Commonweal Ventures

We are very excited to have Nate Loewentheil, Commonweal Ventures, as our speaker at ER196 on Dec 3rd at 6:30PM at Microsoft Times Square! https://lu.ma/ge0tday0 Startups can also apply for a chance to pitch at the event! Entrepreneurs Roundtable Accelerator Remarkable Ventures Remarkable Ventures Climate

Thanks Tech:NYC for the thoughtful questions and the spotlight! Link in comments. Excerpt below. Elan Kane, Julie Samuels. Q: You launched Commonweal Ventures in 2021. What was the catalyst for doing so? A: "...Partnerships with government can be powerful. Governments have unique attributes: they control proprietary data; they have special institutions like the military, intelligence agencies, and national laboratories; they have the unique power to police, tax, and regulate; and they have a differentiated time horizon and risk profile. I launched Commonweal Ventures because I saw a gap in the market among VCs who are typically skeptical of government. I believe partnership with government can be a critical unlock for early-stage technology companies and our job at Commonweal is to help companies build those partnerships."

Commonweal portfolio company Atomic Canyon today announced the first deployment of its Neutron Enterprise AI solution at Diablo Canyon Power Plant with Pacific Gas and Electric Company. This is the inaugural commercial installation of the first on-site generative AI deployment at a U.S. nuclear power plant. Diablo provides 17% of California's clean electricity. Atomic Canyon is helping power a brighter future for the nuclear industry in CA and beyond. Full press release in comments.

Y Combinator posted its request for Startups. Top three: Government software, public safety technology, Manufacture in the USA. When we launched Commonweal three years ago and started focusing on those sectors, we faced skepticism. But the market has moved 100% in our direction. We are in the right place at the right time and couldn't be more excited to be backing founders building companies that matter for America. Shout-out to a few of our portfolio companies in these markets: Government software: Deckard Technologies, Advocate Public safety: Multitude Insights, stealth company Manufacturing in the USA: ZAPBATT Inc. Plus Proximity Health, Pearl Edison, Crux, and Atomic Canyon, which are all at the intersection of government and industry.

Just before the election, we interviewed Trump's top White House energy advisor from his first term, Michael Catanzaro, on what Trump 2.0 means for energy and cleantech markets. Here are four take-aways; link to full podcast in comments: (1) Focus on Fossil Fuels Trump?has clearly signaled that he will prioritize fossil fuels over renewables. Among other steps, Trump?2.0 will likely?accelerate leasing for oil and natural gas production?on federal lands and speed up the permitting for natural gas pipelines. (2) The Inflation Reduction Act?has Staying Power, Probably The IRA now benefits from?some support among Republicans in the House?whose districts are directly benefitting from clean energy investments. A full repeal of the IRA is unlikely. However, much of the Tax Cut and Jobs Act of 2017 is set to expire at the end of 2025, which will force a Congressional debate on tax policy; in that context, some IRA tax provisions could be in jeopardy. The Trump?Administration could also?slow ongoing IRA implementation, e.g., the pace at which grants are made. (3) Push Back on Electric Vehicles: Trump?has attacked the Biden Administration’s approach to EVs. A?Trump?Administration could substantially weaken policies that are driving EV adoption, especially the?special waiver authority?that enables California to set its own stricter auto emission standards, which have a significant impact on national markets. However,?Trump?has also been vocal in his support for the auto industry, which is itself signaling a long-term commitment to EVs, which may make?Trump?slightly more cautious in rolling back some Biden policies. Not to mention his close association with Elon Musk and by extension Tesla. (4) Mixed Bag on Renewables & Nuclear: Trump will likely?slow the deployment of offshore wind. In his first term,?Trump?also opposed solar development but was ?largely silent on the subject during the campaign. However,?Trump?will likely sustain?or increase the Biden Administration’s tariffs on?solar panel imports. These tariffs raise costs for solar deployment.?Trump’s approach to nuclear seems roughly consistent with Biden, that is, modest support.

