certified gold standard requirements, on-site solar, and more efficient HVAC heating and coolingsystems. It was built with a 91% landfill diversion rate and is 12% more efficient at baseline than a similar sized building. Akamai also owns a few data centers. Because we are incomplete control of how they are run, these data centers are our most efficient yet. Servers in our two Akamai owned data centers (AODCs) in Virginia and New Jersey, once fullypopulated, are slated to reach a power usage effectiveness (PUE, with 1 being the most efficient and an average of 1.2 being average) of 1.09. We can achieve this PUE by running thefacilities hotter because of better hardware heat tolerances that are then cooled with outside air and powered with on-site solar.

C3.1e

(C3.1e) Describe where and how climate-related risks and opportunities have influenced your financial planning.

Financialplanningelementsthat havebeeninfluenced

Description of influence

Row1

RevenuesDirectcostsCapitalallocation

Climate-related risks and opportunities have influences our financial planning in two ways; accounting for the potential impacts of a carbon tax and increased R&D costs of purchasing moreefficient hardware, software and data center development. To account for the potential revenue impact of a carbon tax, we monitor existing and emerging global regulations and closelycollaborate with our data center partners to understand and mitigate the potential impacts of a carbon tax. On a quarterly basis, the Global Director of Sustainability checks in with the legal,regulatory, and finance teams to ensure there are no emerging threats to our operations or revenue due to carbon taxes or other regulations. Secondly, Akamai has adjusted our capital allocationand direct costs to be inclusive of increased R&D costs to purchase more efficient hardware, to develop more efficient software, and the potential for increased data center development costs.Akamai encourages our data center partners to prioritize renewable energy procurement.

C3.1f

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(C3.1f) Provide any additional information on how climate-related risks and opportunities have influenced your strategy and financial planning (optional).

Akamai's sustainability program was originally borne out of a cost saving (COGs) initiative with the goal of saving the company money. With such an expansive network,currently at over 300,000 servers in 4k locations, finding efficiencies were and continue to be integral, as we use huge amounts of power with a server using on average about832 kWh per year. These efficiencies were also unintentionally making Akamai more sustainable, which was a priority to our key stakeholders. We realized this and leanedinto the opportunity back in 2009. Since then, we have been taking steps to green our footprint to reduce both our OpEx costs and our carbon emissions. In this way, we haveevolved our climate-related risk mitigation strategy into an opportunity for environmental consideration at the very core of our network and business continuity plan. This isespecially relevant given the direct impact that our sustainability program has on our COGs initiatives.

Furthermore, we have adjusted our network technology (think: hardware and software) plan to be representative of more environmentally conscious technologies, as theyalso have a direct impact on our energy savings initiatives. We know our network will always use power, so we work to ensure that we use it as responsibly as possible. Atthe end of their useful life, we recycle or reuse 100% of our global e-waste through E-Stewards–certified facilities to ensure responsible management of our decommissionedservers, switches, and other pieces of hardware.

Along with a focus on sustainability and energy efficiency for our network, our new HQ was built with the environment in mind. The building’s primary purpose was to delivera comfortable indoor environment for tenants and visitors alike. By focusing on energy and water usage, material selections, and the indoor environmental quality of thebuilding, the project is slated to meet its goal to be LEED for Core and Shell Development version 4 (LEED-CSv4) Gold certified.

C4. Targets and performance

C4.1

(C4.1) Did you have an emissions target that was active in the reporting year?Both absolute and intensity targets

C4.1a

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(C4.1a) Provide details of your absolute emissions target(s) and progress made against those targets.

Target reference numberAbs 1

Year target was set2016

Target coverageCompany-wide

Scope(s) (or Scope 3 category)Scope 1+2 (market-based)

Base year2015

Covered emissions in base year (metric tons CO2e)190271.53

Covered emissions in base year as % of total base year emissions in selected Scope(s) (or Scope 3 category)86

Target year2020

Targeted reduction from base year (%)50

Covered emissions in target year (metric tons CO2e) [auto-calculated]95135.765

Covered emissions in reporting year (metric tons CO2e)145596.83

% of target achieved [auto-calculated]46.9588908020028

Target status in reporting yearUnderway

Is this a science-based target?No, but we anticipate setting one in the next 2 years

Please explain (including target coverage)The target is to reduce absolute GHG market-based emissions below 2015 levels by 2020. This work will be accomplished by procuring renewable energy and buildingcolocation partnerships through the Renewable Energy Buyers Alliance (REBA) Future of Internet Power (FoIP). Akamai will cover 50% of our global network energyconsumption of our paid leased facilities. We have achieved 33.91% of our goal renewable goal due to our colocation partnerships that supply 100% renewable energy anddirect-vPPA renewable projects invested in to bring net-new renewables to market. We saw a 57,808.24 MT reduction in our CO2e footprint in 2019. When we look at ourbaseline targets from 2015 against per-gigabit capacity on the platform, Akamai was able to divert 325% of its carbon emissions through the end of 2019. The data is basedon platform efficiency, due to lower hardware power consumption while still having continued capacity growth within a similar data center power footprint close to baseline.Under this view, since 2015, we have mitigated over 720,000 MT of potential carbon emissions when compared to today per gigabit of capacity served by our network The% of emissions in Scope is less than 100% because the target is focused on GHG emissions associated with Akamai's global network and office operations. It makes up91% of our total impact, which includes: 1) Akamai operated and owned data centers and colocation facilities (including server hardware) 2) Leased, colocation data centers(including server hardware) 3) Leased office space (Includes lab space) This does not include items in Scope 3: 1) Data Centers where Akamai has free space and powerto support operations of network partners ABS1 was initially reported on the 2017 CDP report. To further achieve this target, Akamai is investing in virtual power purchaseagreements (vPPAs) in target regions where we have significant network operations. One of our notable vPPA projects comes online in 2020. This will help contribute to areduction in Akamai's absolute GHG emissions at a much higher level than levels seen in 2019. We also incepted a program in conjunction with the REBA's FoIP toeducate data center operators on procuring affordable renewable energy to power their facilities through a newly pioneered program Called LESSEN which will help withadditional GHG reductions beyond 2020.

C4.1b

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(C4.1b) Provide details of your emissions intensity target(s) and progress made against those target(s).

Target reference numberInt 1



Scope(s) (or Scope 3 category)Scope 2 (market-based)

Intensity metricMetric tons CO2e per unit of service provided

Base year2015

Intensity figure in base year (metric tons CO2e per unit of activity)0.33

% of total base year emissions in selected Scope(s) (or Scope 3 category) covered by this intensity figure86

Target year2017

Targeted reduction from base year (%)30

Intensity figure in target year (metric tons CO2e per unit of activity) [auto-calculated]0.231

% change anticipated in absolute Scope 1+2 emissions

% change anticipated in absolute Scope 3 emissions0

Intensity figure in reporting year (metric tons CO2e per unit of activity)0.231

% of target achieved [auto-calculated]100

Target status in reporting yearAchieved

Is this a science-based target?No, but we anticipate setting one in the next 2 years

Please explain (including target coverage)The % of emissions in Scope is less than 100% because the target is focused on GHG emissions associated with Akamai's global network IT operations that only includesAkamai's owned and operated IT infrastructure. The goal excludes GHG emissions associated with Akamai's owned and operated data center infrastructure - exclusive of ITinfrastructure - (1.2%) and office operations (7.6%). INT1 was reported in prior CDP disclosures, including 2019. Akamai has an annual target to reduce our global networkIT GHG emissions intensity by 30% relative to the network traffic supported. The normalized emissions at the end of the prior year are compared to the normalizedemissions at the end of the reporting year. The target is to reduce the intensity value by 30% each year. In 2019, we achieved a reduction of 30% of the normalizedemissions. Percent change in absolute Scope 2 emissions is if the 30% intensity reduction was achieved. This target was achieved even with the increase in networkcapacity to accommodate growth in traffic.

