Felser noticed it was a common occurrence among startups producing novel materials. Fesler, who previously founded and invested in software startups, said the problem they faced seemed a bit unfair. "Software companies sell at a negative margin all the time in the beginning, you know, Uber, Lyft, you can look at lots of different examples," he said. "But for materials companies, they they're not allowed to do that. One of the questions I had is, 'why is that?'"
When Obvious Ventures launched 12 years ago with a focus on "world positive" companies, the idea was a contrarian bet: that startups tackling climate, health, and economic resilience could deliver big returns, not just feel-good impact. Founded by Twitter cofounder Ev Williams and others, the firm backed companies like Beyond Meat, the AI drug discovery company Recursion Pharmaceuticals, and Diamond Foundry, which makes sustainable lab-grown diamonds.
You could think of us a lot like a climate tech fund, but instead of thinking about, where can we emit less carbon dioxide or avoid emissions in the first place, we're doing the same thing for nature loss,
They are creating their own financial ecosystem, and there is enough actual momentum in current AI efforts that I don't see the hyperscalers pulling back in 2026, Tom Chi, founding partner at At One Ventures, told TechCrunch.
The agreement helps nudge the Menlo Park-based Novoloop through the so-called " valley of death " that many climate tech startups must slog through. Startups that depend on hardware are particularly susceptible to stumbling in the valley, the dreaded moment when they've proven their initial technology and have not generated sufficient revenues from selling their product. "For this product line, we have essentially achieved what would be the commercial relationship," Novoloop co-founder and CEO Miranda Wang told TechCrunch.
"Toyota is looking for the next new new thing in mobility, climate, AI, and industrial automation. Its answer is $1.5 billion in new capital that will focus on, and invest in, the lifecycle of startups - from the first seeds of an invention through its growth stage and eventually to mature companies. Toyota made two related announcements Tuesday that provide a snapshot of the company's growing interest in the startup ecosystem."
Capital Rx | Judi Health - $252M Series F HEALTHTECH Capital Rx, a full-service pharmacy and health benefits management platform, has raised $252M in Series F funding led by Wellington Management and General Catalyst. Founded by AJ Loiacono, Joseph Alexander, and Ryan Kelly in 2017, Capital Rx has now raised a total of $601M in reported equity funding. The company also announced it is rebranding itself to Judi Health.
"Climate tech" isn't a thing. It has shifted in recent years from a category to define clean energy companies to an umbrella phrase that loses meaning the more we use it. Granted, the term is everywhere: inserted into VC pitch decks, plastered on billboards along highways from San Francisco to Austin to Boston, wedged into government policy papers, and featured prominently on conference agendas. Media properties from CNBC to GreenBiz rely on it as a traffic-driving category.
There's plenty of uncertainty to go around this year, including a global trade war, shifting policy priorities, and an economy that's starting to stumble. Breakthrough Energy, a climate tech organization founded by Bill Gates, has also been shifting in response. The group always placed long bets, though it appears to be reappraising some of them. Its policy team was scrapped in March, for example, and it didn't continue funding a publication that covered the climate tech world. Still, its investments in startups continue, as does its longest bet, a fellowship program for budding entrepreneurs.
"Dexter Energy exemplifies the kind of cutting-edge energy tech we seek to invest in at Klima: solutions that combine advanced AI with deep energy market expertise to drive real impact."
Our powerful carbon calculation engine helps software providers embed emission metrics into their solutions to assist customers in accurately calculating and continuously monitoring their carbon footprint.
