The Green Technology Boom

As the effects of climate change continue to make daily headlines, it’s clear that the world is at an inflection point. One of the potential solutions to slowing down climate change comes from the green technology sector. Green technology is widely defined as any technology that helps reduce humans’ impact on the environment, meaning that it encompasses fields as diverse as sustainable meat production, renewable energy, and carbon capture.

The green tech sector is booming in the U.S., thanks in part to government investment in business solutions to the intractable problem of climate change. The 2022 Inflation Reduction Act provided incentives for green technology–including electric cars, heat pumps, and renewable energy sources–and the U.S. continues to set records for how much investment is pouring in. According to independent research firm Rhodium Group, during the fourth quarter of 2023, clean energy and transportation investment in the U.S. reached $67 billion–a 40 percent increase from the same period in 2022. And last year, the U.S. added 32.4 gigawatts of solar power, making it the leading source of new energy in 2023–the first time a renewable energy source has had more gains than fossil fuels since World War II.

And the opportunity is ripe for even more investment–Lord Nicholas Stern, one of Britain’s leading thinkers on climate change, says that at least $4 trillion a year in global investment is needed to put the world on a path to sustainability and mitigate the worst effects of climate disaster.

Time Magazine’s annual list of America’s Top GreenTech companies, released last?

month, showcases the diversity and innovative thinking across industries needed to combat this most existential of problems. ZeroAvia, the top company on the list, develops hydrogen-electric planes for clean aviation. Brimstone produces zero-carbon cement, a material responsible for 5.5% of global greenhouse-gas emissions when made traditionally. AirProtein has created a system for landless protein farming. And TemperPack has created a sustainable alternative to styrofoam for cold chain shipments, with the goal of eliminating plastic from the supply chain.

At Genius Guild, we believe that diversity and innovative thinking can solve intractable problems like climate change while also generating Alpha+ for our investors. We are currently working to expand our investments in climate and green tech startups, especially those working on developing technologies that serve diverse markets. There's a massive investment opportunity in this space and we’re excited to capitalize on it. We would welcome introductions to more green tech companies for partnership and co-investment opportunities. Please feel free to connect them directly to Kathryn at [email protected].