C4.2

(C4.2) Did you have any other climate-related targets that were active in the reporting year?Target(s) to increase low-carbon energy consumption or production

C4.2a

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(C4.2a) Provide details of your target(s) to increase low-carbon energy consumption or production.

Target reference numberLow 1



Target type: absolute or intensityAbsolute

Target type: energy carrierElectricity

Target type: activityConsumption

Target type: energy sourceRenewable energy source(s) only

Metric (target numerator if reporting an intensity target)Percentage

Target denominator (intensity targets only)<Not Applicable>

Base year2015

Figure or percentage in base year392953.27

Target year2020

Figure or percentage in target year100

Figure or percentage in reporting year203919

% of target achieved [auto-calculated]48.1182885406554

Target status in reporting yearUnderway

Is this target part of an emissions target?Yes, this goal is apart ABS 1, as reported in Section C4.1a. For Akamai to reduce our network emissions to meet our ABS 1 target, we have to procure from renewableenergy sources. This process includes our data center partners purchasing from 100% attestable renewable power sources or direct-project investment to mitigate ourcarbon output. A combination of these approaches has help set 50% renewable goal by 2020.

Is this target part of an overarching initiative?Other, please specify (Yes, it is apart of our public renewable energy strategy to power our network operations from 50% renewable sources by 2020)

Please explain (including target coverage)This target includes power from 3 different sources: 1) Data Center partners providing 100% renewable energy and attesting on Akamai's behalf through the BSR / REBAFuture of Internet Power White Paper 2) Renewable energy coming from our Power Purchase Agreements (vPPA's) 3) Renewable grid mix coming from Marketmeasurements globally The combination of these three areas make up our renewable energy percentage across Akamai's global operations. Our primary focus is on gettingmore data center suppliers to renewable to help reduce our emissions and in areas where we can't, develop renewable energy projects to support carbon mitigation usingzero-carbon sources. Akamai recognizes that the electricity grid mix does not help reduce our Greenhouse Gas emissions (GHG, CO2e) since it is already included in thelocation and market-based emissions we track. Even if we can't directly reduce our emissions, we believe it is essential that grid mix is apart of our goal based on the geo-graphical areas where we operate. Grid mix helps green our operations based on what our power suppliers are delivering to us across the 4200 locations where we operateglobally. Grid mix provides a source of renewables in areas where we may not be able to get a data center supplier on-board or project developed in an economicallyfeasible way. We track this metric closely since it helps lower our market-based emissions (from our suppliers) and contributes long-term to reducing location-basedemissions as well to support a greater good long-term.

C4.3

(C4.3) Did you have emissions reduction initiatives that were active within the reporting year? Note that this can include those in the planning and/orimplementation phases.Yes

C4.3a

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(C4.3a) Identify the total number of initiatives at each stage of development, and for those in the implementation stages, the estimated CO2e savings.

Number of initiatives Total estimated annual CO2e savings in metric tonnes CO2e (only for rows marked *)

Under investigation 1 40000

To be implemented* 1 18000

Implementation commenced* 1 15000

Implemented* 1 720000

Not to be implemented

C4.3b

(C4.3b) Provide details on the initiatives implemented in the reporting year in the table below.

Initiative category & Initiative type

Energy efficiency in production processes Product or service design

Estimated annual CO2e savings (metric tonnes CO2e)19000

Scope(s)Scope 2 (location-based)Scope 2 (market-based)

Voluntary/MandatoryVoluntary

Annual monetary savings (unit currency – as specified in C0.4)80000000

Investment required (unit currency – as specified in C0.4)0

Payback period<1 year

Estimated lifetime of the initiative6-10 years

CommentThis work is apart of the everyday work of all Engineers at Akamai. The company committed to innovating software and developing hardware that is technologicallyadvanced and energy-efficient. Over the past two years, we made strides toward efficiency by expanding the platform to support our customers’ needs while decreasing theoverall energy intensity per bit served. As we continue to expand the network, we believe it is important to remain conscious of our environmental impact by using ourenergy resources wisely and reducing waste in our operations whenever possible.


Energy efficiency in production processes Product or service design


Scope(s)Scope 2 (location-based)Scope 2 (market-based)




Payback period<1 year


CommentWhile we have been successful in decoupling our business growth from energy usage to create a more efficient platform, we will always need to consume energy. A key toAkamai’s sustainability progress is reducing our impact by creating more efficient processes including hardware that consumes less and software that can serve more trafficin a similar energy-efficient footprint. As of 2019, we have have been able to do this successfully and reduce our carbon impact for the greater good. This measurementwould be a target against our 2015 baseline if we were to use the same processes and technology that was in place then. With our efficiency work underway, while lookingfor areas where we can continually improve, Akamai engineering has been able to reduce over 180,000 MT a year, for the past four years based on these combinedefficiencies and continued platform evolution process.


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Low-carbon energy consumption Solar PV


Scope(s)Scope 2 (market-based)




Payback period1-3 years


CommentThis reduction is a projection from a solar project (vPPA) that is a 500-Megawatt (MWac) located in western Spotsylvania County, Virginia. The Project Site consists ofthree non-contiguous boundaries that encompass approximately 6,350 acres. Of the 6,350 acres, about 3,500 acres will be developed into the solar project, and at least2,000 acres will be preserved as undeveloped, conserved land. The Project Site currently consists of recently timbered land and is bordered by other forested areas andscattered single-family residences. Akamai is purchasing 28.2 MW from the project to reduce our carbon emissions output. The output of renewables will total up to 53,000MWh a year, contributing to our renewable and carbon reduction goals.


Low-carbon energy consumption Wind


Scope(s)Scope 2 (market-based)




Payback period1-3 years


CommentThis is an additional renewable project in the US accounting for 36 MW of wind or 120,00+ MWh of low-carbon power for our operations in the United States. The projecthas not finalized as of yet and still under review. This project would be online by mid-2022 and would help incrementally reduce carbon emissions in the us using net-newsupplier caused renewables.

C4.3c

(C4.3c) What methods do you use to drive investment in emissions reduction activities?

Method Comment

Financial optimization calculations This method is primarily used when assessing energy efficiency projects.

Other (Customer Demand / Proactive Partnership) Customer demand for decarbonized/low-carbon services.

Other (Investor Demand) Investor demand for corporate action and management of climate-related risks and opportunities.

C4.5

(C4.5) Do you classify any of your existing goods and/or services as low-carbon products or do they enable a third party to avoid GHG emissions?No

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C5. Emissions methodology

C5.1

(C5.1) Provide your base year and base year emissions (Scopes 1 and 2).

