Stockholm, Sweden will be the home of the global Lab, which will focus on ways to empower businesses and consumers to transform how they produce, distribute and purchase products and services, ensuring both people and the planet can thrive as the global economy rapidly digitises.
The Lab will explore how technologies such as 5G, quantum, and advanced AI can be applied to address environmental challenges. It will consist of an R&D Center focused on technology for sustainable consumption and value chains; a ‘Labs as a Service’ platform to convene partners and customers in the creation of new products; and a Mastercard Experience Center for hands-on product demos and in-person engagement.
Research and development within the Lab are already underway – with dedicated Mastercard employees, startup partners, and customers – and the physical space will open in spring 2022.
Creating partnerships to help tackle climate change
Mastercard has a record of building partnerships with startup innovators in the Nordics region having most recently collaborated with the Swedish fintech Doconomy to create the Mastercard Carbon Calculator.
Mastercard is also supporting climate-focused fintech innovation through the Climate Fintech Cards & Payments Challenge and its Start Path startup engagement programme.
“Human activity has undoubtedly created the climate crisis and it’s ours to fix,” says Mathias Wikström, CEO, Doconomy.
“Working with Mastercard and our partners across the world, we are confident that innovation will help us address it. It is truly inspiring to see the Sustainability Innovation Lab capabilities support inclusive climate action by every bank in every market,” he added.
Making solutions to achieve climate change goals
The Lab’s initial priorities include iterating on the Mastercard Carbon Calculator feature, now embedded across the company’s global network, ensuring that it is seamlessly implemented by customers – with Doconomy team members based in the Lab to support.
It will also explore how Mastercard Provenance can continue to elevate transparency not only for social impact but also environmental initiatives, such as enabling supply chain parties to make more sustainable production decisions.
To further drive collective climate action, Mastercard continues to make progress on its pledge to reach net-zero by 2050, having recently joined the 1.5°C Supply Chain Leaders initiative to address emissions across its network of suppliers.
And the company has united more than 65 partners globally as part of the Priceless Planet Coalition, which aims to restore 100 million trees.
“Fostering innovative solutions with practical applications is urgently needed to achieve global climate change goals,” says Kristina Kloberdanz, Chief Sustainability Officer, Mastercard.
“As we continue to build a more sustainable digital economy, the Sustainability Innovation Lab will enable us to co-create a robust portfolio of environmentally friendly solutions, uniting everyone – businesses and consumers alike – in climate action,” she concluded.