Which climate tech startups raised money?

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Climate tech venture funding reached $30 billion in 2024 and $13.2 billion in H1 2025, with energy startups dominating at $9.4 billion annually.

The market has shifted toward larger, later-stage rounds rather than early-stage experiments, with nuclear, geothermal, and AI-powered data centers emerging as the hottest investment categories. Corporate giants like Amazon, NVIDIA, and Microsoft are now writing $100+ million checks directly into climate infrastructure companies.

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Which climate tech startups raised the most money in 2024 and 2025?

Crusoe Energy Systems dominated with a $600 million Series D round in December 2024, achieving a $2.8 billion valuation.

X-Energy secured $500 million in growth funding, specifically backed by Amazon's Climate Pledge Fund to power Amazon's nuclear energy commitments. Base Power Company raised $200 million in Series B funding during H1 2025 for their distributed battery storage platform targeting residential customers.

Other major raises include Enpal's $110 million growth equity round in Europe for residential solar installations, and Nuro's $106 million Series E for autonomous delivery vehicles. These five companies represent over $1.5 billion in total funding across the energy infrastructure, nuclear power, and clean transportation sectors.

The funding concentration in energy infrastructure reflects investor confidence in commercially proven technologies rather than experimental R&D projects. Companies with existing revenue streams and clear paths to profitability attracted the largest checks.

Which specific startups received funding and what technologies do they develop?

Energy infrastructure companies captured the majority of large funding rounds, with distinct focus areas emerging across the sector.

Crusoe Energy operates vertically integrated AI data centers that consume stranded natural gas to reduce methane flaring while powering high-performance computing workloads. X-Energy develops small modular nuclear reactors designed for utility-scale deployment with enhanced safety features compared to traditional nuclear plants.

Base Power Company provides energy-as-a-service solutions using distributed battery storage systems in residential homes, creating virtual power plants for grid stabilization. Enpal focuses on the European residential solar market, offering solar panel installations combined with battery storage and energy management software.

Beyond energy infrastructure, breakthrough R&D companies attracted significant investment. Climeworks operates direct air capture facilities that remove CO2 from atmosphere for permanent storage or utilization. Commonwealth Fusion Systems develops commercial fusion reactors using high-temperature superconducting magnets to achieve net energy gain.

Electra raised $180 million for low-carbon steel production using renewable electricity instead of coal-based processes. Sunfire secured €200 million for green hydrogen production through electrolysis technology.

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How much money did each startup raise and in what funding rounds?

The largest individual rounds exceeded $500 million, representing a significant increase in late-stage deal sizes compared to previous years.

Who are the key investors backing these climate tech startups?

Corporate venture arms and strategic investors dominated the largest funding rounds, shifting away from traditional venture capital firms.

Amazon's Climate Pledge Fund led X-Energy's $500 million round as part of Amazon's commitment to achieve net-zero carbon emissions by 2040. NVIDIA participated directly in Crusoe Energy's Series D, aligning with their AI infrastructure strategy and need for sustainable computing power.

Mubadala, the UAE sovereign wealth fund, co-invested in Crusoe Energy alongside traditional venture firms like Founders Fund and Ribbit Capital. Fidelity provided growth capital, indicating institutional investor confidence in climate tech scalability.

Specialist climate VCs remain active in smaller rounds. Lowercarbon Capital, S2G Ventures, Congruent Ventures, and Breakthrough Energy Ventures continue leading early and mid-stage investments. These funds focus on technical due diligence and sector expertise rather than pure financial returns.

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Which startups received backing from major industry players or tech giants?

Technology giants invested directly in climate infrastructure companies to secure sustainable energy for their own operations while generating returns.

Amazon invested in X-Energy through their Climate Pledge Fund to secure nuclear energy for their data centers and fulfil carbon neutrality commitments. Microsoft invested in Climeworks' direct air capture technology to offset their carbon emissions and meet their 2030 carbon-negative goal.