Scope 1

Base year startJanuary 1 2009

Base year endDecember 31 2009

Base year emissions (metric tons CO2e)101

CommentIn 2009, Scope 1 was solely from the use of diesel fuel for backup electricity generation at two Akamai offices.

Scope 2 (location-based)




CommentEstimates of Akamai's Scope 2 includes electricity used by Akamai's global network IT equipment and offices as well as energy used for heating of Akamai's leased officespace.

Scope 2 (market-based)




CommentTo ensure accuracy and a proper comparison from years past including all market-based emissions factors, we have pulled new data sets and developed new accountingmodels to ensure the highest level of accuracy in all future accounting. This will be worked on leading up to the next reporting year.

C5.2

(C5.2) Select the name of the standard, protocol, or methodology you have used to collect activity data and calculate emissions.ISO 14064-1The Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard (Revised Edition)The Greenhouse Gas Protocol Agricultural Guidance: Interpreting the Corporate Accounting and Reporting Standard for the Agricultural SectorThe Greenhouse Gas Protocol: Public Sector StandardThe Greenhouse Gas Protocol: Scope 2 Guidance

C6. Emissions data

C6.1

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(C6.1) What were your organization’s gross global Scope 1 emissions in metric tons CO2e?

Reporting year

Gross global Scope 1 emissions (metric tons CO2e)10

Start date<Not Applicable>

End date<Not Applicable>

CommentAkamai’s Scope 1 consists only of diesel fuel consumption for backup generators used at select office and data center locations under Akamai’s operational control. In2019, there was very little fuel used for these generators due to the reliability of grid power. Reliable measurement mainly came from our Akamai Owned Data Center Siteswhere we can pull actual generator data and diesel gallons used during the year through the Building Management System.

C6.2

(C6.2) Describe your organization’s approach to reporting Scope 2 emissions.

Row 1

Scope 2, location-based We are reporting a Scope 2, location-based figure

Scope 2, market-basedWe are reporting a Scope 2, market-based figure

CommentIn the 2019 reporting year, the market-based emissions factors the we have are not verifiable in most cases. We decided to forgo applying market-based factors for 2019while we re-assess our sources of this data. Procedure for selecting/applying market-based emission factors: USA: 1) For states with limited "Direct Access" program (CA),it is assumed that the power is provided by the regulated utility provider rather than an opt-out provider (>90% of load is with regulated utility provider) 2) For all regulatedpower locations and Munis, the EPA Power Profiler was used to determine who the power provider is 3) Emission factors were then searched for and used, in order ofpreference: a) emission factors for delivered power provided by the regulated utility or Muni (also via The Climate Registry reporting) b) emission factors for delivered powerprovided by another regulatory body (e.g. RGGI in the Northeast) c) emission factors for delivered power provided by a regional power market (PJM) d) emission factors fordelivered power provided by Green-e Energy residual mix emissions 4) If either one of these didn't work, IEA Emissions Factors 2018 edition was used to determine themix of energy and emissions 5) If these fell short and an emission factor nor a grid mix were available, the default eGRID was used or estimated value INTERNATIONAL:First countries were categorized as regulated or de-regulated. Nearly all of Akamai's high-energy use locations (either by country or by city) are in de-regulated nations.Since no data on power providers was available, for de-regulated locations we used the national average emission factor. In addition, for countries where Akamai hasoperations, the regulated (or quasi-regulated) countries are island nations where the only grid mix data is national in any case (e.g. Japan, Singapore). Therefore, the mostrecent national grid mix (same as "location-based") is used for overseas locales with no power provider information. The one exception to this would be a preference to use"residual mix" data if provided. The Association of Issuing Bodies provides such data for European countries. For facilities where Akamai has confirmed the procurement ofrenewable energy, renewable energy type, the period of procurement, and percent coverage, an electricity emissions factor value of zero was applied.

C6.3

(C6.3) What were your organization’s gross global Scope 2 emissions in metric tons CO2e?

Reporting year

Scope 2, location-based171200

Scope 2, market-based (if applicable)144400

Start date<Not Applicable>

End date<Not Applicable>

CommentThese figures have been attested to by our Greenhouse Gas Accounting Auditor for 2019 (APEX Companies). We have a copy of the statement that can be found on ourwebsite for public view: https://www.akamai.com/us/en/multimedia/documents/sustainability/akamai-ghg-verification-statement-2019.pdf

C6.4

(C6.4) Are there any sources (e.g. facilities, specific GHGs, activities, geographies, etc.) of Scope 1 and Scope 2 emissions that are within your selected reportingboundary which are not included in your disclosure?No

C6.5

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(C6.5) Account for your organization’s gross global Scope 3 emissions, disclosing and explaining any exclusions.

Purchased goods and services

Evaluation statusNot evaluated

Metric tonnes CO2e<Not Applicable>

Emissions calculation methodology<Not Applicable>

Percentage of emissions calculated using data obtained from suppliers or value chain partners<Not Applicable>

Please explainThe majority of our purchased goods and services are factored into our upstream leased assets. This based on our data center contracts which make up a significantpercentage of our impact. We do not break these figures apart at this time.

Capital goods

Evaluation statusRelevant, calculated

Metric tonnes CO2e43900

Emissions calculation methodologyWRI/WBCSD Greenhouse Gas Protocol Corporate Value Chain (Scope 3) Accounting and Reporting Standard (Scope 3)

Percentage of emissions calculated using data obtained from suppliers or value chain partners100

Please explainThis includes all of our Hardware, Switch, Rack and Accessory Manufacturing across the platform based on a 5-year useful life

Fuel-and-energy-related activities (not included in Scope 1 or 2)





Please explainThis includes network equipment and data center electricity consumption and known or estimated per state or country transmission and distribution loss percentages.

Upstream transportation and distribution





Please explainBased on vendor data for 99% of shipping spend. Akamai receives an annual carbon report that provides for each shipping category, i.e., Express and Ground, shippedvolume by weight (“rated pound”), and combined total CO2 emissions and CO2 per rated pound.

Waste generated in operations


Metric tonnes CO2e0

Emissions calculation methodologyBased on supplier/recycler metrics.


Please explainLimited waste generated in operations where data is available. Does not meet a material threshold for reporting from a carbon emissions perspective Akamai believes thatelectronic waste poses a growing economic and environmental threat. These items contain precious minerals, resources, and metals that can be reused, but if we sendthese materials to landfill, it creates a significant amount of hazardous waste. Akamai is committed to doing our part to address the worldwide waste crisis by partneringwith E-Stewards–certified facilities to ensure 100% of our global e-waste is recycled or reused whenever possible. In 2019, this made up 60,000 peices of e-waste divertedfrom landfills.

CDP Page of 4324

Business travel



Emissions calculation methodology


Please explainAkamai currently collects employee flight data activity that covers the majority of Akamai worldwide employees. This flight data includes flight segment travel dates,originating and destination airports, originating and destination countries, cabin class, traveler name, ticket cost, confirmation code, ticket number and affiliated Akamaibusinesses (subsidiary).

Employee commuting

Evaluation statusRelevant, not yet calculated




Please explainAkamai used to calculate this metric however it did not encompass all the energy-related savings activities employees were persuing. We will calculate this again in thefuture when we have a system in place to measure employee activities that are relevant to commuting.

Upstream leased assets





Please explainIn addition to our data centers, this calculation includes our Free Space and Traffic deployments and Dissel Generators being used within our supply chain.

