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Advances in AI-enabled Circular Business

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PANEL Report from theNTWK Summit 2025 in Barcelona – Article Written by: Harbour.Space

“Designers make decisions based on impact data—but often don’t consider actual recycling realities. AI can close that loop.”

AI is accelerating the path to circularity, from data-rich product design to smarter business models and real-time lifecycle feedback.

In this collaborative session, circular designer Àlex Jimenez, AI strategist Sönke Petersen, and cradle-to-cradle expert Pierre Armengaud demonstrate how AI can bridge critical gaps in sustainable product development and enable scalable innovation for businesses of all sizes.

Furniture’s Circular Problem: Waste, Design, and Impact

“Furniture is heavy, toxic, poorly designed for repair, and travels far. Its circular potential is enormous—but untapped.”

Furniture is an often-overlooked sustainability challenge. The sector generates 10 million tons of waste annually in Europe alone, driven by poor repairability, complex logistics, and minimal recycling infrastructure.

Suru, a startup founded by Àlex, integrates circular economy principles into every product it creates. However, merging rapid design cycles with life cycle assessment (LCA) data remains a significant hurdle.

Cradle to Cradle Certification: A Data Dilemma

Collecting the data required for cradle-to-cradle certification or life cycle assessments often takes 6–24 months. That timeline doesn’t align with the rapid pace of modern product development.

“As consultants, we’re often chasing data from thousands of products. It’s valuable—but slow and confidential.”

The key challenge: unlocking and anonymizing massive environmental data sets for use in generative AI tools, without compromising intellectual property.

How AI Accelerates Eco Design

“The system uses LCA and material databases to predict a product’s footprint as it’s being designed.”

Generative AI presents a game-changing opportunity to compress timelines in circular product development. By feeding design drafts into an AI system trained on environmental data, designers can receive near-instant feedback on environmental impact.

This allows for real-time decision-making and iterative design, solving the classic mismatch between sustainability goals and design speed.

AI for Circular Business Strategy

Beyond design, AI can also support startups in evaluating circular business models before they invest time and resources. Tools like the Business Model Canvas can be augmented with AI to generate, test, and refine circular strategies quickly.

“For small businesses, AI can reveal risks and opportunities before launch— saving time, money, and false starts.”

This is especially valuable in emerging trends like servitization (e.g., furniture-as-a-service), which demand a different strategic outlook than traditional product sales.

AI After the Sale: End-of-Life Optimization

AI can also support the later stages of the product lifecycle by integrating recycling infrastructure and geographic data. For example, it can help consumers understand how and where to repair or dispose of furniture locally. This improves not only product circularity but also the customer’s sustainability experience.

Execution Challenges: Data Access, Trust, and IP

“The legal conversation around data use is just beginning. But the value for collective knowledge is massive.”

The main barriers to this vision are data trust, legal permissions, and formatting consistency. AI is only as strong as the data behind it—and most companies treat material composition and environmental performance as trade secrets.

Where to Start? Design First, Strategy Always

For startups, the panel recommended starting with business model simulations before diving into AI- assisted design. Understanding market fit, servitization paths, and end-user needs lays the foundation for successful product innovation.

Start small, but smart: use AI to explore, refine, and implement circular strategies step-by-step.

Humans in the Loop, AI as a Guide

“Once you know your direction, AI helps design the right products to match your strategy.”

While AI brings speed, scalability, and predictive insight to circular business, it doesn’t replace human judgment. Designers, consultants, and sustainability experts must interpret the data, account for context, and align decisions with business goals. Human creativity and AI-enabled insight can radically accelerate the shift to sustainable business.

Download the full report from theNTWK Summit 2025 here.


OpenEyz Founder Sönke Petersen

I find strong AI use cases in every sustainability business that significantly reduce effort, enable circular innovation, and increase revenue.

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AI can become an essential catalyst in your circular economy processes – cutting costs, freeing resources from repetitive tasks, and enabling sustainable innovation for your customers.

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