SaaS / Digital Services

Microsoft sustainability score: 39/100

39/100
Below expectations-4 since last review
Joint 34th of 73 in SaaS / Digital Services

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About Microsoft

Microsoft is a cloud computing, software, and digital services provider headquartered in Redmond, Washington. Incorporated in 1981 (its roots go back to a 1975 partnership), it operates across enterprise software (Azure, Microsoft 365), gaming (Xbox), and AI services.

More about Microsoft

FY2026 revenue was $331.8 billion with ~223,000 employees. The company is a major infrastructure backbone for enterprise and government workloads globally.

Founded 1981Head office Redmond, Washington, USStaff ~223,000 (FY2026)Revenue $331,839M revenue (FY2026)Website ↗

Our verdict

Microsoft's emissions rose 25% in FY2025 to 21.1 Mt CO2e, driven by data-centre construction: capital-goods emissions rose from 5.6 Mt to 9.0 Mt and Scope 3 is 86% of the total. It reports 100% renewable electricity matching, but As You Sow reports it holds nearly 60% of oil and gas cloud contracts, two of which exceed its entire footprint. The SBTi removed its net-zero commitment, and its plan relies heavily on carbon removal.

Microsoft scores 39/100 (Below expectations) on SINK's independent climate assessment, scored from public data only. Scores are free. Companies can never pay for anything about their own score. Last verified October 2026.

That places Microsoft joint 432nd of 934 companies scored, and joint 34th of 73 in SaaS / Digital Services.

The ten questions

What is Microsoft doing well, and where does it fall short?

Strongest on Carbon Footprint: Operations and Energy Source (8/10, 8/10). Weakest on Emissions Trajectory and Controversies & Red Flags (0/10, 2/10).

What's missing

Where Microsoft lost points

For each question that lost points, the evidence our public rubric looks for that we didn't find.

  • Emissions from its own operations8/10No verified figures published with their method and a falling trend.
  • Emissions from its supply chain6/10No full value-chain map or supplier engagement programme.
  • Whether its emissions are falling0/10No evidence its emissions are falling, not even from energy bills or mileage.
  • How clean its energy is8/10Its own operations aren't shown to run on 100% renewable energy.
  • Its effect on nature4/10Its effect on nature isn't measured or independently verified.
  • How it uses materials and handles waste6/10No verified figures for reuse and recycling across the business.
  • Its effect on water5/10No measured water footprint with reduction targets.
  • Its climate targets4/10Its targets aren't science-based or committed to the Science Based Targets initiative.
  • How openly it reports7/10No annual impact report, or no pay linked to climate targets.
  • Its record on controversies2/10Points deducted for controversies or its business model. The finding is under question 10.

A score changes when the evidence does. We use new published evidence at the next rescore. Anyone can send us new evidence, free. How to send it.

The calculation

How is Microsoft's SINK score calculated?

Same ten questions for every company. No private weighting.

SINK = (0.3 × Base + 0.7 × Performance) × Scale
Industry base impact
SaaS / Digital Services sector ceiling.
70 / 100
Performance score
Sum of the ten questions, each scored 0 to 10.
50 / 100
Raw score
Weighted average before scale penalty.
(0.3 × 70) + (0.7 × 50) = 56.0
Scale penalty
Multiplier based on total emissions. Bigger polluters lose more.
× 0.7
Final score
Rounded. Below expectations.
39 / 100
How this score has moved

Has Microsoft's score changed?

Microsoft's score has moved from 43 to 39 across 2 recorded reviews, down 4 points.

0255075100438 February 20263917 October 2026
  1. 43 → 39-417 October 2026

    Fortune 50 re-score (owner-approved batch 1, 2026-10-17)

  2. Scored 438 February 2026

    Initial score at platform launch

Where the evidence comes from

What evidence is Microsoft's score based on?

8 sources used in this assessment. All publicly available. Each row shows which of the ten questions it informed.

25% of them were published by Microsoft itself; the rest come from independent sources.

[1]Self-reported
Microsoft Environmental Data Fact Sheet (FY2025/2026)

“Deloitte & Touche LLP performed a review engagement on management's assertion related to the specified information presented in Section 1”

2026
Q1Q2Q3Q4Q5Q6Q7Q8Q9
View →
[2]Public record
Microsoft's Data Center Expansion Drove 25% Emissions Spike (2025 Environmental Sustainability Report)

“ballooned to nearly 2.7 million metric tons of CO2 equivalent last year from 258,217 metric tons of CO2 equivalent in FY2024”

2025
Q1Q2Q3Q4Q8Q10
View →
[3]SEC filing
Microsoft Form 10-K Fiscal Year 2026 (SEC EDGAR)

“In 2020, we announced goals to become a carbon negative, water positive, and zero waste company by 2030.”

2026
Q9
View →
[4]Self-reported
On Science-Based Targets Initiative: Removal of Net-Zero Commitment

“Microsoft continues to work with SBTi and maintains a near-term SBTi-validated target that is aligned with the Paris Agreement.”

2024
Q8
View →
[5]Public record
Microsoft Admits Its Carbon Emissions Grew 25 Percent in 2025
2025
Q3
View →
[6]Independent source
Microsoft AI and Fossil Fuels — As You Sow 2025 Shareholder Resolution

“just two of these contracts had a greater emissions impact than Microsoft's entire Scope 1 – 3 emissions”

2025
Q10
View →
[7]Independent source
InfluenceMap: Microsoft Lobbying Profile

“Microsoft limited the scope of its report to US-based industry associations”

Ongoing
Q9Q10
View →
[8]Public record
Microsoft Ordered to Pay $2.5M for Leesburg Data Center Pollution

“Virginia's Department of Environment Quality (DEQ) is requiring Microsoft pay $2.5 million for exceeding air quality standards last summer.”

2026
Q10
View →

If you believe a source has been misread or a newer version exists, submit a challenge.

For Microsoft

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    Microsoft: SINK sustainability score 39/100.

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Microsoft in context

How does Microsoft compare with other saas / digital services companies?

Where Microsoft sits among saas / digital services peers.

Among the 73 major saas / digital services brands we've scored, Microsoft is tied =34th of 73, with 2 others.

=34/73
Microsoft's rank
41
Industry average
25
Industry low
74
Industry high
See all 73 in SaaS / Digital Services →
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