February 6, 2025: Batteries are seen as a top choice for investments in climate tech this year, according to a Capgemini survey of international business leaders.

Climate tech priority areas — where 72% of executives plan to spend more — included batteries, which respondents ranked first, according to the Capgemini Research Institute’s findings published on January 20.

Other climate tech priority sectors included in the institute’s latest report, ‘Navigating uncertainty with confidence — investment priorities for 2025’, included renewables, hydrogen, nuclear and carbon capture.

Capgemini said the survey showed business leaders feeling more confident about the year ahead than they were 12 months ago. More than 60% were optimistic about their organization’s prospects for 2025, up six percentage points on the same time last year and up 20 points since 2023.

But in the current uncertain market environment, 56% expected to prioritize cost reduction over revenue growth for 2025.

Capgemini CEO Aiman Ezzat said technology has a key role to play to improve competitiveness and productivity, while reducing costs and making efficiencies.

“With a focus on innovation, supply chains and sustainability, which is increasingly being harnessed for its value-driving potential, leaders will set themselves up to succeed in an uncertain environment and build resilient, adaptable organizations.”

A total of 2,500 business leaders from 2,500 organizations across 17 countries in North America, Europe and Asia-Pacific took part in the survey, which was conducted over a month toward the end of 2024.

Respondents were drawn from sectors including energy and utilities, capital markets and telecoms, with 70% coming from organizations with more than $1 billion in annual revenue.