NVIDIA backed Crusoe Energy to access sustainable computing infrastructure for AI workloads while reducing their Scope 3 emissions. Google invested in Commonwealth Fusion Systems as part of their renewable energy strategy and advanced technology investment thesis.

Shell Ventures participated in multiple green hydrogen and carbon capture startups through their corporate venture arm. Total Energies invested in solar and battery storage companies to diversify their energy portfolio beyond oil and gas.

These corporate investments differ from pure venture capital because they provide strategic partnerships, customer relationships, and technical validation beyond just funding.

What were the funding round terms and structures for these investments?

Most large climate tech rounds used growth equity or late-stage venture structures rather than traditional early-stage terms.

Crusoe Energy's Series D included liquidation preferences typical of growth rounds, with participating preferred stock and anti-dilution provisions. The $2.8 billion valuation represented a 4.7x multiple on their previous Series C, indicating strong revenue growth and customer traction.

X-Energy's $500 million round structured as growth equity suggests the company has reached commercial milestones and regulatory approvals for their nuclear technology. Growth equity typically includes less investor control and fewer board seats compared to early-stage VC rounds.

European rounds like Enpal's $110 million often include revenue-based financing components alongside equity, allowing companies to use predictable solar installation revenues as collateral for additional debt financing.

Many rounds included strategic provisions for customer partnerships and technology licensing agreements rather than pure financial terms.

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Which geographies saw the most climate tech investment activity?

North America led total investment volume while Europe dominated debt financing for large infrastructure projects.

The United States attracted $6.7 billion in H1 2024 alone, representing approximately 35% of global climate tech investment. Silicon Valley venture firms and corporate investors concentrated on energy storage, nuclear power, and AI-enabled clean technology companies.

Europe secured massive debt rounds for industrial projects, including Northvolt's €5 billion battery manufacturing financing and H2 Green Steel's €4.75 billion green steel production facility. European climate tech benefited from supportive regulatory frameworks and government co-investment programs.

Asia-Pacific investment declined to just 7% of global totals in 2024, down from previous years due to reduced Chinese venture activity and regulatory uncertainty around clean technology exports.

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What are the most promising technologies currently attracting investment?

Clean firm power technologies dominate investor interest, with nuclear and geothermal showing the fastest growth in funding volume.

Small modular nuclear reactors attracted over $1 billion across multiple companies in 2024, driven by AI data center power demands and corporate carbon commitments. Unlike traditional nuclear projects, SMRs offer faster deployment timelines and lower capital requirements.

Direct air capture technology scaled beyond pilot projects, with companies like Climeworks securing commercial contracts from Microsoft, Shopify, and Swiss Re for carbon removal services. The technology moved from R&D focus to revenue-generating operations.

Green hydrogen and electrolysis companies raised significant rounds as industrial customers committed to decarbonization. Steel, cement, and chemical companies are contracting for green hydrogen to replace fossil fuel-based production processes.

AI-powered energy optimization attracted investment from tech giants needing sustainable computing infrastructure. These companies use machine learning to optimize renewable energy generation, battery storage dispatch, and grid balancing.

Which startups raised money for breakthrough R&D in climate technologies?

Fusion power and advanced materials companies attracted the largest R&D-focused investment rounds, moving beyond pure research toward commercial demonstration.

Commonwealth Fusion Systems raised portions of their $2.1 billion total funding specifically for SPARC reactor construction and demonstration. Their approach uses high-temperature superconducting magnets to achieve fusion reactions in smaller, more cost-effective reactors than previous designs.

Climeworks expanded their direct air capture R&D with dedicated funding for next-generation DAC technology that reduces energy consumption per ton of CO2 captured. Their Orca facility in Iceland serves as a commercial demonstration while generating revenue from carbon removal contracts.