Downstream transportation and distribution

Evaluation statusNot relevant, explanation provided




Please explainAkamai does not sell or distribute a material amount of products.

Processing of sold products





Please explainAkamai does not process or sell physical products. All our products are cloud-based.

CDP Page of 4325

Use of sold products






End of life treatment of sold products






Downstream leased assets





Please explainAkamai does not lease downstream assets.

Franchises





Please explainAkamai has no franchises.

Investments





Please explainScope 3 emissions related to Akamai's investments do not meet the material threshold.

CDP Page of 4326

Other (upstream)





Please explainThis is not a material metric for Akamai

Other (downstream)





Please explainThis is not a material metric for Akamai

C6.7

(C6.7) Are carbon dioxide emissions from biogenic carbon relevant to your organization?No

C6.10

(C6.10) Describe your gross global combined Scope 1 and 2 emissions for the reporting year in metric tons CO2e per unit currency total revenue and provide anyadditional intensity metrics that are appropriate to your business operations.

Intensity figure0.0000503064

Metric numerator (Gross global combined Scope 1 and 2 emissions, metric tons CO2e)144410

Metric denominatorunit total revenue

Metric denominator: Unit total2894000000

Scope 2 figure usedMarket-based

% change from previous year25.46

Direction of changeDecreased

Reason for changeRevenue from our services has increased while we have taken steps to reduce our carbon emissions impact through increasing energy efficiency of our hardware andsoftware, while in tandem increasing capacity. Also, we have been able to implement carbon emissions reduction efforts to decrease our raw carbon emissions output yearover year, while minimizing our impact on the environment, Both of these efforts have caused a net reduction in intensity against increased total company revenue.

C7. Emissions breakdowns

C7.1

(C7.1) Does your organization break down its Scope 1 emissions by greenhouse gas type?No

CDP Page of 4327

C7.2

(C7.2) Break down your total gross global Scope 1 emissions by country/region.

Country/Region Scope 1 emissions (metric tons CO2e)

North America 10

C7.3

(C7.3) Indicate which gross global Scope 1 emissions breakdowns you are able to provide.By business divisionBy activity

C7.3a

(C7.3a) Break down your total gross global Scope 1 emissions by business division.

Business division Scope 1 emissions (metric tonCO2e)

Global Real Estate and Workplace Productivity organization: office operations (backup power generation using diesel generators) under Akamai's operational control (notoperated by the landlord).

0

Platform - Akamai Global Network. Focused specifically on generators under Akamai's operational control in our owned data center facilities. 10

C7.3c

(C7.3c) Break down your total gross global Scope 1 emissions by business activity.

Activity Scope 1 emissions (metric tons CO2e)

Office Operations (backup power generation using diesel generators) under Akamai's operational control (not operated by the landlord). 0

Global Network Operations. Focused specifically on generators under Akamai's operational control in our owned data center facilities. 10

C7.5

(C7.5) Break down your total gross global Scope 2 emissions by country/region.

Country/Region Scope 2, location-based(metric tons CO2e)

Scope 2, market-based(metric tons CO2e)

Purchased and consumed electricity,heat, steam or cooling (MWh)

Purchased and consumed low-carbon electricity, heat, steam or coolingaccounted for in Scope 2 market-based approach (MWh)

Africa 276.07 276.07 306.68 0

Asia Pacific (orJAPA)

5183.93 4313.77 10772.04 0

China 970 1090.95 1557.73 147

Europe 29307 23504.77 105145.28 53497.7

India 5429.82 8533.65 7561.37 0

Japan 14251.38 11492.41 27285.82 10670

Middle East 1671.99 2394.37 2705 0

North America 89751.31 78805 253249.07 37073.69

Oceania 5316.09 3924.94 7752.16 0

South America 1223.3 1189.36 6952.32 0

Other, pleasespecify (Taiwan)

766.93 792.22 1229.84 0

C7.6

(C7.6) Indicate which gross global Scope 2 emissions breakdowns you are able to provide.By business divisionBy activity

C7.6a

CDP Page of 4328

(C7.6a) Break down your total gross global Scope 2 emissions by business division.

Business division Scope 2, location-based (metric tons CO2e) Scope 2, market-based (metric tons CO2e)

Platform (Global Network Operations) 160234.98 132526.37

Global Real Estate and Workplace Productivity 12365.02 13173.63

C7.6c

(C7.6c) Break down your total gross global Scope 2 emissions by business activity.

Activity Scope 2, location-based (metric tons CO2e) Scope 2, market-based (metric tons CO2e)

Global Network Operations (IT + Akamai owned-operated DC) 160234.98 132526.37

Office Operations 12365.02 13173.63

C7.9

(C7.9) How do your gross global emissions (Scope 1 and 2 combined) for the reporting year compare to those of the previous reporting year?Decreased

C7.9a

(C7.9a) Identify the reasons for any change in your gross global emissions (Scope 1 and 2 combined), and for each of them specify how your emissions compareto the previous year.

Change in emissions(metric tons CO2e)

Directionof change

Emissionsvalue(percentage)

Please explain calculation

Change in renewableenergy consumption

57808.24 Decreased 30 We added additional renewable energy projects and partners to the data center portfolio. These are attested sources only and doesnot include Grid Mix. This is in addition to continued efficiencies across the platform year over year.

Other emissionsreduction activities

<NotApplicable>

Divestment <NotApplicable>

Acquisitions <NotApplicable>

Mergers <NotApplicable>

Change in output <NotApplicable>

Change inmethodology

<NotApplicable>

Change in boundary <NotApplicable>

Change in physicaloperating conditions

<NotApplicable>

Unidentified <NotApplicable>

Other <NotApplicable>

C7.9b

(C7.9b) Are your emissions performance calculations in C7.9 and C7.9a based on a location-based Scope 2 emissions figure or a market-based Scope 2emissions figure?Market-based

C8. Energy

CDP Page of 4329

C8.1

(C8.1) What percentage of your total operational spend in the reporting year was on energy?More than 20% but less than or equal to 25%

C8.2

(C8.2) Select which energy-related activities your organization has undertaken.

Indicate whether your organization undertook this energy-related activity in the reporting year

Consumption of fuel (excluding feedstocks) No

Consumption of purchased or acquired electricity Yes

Consumption of purchased or acquired heat No

Consumption of purchased or acquired steam No

Consumption of purchased or acquired cooling No

Generation of electricity, heat, steam, or cooling No

C8.2a

(C8.2a) Report your organization’s energy consumption totals (excluding feedstocks) in MWh.

Heating value MWh from renewable sources MWh from non-renewable sources Total (renewable and non-renewable) MWh

Consumption of fuel (excluding feedstock) <Not Applicable> <Not Applicable> <Not Applicable> <Not Applicable>

Consumption of purchased or acquired electricity <Not Applicable> 104498.4 231726.35 336224.74

Consumption of purchased or acquired heat <Not Applicable> <Not Applicable> <Not Applicable> <Not Applicable>

Consumption of purchased or acquired steam <Not Applicable> <Not Applicable> <Not Applicable> <Not Applicable>

Consumption of purchased or acquired cooling <Not Applicable> <Not Applicable> <Not Applicable> <Not Applicable>

Consumption of self-generated non-fuel renewable energy <Not Applicable> <Not Applicable> <Not Applicable> <Not Applicable>

Total energy consumption <Not Applicable> 104498.4 231726.35 336224.74

C8.2e

(C8.2e) Provide details on the electricity, heat, steam, and/or cooling amounts that were accounted for at a zero emission factor in the market-based Scope 2figure reported in C6.3.