What does the Presidential election mean for the future of cleantech? ? *Harris*:?Last month, I interviewed?former Biden economic advisor Joelle Gamble, who has also been advising the?Harris?campaign. While?Harris?has her own vision, when it comes to climate and energy, we can expect strong continuity with the Biden Administration on key issues like renewables, electric vehicles, and innovation. ? *Trump*: A?Trump?win, on the other hand, would mean big shifts in energy policy. Many cleantech founders have reached out to us for help with contingency planning. There is, of course, a lot of uncertainty. But we can make some educated guesses. Last week, I interviewed?Michael Catanzaro, who led energy policy in the?Trump?White House and is advising the?Trump?transition on personnel and policy. Full link to podcast in the comments. Here are?four?take-aways: ?? (1) Focus on Fossil Fuels Trump?has clearly signaled that he will prioritize fossil fuels over renewables. Among other steps, a?Trump?Administration would likely?accelerate leasing for oil and natural gas production?on federal lands and speed up the permitting for natural gas pipelines. ? (2) The Inflation Reduction Act?has Staying Power, Probably The IRA now benefits from?some support among Republicans in the House?whose districts are directly benefitting from clean energy investments. A full repeal of the IRA is unlikely. However, much of the Tax Cut and Jobs Act of 2017 is set to expire at the end of 2025, which will force a Congressional debate on tax policy; in that context, some IRA tax provisions could be in jeopardy. A?Trump?Administration could also?slow ongoing IRA implementation, e.g., the pace at which grants are made. ? (3) Push Back on Electric Vehicles: Trump?has attacked the Biden Administration’s approach to EVs. A?Trump?Administration could substantially weaken policies that are driving EV adoption, especially the?special waiver authority?that enables California to set its own stricter auto emission standards, which have a significant impact on national markets. However,?Trump?has also been vocal in his support for the auto industry, which is itself signaling a long-term commitment to EVs, which may make?Trump?slightly more cautious in rolling back some Biden policies. (4) Mixed Bag on Renewables & Nuclear: A second?Trump?Administration would likely?slow the deployment of offshore wind. In his first term,?Trump?also opposed solar development but has been?largely silent on the subject this campaign season. However,?Trump?would likely sustain?the Biden Administration’s tariffs on?solar panel imports. These tariffs raise costs for solar deployment.?Trump’s approach to nuclear seems roughly consistent with Biden, that is, modest support.

Big announcement from Commonweal advisor John Gedmark and Astranis Space Technologies!

I ran an op-ed in the New York Times this weekend. Entrepreneurship is our country’s most potent asset to meet the challenges facing the US. But the rate of entrepreneurship in the US reached its high water mark almost forty years ago, rose again in the early 2000s, and has since languished 30% below peak level. There are many causes, but the rise of technology monopolies is almost certainly one of them. That’s why I support the FTC’s antitrust work, as I lay out in the essay. I believe we can dramatically increase innovation in the US, and regulating monopoly power is one place to start. Agree? Disagree? I'm interested for other takes, and also any examples from VCs or entrepreneurs who businesses have been directly impacted either by monopolistic behavior or by the FTC, for good or ill.

Have the Biden administration's efforts in revitalizing U.S. manufacturing and infrastructure been successful? Joelle Gamble, former Chief Economist at the U.S. Department of Labor, believes that these efforts will recalibrate America's economic trajectory. She presented a vision where improved infrastructure—ranging from better roads to improved manufacturing will fundamentally alter the MO of all stakeholders for years to come. In Episode 10 of Political Capital, Joelle explains why current policies are likely to be remembered as building blocks in creating a more competitive U.S. economy. Thank you Joelle G. for doing this with me! If this interests you, tune in to the full conversation in the comments below.

Big moves from Taylor Matthews and Farther team! Nate Loewentheil is a proud angel investor.