In a strategic move to advance sustainability in the beauty industry, L’Oréal has announced a partnership with IBM to develop a custom artificial intelligence (AI) foundation model. This collaboration aims to transform cosmetic formulation processes, enabling the use of more sustainable raw materials and reducing energy and material waste.
The Need for Sustainable Innovation
The beauty industry faces increasing pressure to adopt sustainable practices, driven by consumer demand and environmental considerations. Traditional methods of cosmetic formulation often involve extensive trial and error, leading to resource inefficiencies and environmental impact. By integrating AI into the formulation process, companies can accelerate innovation while minimizing waste and energy consumption.
The Role of Generative AI
Generative AI, particularly foundation models, has the potential to revolutionize product development across various industries. These models are trained on vast datasets, enabling them to generate new formulations based on specified criteria. In the context of cosmetics, this technology can assist in creating products that meet specific performance standards while utilizing sustainable ingredients.
Details of the Collaboration
Under this partnership, IBM and L’Oréal will develop a custom AI foundation model that will use a large number of formulations and component data points for L’Oréal’s researchers. This initiative aims to accelerate tasks such as the formulation of new products, reformulation of existing cosmetics, and optimization for scale-up production. IBM Consulting will also support L’Oréal in redesigning its formulation discovery process, focusing on understanding the behaviors of renewable ingredients in cosmetic formulas.
Strategic Objectives
This collaboration aligns with L’Oréal’s “L’Oréal for the Future” sustainability program, which targets sourcing most of its product formulas from bio-sourced materials and/or the circular economy by 2030. By leveraging AI, L’Oréal aims to enhance the efficiency and sustainability of its product development processes, contributing to its broader environmental goals.
Industry Implications
The integration of AI into cosmetic formulation represents a significant advancement in the beauty industry. By combining L’Oréal’s expertise in cosmetic science with IBM’s AI technologies, the companies aim to unlock a future where science and technology inform solutions that are both ecologically responsible and innovative.
Future Outlook
As the collaboration progresses, it is expected to yield new insights into sustainable cosmetic formulation, potentially setting a precedent for the industry. The partnership underscores the growing role of AI in driving sustainability and innovation within the beauty sector.
References
- IBM Newsroom. (2025). IBM and L’Oréal to Build First AI Model to Advance the Creation of Sustainable Cosmetics. Retrieved from https://newsroom.ibm.com/2025-01-16-ibm-and-loreal-to-build-first-ai-model-to-advance-the-creation-of-sustainable-cosmetics
- ESG Today. (2025). IBM and L’Oréal to Use AI to Develop More Sustainable Cosmetics. Retrieved from https://www.esgtoday.com/ibm-loreal-to-use-ai-to-develop-more-sustainable-cosmetics/
- AI Business. (2025). IBM, L’Oréal Tap Generative AI for Cosmetics. Retrieved from https://aibusiness.com/generative-ai/ibm-l-or-al-tap-generative-ai-for-cosmetics
- ERP Today. (2025). IBM and L’Oréal to Build AI Model to Advance Sustainable Cosmetics. Retrieved from https://erp.today/ibm-and-loreal-to-build-ai-model-to-advance-sustainable-cosmetics/
- Procurement Magazine. (2025). IBM & L’Oréal Using AI to Transform Sustainable Cosmetics. Retrieved from https://procurementmag.com/sustainable-sourcing/ibm-loreal-using-ai-transform-sustainable-cosmetics