Sourcing methodPower purchase agreement (PPA) with a grid-connected generator with energy attribute certificates

Low-carbon technology typeWind

Country/region of consumption of low-carbon electricity, heat, steam or coolingNorth America

MWh consumed accounted for at a zero emission factor10617

CommentWind Energy from our Seymour Hills Texas ERCOT NORTH and Deer Grove Illinois Project PJM for our North America Operations. The ERCOT Project had only beenonline for 6 months and the PJM Illinois project came online at the end of 2019, making the anticipated output lower than anticipated due to project delays.

Sourcing methodOther, please specify (Attestation - Future of Internet Power White Paper)

Low-carbon technology typeLow-carbon energy mix

Country/region of consumption of low-carbon electricity, heat, steam or coolingOther, please specify (Global Locations in Europe, North America, Japan and Asia)

MWh consumed accounted for at a zero emission factor93881.4

CommentThis power is sourced directly from our Data Center Providers and Attested to Akamai as a Zero Carbon energy mix made up primarily of Solar and Wind. In most cases,this power is attested and audited directly by our data center partners and then reverified and accounted by our 3rd party verifier to ensure our carbon reduction calculationsare accurate. For 2019 our attestors included: Interxion, Digital Reality, Equinix, CoreSite, and Sabey. Guidelines for the Attestation process can be found here:https://www.bsr.org/files/work/BSR_FoIP_Documentation_Requirements_Supplier_Procured.pdf

CDP Page of 4330

C9. Additional metrics

C9.1

(C9.1) Provide any additional climate-related metrics relevant to your business.

DescriptionEnergy usage

Metric value33.91

Metric numerator% renewable energy of network operations in 2019

Metric denominator (intensity metric only)% renewable energy of network operations in 2018

% change from previous year10.91

Direction of changeIncreased

Please explainThe amount of attestable Renewable Energy increased in our operations by over 10% since 2018 with our renewable;e energy projects coming online on both PJM andERCOT and with additional partner locations in our data center portfolio being willing to attest to Akamai for Carbon reduction efforts. This figure does not include GRID Mixwhich is factored into our total renewable energy consumption for goals leading up to the end of 2020.

DescriptionWaste

Metric value100

Metric numeratorNumber of pieces of e-Waste

Metric denominator (intensity metric only)Number of pieces of e-Waste recycled

% change from previous year0

Direction of changeNo change

Please explainWe continued to make sure that 100% of our e-Waste is recycled using e-Stewards standards so our hardware that no longer has a useful life, does not end up in landfillsaround the globe.

C10. Verification

C10.1

(C10.1) Indicate the verification/assurance status that applies to your reported emissions.

Verification/assurance status

Scope 1 Third-party verification or assurance process in place

Scope 2 (location-based or market-based) Third-party verification or assurance process in place

Scope 3 Third-party verification or assurance process in place

C10.1a

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(C10.1a) Provide further details of the verification/assurance undertaken for your Scope 1 emissions, and attach the relevant statements.

Verification or assurance cycle in placeAnnual process

Status in the current reporting yearComplete

Type of verification or assuranceLimited assurance

Attach the statementAkamai - GHG Verification Statement 2019.pdf

Page/ section referencePage 1 - 3 - Includes details about Scope 1, Scope 2 Market and Location-Based, and Scope 3 in the relevant areas pertinent to Akamai's business operations for 2019

Relevant standardISO14064-3

Proportion of reported emissions verified (%)100

C10.1b

(C10.1b) Provide further details of the verification/assurance undertaken for your Scope 2 emissions and attach the relevant statements.

Scope 2 approachScope 2 location-based





Page/ section referencePage 1 - 3 - Includes details about Scope 1, Scope 2 Market and Location-Based, and Scope 3 in the relevant areas pertinent to Akamai's business operations.



Scope 2 approachScope 2 market-based


Status in the current reporting yearNo verification or assurance of current reporting year



Page/ section referencePage 1 - 3 - Includes details about Scope 1, Scope 2 Market and Location-Based, and Scope 3 in the relevant areas pertinent to Akamai's business operations for 2019



C10.1c

(C10.1c) Provide further details of the verification/assurance undertaken for your Scope 3 emissions and attach the relevant statements.

Scope 3 categoryScope 3: Capital goods


CDP Page of 4332




Page/section referencePage 1 - 3 - Includes details about Scope 1, Scope 2 Market and Location-Based, and Scope 3 in the relevant areas pertinent to Akamai's business operations for 2019



Scope 3 categoryScope 3: Fuel and energy-related activities (not included in Scopes 1 or 2)








Scope 3 categoryScope 3: Upstream transportation and distribution








Scope 3 categoryScope 3: Business travel








CDP Page of 4333

Scope 3 categoryScope 3: Upstream leased assets








C10.2

(C10.2) Do you verify any climate-related information reported in your CDP disclosure other than the emissions figures reported in C6.1, C6.3, and C6.5?No, but we are actively considering verifying within the next two years

C11. Carbon pricing

C11.1

(C11.1) Are any of your operations or activities regulated by a carbon pricing system (i.e. ETS, Cap & Trade or Carbon Tax)?No, but we anticipate being regulated in the next three years

C11.1d

(C11.1d) What is your strategy for complying with the systems you are regulated by or anticipate being regulated by?

Yes, we do believe this will affect our operations over the next three years however, we do not believe it will be material to our operations.

We are monitoring our suppliers and the countries in which we operate if major carbon tax will a direct cost impact on our operations. Right now, most contracts for our datacenters have a price cap with the associated electricity usage. Based on most facility operations, the carbon tax would become apart of our deal structure across our datacenter operations in the areas in which it is implemented although may not be directly translated into a tax since we are not directly purchasing the energy, the lessor of thespace is. We are anticipating a slight increase in overall cost but nothing that is going to have a major material impact on the bottom line.

Regardless of the carbon tax and if that becomes something that does have a material effect, Akamai is committed to reducing our carbon emissions even if there is a carbontax that goes into effect globally. We believe we must continue to reduce our impact regardless of the financial impact of a carbon tax across our operations.

C11.2

(C11.2) Has your organization originated or purchased any project-based carbon credits within the reporting period?No

C11.3

(C11.3) Does your organization use an internal price on carbon?Yes

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C11.3a

(C11.3a) Provide details of how your organization uses an internal price on carbon.

Objective for implementing an internal carbon priceNavigate GHG regulationsDrive energy efficiencyIdentify and seize low-carbon opportunitiesOther, please specify (Internal Measurement Against Output)

GHG ScopeScope 2

ApplicationAkamai would likely not be directly impacted by carbon taxes. Cost increases would be passed down through our supply chain — primarily our colocation data centerproviders. An analysis of our network-wide carbon emissions, including colocation data center operations, estimated the impact of a $US20/mton carbon tax would amountto less than a 2% increase in our operational costs.

