How sustainability is shaping network strategy

For Australian enterprises entering 2026 planning cycles, sustainability is no longer sitting alongside network strategy. It’s actively shaping it.

With Australia’s net zero commitments, emerging climate disclosure obligations, and the physical realities of distance, energy costs and regional connectivity challenges, the network has become one of the most decisive levers for reducing environmental impact while enabling growth.

For CIOs, CTOs and sustainability leaders, the question is no longer whether to act, but how intelligently connectivity can be designed, consumed and operated to meet compliance requirements and manage risk.

This is where the next generation of networks, built around Network-as-a-Service (NaaS), flexible yet resilient architectures with AI-driven intelligence, will play a defining role for Australian organisations managing legacy infrastructure, APAC complexity, and the operational realities of remote and regional operations.

1. From efficient infrastructure to intelligent networks

For years, Australian organisations pursued sustainable networking through efficiency gains: lower-power equipment, consolidation and data centre optimisation. That foundation remains critical, but given Australia’s energy costs, geographic dispersal and climate exposure, it’s no longer sufficient to meet emerging reporting obligations or manage operational risk.

In 2026, the biggest sustainability gains will come from intelligent networks that adapt in real time, particularly critical for Australian organisations managing long-haul connectivity and resilience to climate events. AI-driven connectivity can dynamically allocate bandwidth, power down unused capacity, predict demand and route traffic based not only on performance, but on energy efficiency. For boards and sustainability leaders, this represents a shift from discretionary sustainability initiatives to operational and reporting requirements.

Sustainability becomes an outcome of network design decisions being made now, not a separate initiative layered on after deployment.

2. NaaS reshapes consumption and carbon impact

For Australian organisations weighing investment trade-offs, one of the most significant shifts underway is the move away from static, over-provisioned legacy networks towards on-demand, consumption-based connectivity. This is a shift that addresses both capital efficiency and carbon impact.

NaaS mirrors what cloud did for compute: organisations no longer build for peak demand ‘just in case’. Instead, they scale up and down as needed, reducing idle capacity, unnecessary hardware and embedded emissions.

In 2026, NaaS becomes not just a commercial or operational choice, but a compliance and risk management tool, particularly for Australian organisations with disclosure obligations and boards demanding defensible carbon reporting alongside network resilience.

3. NaaS architectures reduce digital sprawl

Australian organisations managing APAC operations, regional and remote sites, and long-haul connectivity often still operate fragmented networks stitched together over time. This is a legacy that creates operational, financial and environmental costs that are increasingly difficult to defend to boards and auditors.

A unified global network simplifies connectivity across locations, clouds and partners. With fewer layers, organisations will be able to define ‘flight paths’ for the workloads in transit, optimise network routes, and reduce retransmissions, duplication and data shuffling.

The more integrated the network, the easier it becomes to measure, optimise and ultimately reduce its environmental footprint, and the stronger the foundation for defensible reporting and governance assurance.

4. AI is a sustainability multiplier and a test of responsibility

In 2026, AI has become central to enterprise strategy. However, for Australian organisations facing high energy costs and disclosure requirements, AI infrastructure decisions also carry material carbon and reporting implications.

This creates a clear governance question for CTOs and boards: how do we scale AI while managing energy risk, meeting compliance obligations and producing defensible carbon accounting?

Part of the answer lies in the network. AI-enabled networks can enable organisations to implement green routes by directing traffic to utilise renewable energy sources and energy-efficient infrastructure.

Organisations that design network connectivity with energy awareness built in, rather than bolted on later, will be better positioned to meet reporting requirements and demonstrate AI infrastructure responsibility. The network becomes a tool for governance and transparency, not merely a transport layer.

5. Carbon visibility becomes operational, not just reported

With Australian climate disclosure obligations taking effect, sustainability reporting is no longer optional or annual. It is becoming an operational requirement. In 2026, boards and sustainability leaders will expect granular, auditable insight into network energy use and emissions, alongside traditional metrics such as latency and resilience.

Carbon transparency — granular visibility into network energy use and emissions — becomes a tool for governance, enabling more defensible trade-offs in network strategy decisions: performance versus energy use, resilience versus footprint, investment priorities versus compliance requirements. Networks that can surface these insights provide the foundation for assurance, helping Australian organisations move from retrospective reporting to active risk management and demonstrable carbon reduction.

Image credit: iStock.com/WANAN YOSSINGKUM