Telecom companies are exposed to material environmental risks across their value chain: --Transition to low-carbon energy sources: The rapid increase in data traffic across telecom networks raises electricity use at data centers and in network infrastructure. Indirect greenhouse gas emissions associated with electricity generation will likely face increasingly stringent regulation globally, increasing input costs. --Waste management and product end-of-life: Waste associated with end-of-life network equipment and hardware waste can pollute land and water resources. Increasing waste volumes may increase regulatory and reputational risk if improperly managed. Product take-back and extended producer responsibility legislation could increase compliance costs. --Physical climate change impacts: Extreme weather events have caused damage to above-ground equipment, resulting in network interruption or increased maintenance and replacement costs.