Actual price(s) used (Currency /metric ton)20

Variance of price(s) usedWe used a $20/mton price based on the potental impact if the cost was passed down to Akamai from our operation partners

Type of internal carbon priceInternal fee

Impact & implicationAkamai would be looking at $2.9 Million a year tax across the portfolio if the tax were to come into effect and Akamai pays directly. Today we believe this impact would betranslated into our Data Center contracts on a per rack basis of power utilization mainly vs per deployment and Offices leases based on per sq FT to kWh used. The figuremight shift over time based on that context if we expand or contract our operations in both of these areas.

C12. Engagement

C12.1

(C12.1) Do you engage with your value chain on climate-related issues?Yes, our suppliersYes, our customersYes, other partners in the value chain

C12.1a

CDP Page of 4335

(C12.1a) Provide details of your climate-related supplier engagement strategy.

Type of engagementInformation collection (understanding supplier behavior)

Details of engagementCollect climate change and carbon information at least annually from suppliersOther, please specify (Engage our suppliers to take meaningful action across their operations to be an Akamai supplier)

% of suppliers by number10

% total procurement spend (direct and indirect)50

% of supplier-related Scope 3 emissions as reported in C6.580

Rationale for the coverage of your engagementBased on spend and product type, Akamai has decided to engage with our top 50 suppliers by spend. These suppliers in the top 50 can have the greatest impact on ourScope 3 reduction efforts. Based on our supply chain research and recent findings, a good portion of this spend is related to our network hardware purchasing and datacenter operations which we actively engage with on a regular basis. After a review, we believe a good potion of this spend can help effect a real decrease in our Scope 3impact across our purchasing portfolio.

Impact of engagement, including measures of successThere are several measurements of success although the top measurements include 4 key areas for Akamai. We likely would have all suppliers based on our impactassessment be transparent and commit to reducing their Greenhouse Gas output responsibly, this would include all top 50: - Reporting to the CDP yearly - Settingmeaningful GHG reduction targets - Implementing the use of renewable energy across their operations - Implementing waste (especially e-Waste) reduction targets orsetting 100% e-Waste recycling goals We believe we can work with our suppliers in the areas where Akamai is looking to make meaningful progress and our suppliers willbe willing to commit to help mitigate the climate crisis

CommentWe have already worked with a good portion of our suppliers, out of the top 50 we are looking at, right now we are tracking the following stats: - 24 actively report to theCDP - 5 participate in the CDP Supply Chain Program - 24 have GHG reduction targets that are meaningful or aligned with the SBTi. As we continue to engage deeper, weare hoping these stats will continue to climb

C12.1b

CDP Page of 4336

(C12.1b) Give details of your climate-related engagement strategy with your customers.

Type of engagementEducation/information sharing

Details of engagementOther, please specify (Provide details around customer platform usage and Carbon Emissions Impact Using the Akamai Platform)

% of customers by number100

% of customer - related Scope 3 emissions as reported in C6.5100

Portfolio coverage (total or outstanding)<Not Applicable>

Please explain the rationale for selecting this group of customers and scope of engagementWith the evolving criticality of taking sustainable action, Akamai is able to provide accurate Scope 3 reporting for our customers across all geographies to help themmeasure their global impact on our platform. This innovative approach is focused on a customer’s individual percentage of hardware and power used against acomprehensive set of emissions factors to get a total carbon footprint on our network. We are able to provide our customers with insight into their own supply chain impactusing Akamai and provide even more accurate data for their reporting. We are committed to helping our customers achieve their sustainability goals, too, as a part of ourglobal commitment to being a more efficient business.

Impact of engagement, including measures of successAkamai recognizes that our customers’ use of our content delivery, performance, and security solutions contributes to their carbon emissions. We also recognize thatcustomers are demanding improvements, and want to see evidence of them. We continuously make strides to reduce our environmental impact and provide custom insightsinto customers’ emissions on our platform. Through this customized reporting method, we are able to provide customers with insights into their usage of the Akamaiplatform, Carbon emissions output so they have visibility into their impact directly.

Type of engagementCollaboration & innovation

Details of engagementOther, please specify (Partner with companies directly or through NGO's looking to take a like-minded approach to reducing their impact)

% of customers by number30

% of customer - related Scope 3 emissions as reported in C6.530

Portfolio coverage (total or outstanding)<Not Applicable>

Please explain the rationale for selecting this group of customers and scope of engagementAkamai believes it is important to work directly with our customers that are like minded and that have similar goals and aspirations. Whether that is through communitydevelopment, direct-reduction of Greenhouse Gas or planning for a sustainable future, the development of these relationships is important so we can partner and impactlong-term and positive change collectively. This engagement is directly with our customers through our sales organization, focused on developing ways in which we cancollaborate and develop a mutually beneficial relationship outside of just our regular customer-provider business model.

Impact of engagement, including measures of successMeasurements include: - Customer Interaction Count - Project Development with Partners - Community Interaction In the areas where we have operations - Measurementof Benefit outside of direct customer relationship

C12.1d

(C12.1d) Give details of your climate-related engagement strategy with other partners in the value chain.

With a good portion of our operational spend happening in colocation facilities across the globe, we are deeply engaged with our partners in our value chain to help takeaction and reduce their greenhouse gas footprint.

In 2019, along with the Renewable Energy Buyers Alliance and the Future of Internet Power working group, we began to cultivate a long-term educational initiative that is nowtitled as LESSEN (LESsor Sustainable Energy Network). This program focused on Data Center owners or real estate landlords seeking to:

Develop a business case for energy sustainabilityUndertake energy efficiency or renewable energy projectsReceive expert guidance on how to take action related to sustainable energy use.

Since the Akamai Platform has been architected on a foundation of science and technology, we must understand and educate around the science of climate change withpartners, future suppliers, and across the industry to fuel a carbon-free economy for the future. Education is critical in the fight against climate change. Akamai stands behindits MIT roots and believes a core foundation of education, science, and technology is critical and applicable to taking climate action Globally.

C12.3

•••

CDP Page of 4337

(C12.3) Do you engage in activities that could either directly or indirectly influence public policy on climate-related issues through any of the following?Direct engagement with policy makersTrade associationsOther

C12.3a

(C12.3a) On what issues have you been engaging directly with policy makers?

Focus oflegislation

Corporateposition

Details of engagement Proposed legislative solution

Cleanenergygeneration

Support Akamai participated in meetings with several federal lawmakers as part of the Federal AdvocacyDay sponsored by Ceres - Lead on Climate 2019.

Support for select policies on climate and clean energy at a federal government level.


Support Spoke at a Massachusetts State House briefing on October 28th sponsored by Senator Eldridgeand Representative Robinson, co-chairs of the Legislature’s Clean Energy Caucus. The briefingaimed to build support for the 100% Renewable Energy Act – which would transition the state to100% renewable electricity by 2035.

The 100% Renewable Energy Act (S.1958, H.2836) would transition Massachusetts to100% renewable electricity by 2035.


Support On-going Support for RGGI specifically in Virginia. This program establishes a regional cap on theamount of CO2 pollution that power plants can emit by issuing a limited number of tradable CO2allowances. Each allowance represents an authorization for a regulated power plant to emit oneshort ton of CO2.

Clean Economy Act and joining RGGI will help mandate 100% renewable energy be metby 2045.


Support October meetings with Gov Baker on access to community solar opportunities in Massachusettsfor communities to access to clean sources of power regardless if they have roof space for solar.

