The Science Based Targets initiative has reached a new milestone, announcing that more than 10,000 companies now have validated science-based climate targets. The achievement reflects rapid growth in corporate engagement with climate target-setting and positions the initiative as one of the most influential frameworks shaping private sector decarbonisation strategies globally.

According to SBTi, more than 2,800 companies received validation in 2025 alone. The total number of validated companies has risen by nearly 40 percent from approximately 7,200 in early 2025 and more than doubled from around 4,200 in 2023, highlighting the pace at which science-based targets are being adopted across industries.

From Niche Framework to Corporate Standard

Founded in 2015, SBTi was created to make science-based environmental target-setting a standard corporate practice rather than a voluntary niche. The organisation develops methodologies aligned with climate science, provides technical guidance to companies setting emissions reduction targets, and independently assesses and validates those targets.

A central milestone in this evolution was the publication of SBTi’s first Corporate Net-Zero Standard in 2021. The organisation is now in the process of revising that framework and has recently released a draft of the Corporate Net-Zero Standard Version 2, reflecting advances in climate science, policy expectations, and implementation experience from thousands of companies.

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Market Coverage and Geographic Expansion

SBTi said companies with validated targets now represent more than 40 percent of global market capitalisation. These companies are headquartered in over 90 countries and span a wide range of sectors and company sizes, underlining the initiative’s growing influence across the global economy.

Growth has been particularly strong in Asia. Japan now has the highest number of companies with validated targets, exceeding 2,000, followed by the United Kingdom, the United States, and China. While Asian participation has accelerated, European-headquartered companies continue to account for a substantial share of total validated targets, reflecting Europe’s earlier regulatory and corporate focus on climate disclosure and decarbonisation.

Rising Scrutiny Alongside Rapid Growth

The milestone comes amid increasing political scrutiny of SBTi in the United States. The organisation recently became the subject of an investigation announced by James Uthmeier, alongside environmental disclosure platform CDP. The investigation relates to alleged potential antitrust issues and deceptive trade practices.

In addition, 23 US state attorneys general have sent a joint letter to SBTi requesting information about its operations and membership. The letter raises concerns around possible violations of antitrust and consumer protection laws, with particular attention on SBTi’s financial sector standard and its expectations for financial institutions regarding fossil fuel financing.

SBTi’s continued expansion alongside this scrutiny underscores the increasingly contested role of voluntary climate standards as they move closer to the core of corporate strategy, capital allocation, and financial decision-making.

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Corporate Motivation Beyond Compliance

SBTi Chief Executive Officer David Kennedy said companies are adopting science-based targets because they see clear strategic, reputational, and financial benefits in aligning with net-zero pathways. He noted that the milestone reflects a broader shift toward accountability and credibility in corporate climate commitments, rather than symbolic pledges.

As climate transition risks become more visible across supply chains, operations, and capital markets, validated targets are increasingly viewed as tools for managing long-term risk and maintaining competitiveness.

A Signal of Where Corporate Climate Action Is Headed

Crossing the 10,000-company threshold marks a turning point for SBTi, reinforcing its role as a central reference point for corporate climate action. At the same time, the initiative’s scale places it at the intersection of voluntary standards, regulation, and political debate.

Whether the next phase of growth continues at a similar pace will depend on how companies, regulators, and policymakers respond to both the tightening expectations around net-zero credibility and the growing scrutiny of climate governance frameworks. What is clear is that science-based targets have moved firmly into the mainstream of corporate climate strategy, shaping how companies plan for decarbonisation in an increasingly complex global environment.

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