Advanced battery chemistry companies received funding for solid-state batteries, lithium-sulfur batteries, and sodium-ion alternatives to traditional lithium-ion technology. These next-generation batteries target electric vehicle and grid storage applications with improved safety and energy density.

Bio-based materials startups raised funds for laboratory-grown alternatives to concrete, steel, and plastic. These companies use synthetic biology to create materials with lower carbon footprints than traditional manufacturing processes.

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Which investors and funds are most active in climate tech currently?

Specialist climate venture firms lead deal count while corporate venture arms provide the largest individual check sizes.

Lowercarbon Capital remains the most active climate VC by number of investments, focusing on early-stage deep tech companies with potential for massive carbon impact. Breakthrough Energy Ventures, founded by Bill Gates, concentrates on breakthrough technologies with 10+ year commercialization timelines.

S2G Ventures and Congruent Ventures actively invest across food systems, agriculture technology, and circular economy companies. These funds target Series A and Series B rounds for companies with proven technology and initial customer traction.

Corporate venture arms write larger checks but participate in fewer total deals. Amazon Climate Pledge Fund, Microsoft M12, and Shell Ventures typically invest $25-100 million in growth-stage companies that align with their corporate sustainability goals.

European investors like EQT Ventures and Atomico increased climate tech activity, particularly in industrial decarbonization and renewable energy infrastructure projects.

What's the total amount invested in climate tech in 2024 and H1 2025?

Global climate tech venture and growth funding reached $30 billion in 2024, followed by $13.2 billion in the first half of 2025.

The 2024 total represents stabilization after three consecutive years of declining investment, down from peak levels of $50+ billion in 2021. Energy sector companies captured $9.4 billion of the 2024 total, representing 31% of all climate tech investment.

H1 2025 investment of $13.2 billion declined 19% compared to H1 2024, but outperformed the 41% decline experienced in H1 2023. This suggests the market has found a sustainable funding level rather than continuing the dramatic boom-bust cycle.

Energy infrastructure dominated both years, with clean firm power technologies (nuclear, geothermal, advanced batteries) receiving the largest share of capital. Transportation and mobility companies received approximately 15% of total funding, while carbon management technologies captured 12%.

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What are the projections for climate tech investments in 2026?

Industry analysts expect climate tech investment to return to growth in 2026, driven by scaling commercial deployments and supportive policy frameworks.

Investment is projected to reach $35-40 billion in 2026, representing 15-30% growth over 2024 levels. This growth assumes continued corporate demand for clean energy infrastructure and maturation of first-of-a-kind technology demonstrations into commercial deployments.

Clean firm power technologies will likely continue dominating investment volume as AI data centers drive unprecedented electricity demand. Nuclear, geothermal, and long-duration energy storage companies are positioned to capture the largest share of 2026 funding.

Policy stability around tax incentives and regulatory frameworks remains critical for investment growth. Renewal of IRA tax credits and international carbon pricing mechanisms could accelerate investment beyond baseline projections.

Corporate venture activity is expected to increase as more companies commit to science-based targets and net-zero goals, requiring direct investment in climate solutions rather than just carbon offsets.

Conclusion

Sources

1. LinkedIn - Climate Tech Investment Trends 2024 Recap
2. CTVC - H1 2025 Climate Tech Investment Report
3. Datacenter Dynamics - Crusoe Energy Funding
4. Crusoe Energy - Series D Announcement
5. Latitude Media - Energy Deals Report 2024
6. Net Zero Insights - Latest Climate Tech Deals
7. Impact Loop - AI Climate Tech Deals
8. Seedtable - Best Climate Change Startups
9. Seedtable - Climate Tech Green Tech Startups
10. Climate Insider - Early 2025 Funding Highlights
11. BloombergNEF - US Climate Tech Financing 2024
12. Silicon Canals - European Climate Tech Funding
13. PwC - State of Climate Tech 2024
14. Climate Tech Digital - Top Climate Tech Funds
15. CTVC - 2025 Climate Tech Investor Pulse Check