Tax breaks for developers and additional land wavers for areas such as dead farm landto have a greater mix of green power.


Support Letter to Local utilities to prefer electricity that is generated by clean, renewable energy. Letter wasfocused on expressing concern regarding the restated intentions of energy providers to meet ourenergy demand with expensive fossil fuel projects.

Reduce building expensive fossil fuel infrastructure projects and be more in favor ofdeveloping cost-effective renewables. Such investments should be closely assessed fortheir lifetime cost to ratepayers (for both the infrastructure and associated fuel costs) todecrease long term customer risk.

C12.3b

(C12.3b) Are you on the board of any trade associations or do you provide funding beyond membership?No

C12.3e

(C12.3e) Provide details of the other engagement activities that you undertake.

As appropriate, Akamai will sign on to letters or articles of support to state and federal elected officials in support of clean energy and climate legislation and policies, typicallythrough Ceres, WRI, and WWF. Also, when applicable, we will meet with legislators to support work focused on the community that could benefit the long-term move togreener sources of energy for all.

C12.3f

(C12.3f) What processes do you have in place to ensure that all of your direct and indirect activities that influence policy are consistent with your overall climatechange strategy?

Akamai coordinates internally to ensure that all of our direct and indirect policy activities are consistent with our overall climate change strategy. Akamai’s Vice President ofPublic Policy reviews policy-related initiatives for such consistency in coordination with Akamai’s Director of Corporate Sustainability.

C12.4

CDP Page of 4338

(C12.4) Have you published information about your organization’s response to climate change and GHG emissions performance for this reporting year in placesother than in your CDP response? If so, please attach the publication(s).

PublicationIn voluntary sustainability report

StatusComplete

Attach the document2019-akamai-sustainability-report.pdf

Page/Section referencePage 9 - Akamai’s Top 6 Focus Geographies for CO2e Mitigation: Since 2015, Akamai has seen an evolution in our hardware and software platforms, where we can nowserve 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 thataccurate accounting helps us to better determine which steps we can take to reduce our global impact.

Content elementsGovernanceStrategyRisks & opportunitiesEmissions figuresEmission targetsOther metrics

CommentCurrently, we are focused on addressing critical markets to reduce our GHG, especially in the metropolitan areas where we have our highest impact. In addition to beingmore efficient when serving traffic, we are working with our data center partners and select renewable energy developers to mitigate our CO2e output from our operationsglobally

PublicationOther, please specify (SAM CSA S&P Global Report)

StatusComplete

Attach the documentsam-csa-2020.pdf

Page/Section referenceStarting at Page 79: Environmental performance

Content elementsGovernanceStrategyRisks & opportunitiesEmissions figuresEmission targetsOther metrics

CommentCSA Importance: Environmental performance is becoming a material issue in all industries. Maintaining transparency through appropriate reporting, and monitoring it at theboard level, increases stakeholders' and customers' trust and positively influences the company's reputation and brand equity. While disclosure levels are increasing, qualityof reporting varies significantly. Our questions focus on the relevance, scope, and timeliness of the information contained in environmental reports, as well as externalquality guarantees based on internationally acknowledged reporting standards.

C15. Signoff

C-FI

(C-FI) Use this field to provide any additional information or context that you feel is relevant to your organization's response. Please note that this field is optionaland is not scored.

C15.1

(C15.1) Provide details for the person that has signed off (approved) your CDP climate change response.

Job title Corresponding job category

Row 1 Director of Corporate Sustainability Other, please specify (Global Director of Corporate Sustainability)

SC. Supply chain module

CDP Page of 4339

SC0.0

(SC0.0) If you would like to do so, please provide a separate introduction to this module.

Akamai's network consists of owned and operated IT infrastructure, housed in third-party colocation data centers. Under the operational control approach for our greenhousegas emissions inventory, Akamai considers the emissions associated with the operations of our IT infrastructure to be Scope 2, while the emissions associated with theoperations of colocation data center infrastructure (cooling, power, lighting) to be Scope 3. These combined operations account for approximately 90% of Akamai's Scope 1and Scope 2 emissions and 72% of Akamai's Scope 1, Scope 2 and Scope 3 emissions (77% if embedded carbon of network IT infrastructure is included).

As an Akamai customer, you can use part or all of our global network platform. We determine your Scope 3 emissions based on that % use of our global network on amonthly and regional basis.

The basic methodology is as follows:

1) Akamai estimates the percentage of the server network used by a customer on a monthly basis by geographic region, for the reporting year. This is relative to all othercustomers' monthly use of the regional infrastructure

2) These monthly and regional percentages are multiplied by Akamai's GHG emissions attributable to the operation of our network IT and colo data center infrastructure ineach of these regions. These customer-specific emissions are then summed across regions and months

Detailed accounting of Akamai's monthly and regional energy, GHG emissions, electricity and fuel emissions factors are maintained in an external energy and environmentalmanagement system.

Upon request, customers can obtain, the "Akamai Services Scope 3 Methodology" document for details on per customer GHG emissions estimates.

Details about the reporting and can be found on our website:

https://www.akamai.com/us/en/about/corporate-responsibility/sustainability/

Please Note: Based on the security commitment of our customer data, a formal request has to be made by our customers directly to the sustainability team viaemail to ensure we are adhering to our customer privacy principles https://www.akamai.com/us/en/privacy-policies/akamai-privacy-principles.jsp

Requests can be made to: [email protected]. The sustainability team can generally turn around a report in 48 to 72 hours for the previous reportingyear.

SC0.1

(SC0.1) What is your company’s annual revenue for the stated reporting period?

Annual Revenue

Row 1 2894000000

SC0.2

(SC0.2) Do you have an ISIN for your company that you would be willing to share with CDP?Yes

SC0.2a

(SC0.2a) Please use the table below to share your ISIN.

ISIN country code (2 letters) ISIN numeric identifier and single check digit (10 numbers overall)

Row 1 US 00971T1016

CDP Page of 4340

https://www.akamai.com/us/en/about/corporate-responsibility/sustainability/

https://www.akamai.com/us/en/privacy-policies/akamai-privacy-principles.jsp

SC1.1

(SC1.1) Allocate your emissions to your customers listed below according to the goods or services you have sold them in this reporting period.

SC1.2

(SC1.2) Where published information has been used in completing SC1.1, please provide a reference(s).

We do not directly publish or repurpose any direct customer data for reporting purposes. Akamai is trusted to make digital experiences fast, intelligent, and secure. Weunderstand that the way we process personal data is an important part of that trust and are committed to upholding the privacy of our customers, customer’s end users,employees, and online users. Akamai complies with the laws of all countries in which it operates, including the data protection laws in the Americas, Europe, and Asia. TheAkamai Data Protection and Privacy Program protects the personal information that we process by respecting global privacy principles.

Should a customer be interested in their carbon emissions data or reporting regarding the use of the Akamai Intelligent Platform, we encourage our customersto reach out to our sustainability team to request this data at: [email protected]

SC1.3

(SC1.3) What are the challenges in allocating emissions to different customers, and what would help you to overcome these challenges?

