Microsoft's procurement teams are using environmental product declarations to reshape material sourcing for its expanding artificial intelligence infrastructure, according to Microsoft's 2026 Environmental Sustainability Report. Material sourcing decisions now factor environmental impact data into contract awards for data centre construction and hardware supply chains. The company's purchasing decisions in FY25 supported construction practices that diverted 90.5% of demolition waste from landfills and incinerators. Microsoft achieved a 92% reuse and recycling rate for decommissioned servers and components for the second consecutive year through procurement strategies that prioritise circular design. The company operates seven Circular Centres globally that refurbish cloud hardware for redeployment or disassemble equipment to recover components. "Across our cloud operations, we achieved 92% reuse and recycling of decommissioned servers and components for the second consecutive year, diverted 90.5% of construction and demolition waste from landfills and incinerators and expanded our Circular Centres to seven facilities globally," say Brad Smith, Vice Chair and President at Microsoft, and Melanie Nakagawa, Chief Sustainability Officer at Microsoft, in the report.