Allocation challenges Please explain what would help you overcome these challenges

Other, please specify (Accuratecustomer network usage)

Akamai's network carbon emissions are calculated at the server and facility level and then rolled up to a less granular regional level for accounting purposes, e.g., North America,EMEA, etc. The customer percentage usage of our network is at a server level relative to other customers' usage. That usage is then rolled up to a regional level where regionalGHG emissions are allocated per customer based on the network resources used. We are continuing to develop more accurate ways of providing this data to our customers. In thepast year, we have figured out ways to provide a higher level of accuracy but not down to a facility level as of yet.

Managing the differentemission factors of diverse andnumerous geographies makescalculating total footprintdifficult

Akamai's network energy consumption is calculated at the server and rolled up to the facility level. Emissions are calculated using the electricity emission factors associated withthese facilities, which number in the thousands. It is difficult to maintain accurate emission factors for each location. Currently, market-based and residual-mix emission factors areimplemented when published values are available. Otherwise, location-based emission factors are used.

SC1.4

(SC1.4) Do you plan to develop your capabilities to allocate emissions to your customers in the future?Yes

SC1.4a

(SC1.4a) Describe how you plan to develop your capabilities.

We are considering development work that would improve the granularity of customer network usage from a continental level to a country and state level. This would improvethe accuracy and allocation of carbon emissions to customers. Akamai is also working to integrate a carbon emissions calculator into our control center to understandemissions output based on traffic served. This calculator can be used by customers to understand the impact in more of a real-time fashion.

We will continue to look for and use external and expert sources for market-based and residual-mix emission factors, as they become available.

SC2.1

(SC2.1) Please propose any mutually beneficial climate-related projects you could collaborate on with specific CDP Supply Chain members.

SC2.2

(SC2.2) Have requests or initiatives by CDP Supply Chain members prompted your organization to take organizational-level emissions reduction initiatives?No

SC3.1

CDP Page of 4341

(SC3.1) Do you want to enroll in the 2020-2021 CDP Action Exchange initiative?No

SC3.2

(SC3.2) Is your company a participating supplier in CDP’s 2019-2020 Action Exchange initiative?No

SC4.1

(SC4.1) Are you providing product level data for your organization’s goods or services?Yes, I will provide data

SC4.1a

(SC4.1a) Give the overall percentage of total emissions, for all Scopes, that are covered by these products.

SC4.2a

(SC4.2a) Complete the following table for the goods/services for which you want to provide data.

SC4.2b

(SC4.2b) Complete the following table with data for lifecycle stages of your goods and/or services.

Name of good/ serviceAkamai Global Network Operations

Please select the scopeOther, please specify (Scope 2 & Scope 3)

Please select the lifecycle stageConsumer Use

Emissions at the lifecycle stage in kg CO2e per unit0.0000282846

Is this stage under your ownership or control?Yes

Type of data usedPrimary and secondary

Data qualitySource of data and quality and estimates of electricity consumption and GHG emissions associated with Akamai's network operations. This metric is focused on kg of CO2erequired to deliver a Gigabit of content for our customers. This metric includes GHG emissions associated with Akamai's network IT infrastructure and third-party collocationdata center operations. Quality of network IT infrastructure electricity consumption is based on accurate measurements of server power draw across the network ITinventory. Quality of the associated GHG emissions is a function of the published electricity emission factors used to calculate these emissions. Quality of network datacenter infrastructure electricity consumption is less accurate than network IT infrastructure electricity consumption because it is derived from the latter and combined withpower usage effectiveness factors provided by our data center providers for their facilities. Quality of the associated GHG emissions is a function of the akamai mix ofelectricity emission factors used to calculate these emissions. Emissions are normalized monthly through network-wide traffic. Traffic data quality is considered very goodbased on how we collect our metrics across the platform.

If you are verifying/assuring this product emission data, please tell us howNote, "consumer" is selected here to represent content delivery services we provided for our customers to their end-users. Akamai verifies the emissions associated withour network IT infrastructure, operations outsourced colocation data center operations, and embedded carbon of network IT infrastructure. the former two emission sourcesare used to derive the service's emission intensity value. Not included in this value is the embedded carbon.

SC4.2c

CDP Page of 4342

(SC4.2c) Please detail emissions reduction initiatives completed or planned for this product.

Nameofgood/service

InitiativeID

Description of initiative Completedor planned

Emissionreductionsin kgCO2e perunit

Contentdeliveryservice

Initiative1

Initiatives completed in 2017 relating to our content delivery services are detailed in section 4.3b. Network efficiency and productivity initiatives are targeted to result in anet 30% reduction in the service CO2/unit annually.

Completed


Initiative2

In 2016, Akamai began a program to encourage is colocation data center providers to procure renewable energy for their facilities. Akamai joined the Businesses forSocial Responsibility working group, Future of Internet Power, to collaborate with other companies for the same goal. The expected GHG savings reflect the Scope 2and Scope 3 MB emissions for the colocation data centers that were renewable energy powered in 2017. Investment reflects the cost of membership for the past twoyears in BSR and FOIP. No monetary savings are expected from this initiative, therefore a payback period does not apply. Colocation data center contract terms aretypically 3-5 years.

Ongoing


Initiative3

Network efficiency and productivity initiatives underway in 2018 are targeted to result in a net 30% reduction in the service CO2/unit annually. Completed


Initiative4

This initiative is part of a goal to procure renewable energy to cover 50% of our global network operations including our owned/operated IT infrastructure, andoutsourced colo data center operations. This initiative was approved in 2016. Renewable energy is procured via virtual power purchase agreements, the first one signedin 2017. These projects will come online over the next few years. The extent of savings is dependent on the difference between the contract strike price and the marketprice for the electricity sold. Therefore a savings and payback cannot be determine a priori. Agreements span solar and wind projects with 13-20 year terms.Investment is the cost of implementing the renewable energy strategy and contracts. These projects were approved on the basis, not of projected cost savings, but thatclean-powered services are a feature that our customers (and investors) increasingly value and is believed to provide Akamai with a competitive differentiator.

Ongoing


Initiative5

Initiative is to build out Akamai owned and operated data centers (AODC) in metro regions where Akamai has persistent and large network infrastructure requirements.These facilities are designed for operation for at least 10 years and will replace a fraction of infrastructure that is now supported by colocation data center facilities(outsourced). Savings is estimated cumulative for the total number of AODCs once up and running and includes the electricity cost savings through more efficient datacenter infrastructure and operations, as well as overall lower costs compared to outsourced costs.

Ongoing


Initiative6

Virtualization of a portion of Akamai's network services and development lab. This initiative is expected to reduce the collective server capacity overhead. Investment invirtualized server infrastructure is offset by reduced purchase of non-virtualized server infrastructure. Investment reflects development costs. Emissions and monetarysavings are derived from reduction in annual energy consumption, and include direct and indirect (colocation data center) energy consumption. Payback period reflectsthat it will take 2 years to realize maximum annual energy savings.

Ongoing

SC4.2d

(SC4.2d) Have any of the initiatives described in SC4.2c been driven by requesting CDP Supply Chain members?No

Submit your response

In which language are you submitting your response?English

Please confirm how your response should be handled by CDP

I am submitting to Public or Non-Public Submission Are you ready to submit the additional Supply Chain Questions?

I am submitting my response InvestorsCustomers

Public Yes, submit Supply Chain Questions now

Please confirm belowI have read and accept the applicable Terms

CDP Page of 4343

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