New to town

European software company plans first U.S. office in Houston

Cognite is opening two offices in Texas. Getty Images

When considering entering the United States market, Francois Laborie, general manager of Cognite North Americas, of course considered some of the obvious cities for a regional headquarters.

"Initially, when we talked about the US, people assumed Silicon Valley or Boston, because we are a traditional software company," Laborie says. "But we really didn't consider too long because the customers we work with require a pretty deep understanding of industry."

The Norway-based company decided to bet on the energy capital of the world and has announced future offices in Houston as well as Austin — both to open by this summer. This will be Cognite's first expansion outside of Northern Europe. The company makes data software for industrial businesses — oil and gas being a huge focus, as is engineering, equipment manufacturing, shipping, and more.

"The industrial world is very siloed and closed, and we are changing a lot of things in that world," Laborie says. "In the digital world, data and information only becomes valuable as you share it. We are all about liberating data, contextualizing it, and then drawing value out of it."

Laborie says the Houston office will be the company's energy hub — both current and prospective clients of Cognite have pressences in town. Meanwhile, Austin will be the tech hub, since the city has a large tech talent pool. Currently, Austin is on the path to be the U.S. headquarters, but nothing is set in stone at the moment, Laborie says.

Cognite, which expects around 50 employees (both new hires and relocations) split between the two locations, already has strategic Houston partnerships in place. Cognite will operate out of Station Houston and even has an internship program and partnership with Rice University. Overall, Laborie says the reception of the city has been positive.

"Houston went above and beyond," Laborie says. "The relationship with Rice has been very interesting because they are working closely with the Houston municipality to transform this image of Houston to get a stronger driver on innovation with the Innovation District, which spoke very loudly to us."

These partnerships are a crucial party of the company, Laborie says, and Cognite plans to work within Houston's innovation ecosystem to continue to push the envelope on innovative technologies.

"We have partnerships with large corporations, but we also see the importance to work with smaller companies to drive innovation — even if they aren't directly related," Laborie says.

Trending News

Building Houston

 
 

"There's something magical happening in Houston, and [VCs] want a piece of it." Photo via Getty Images

Houston's seen a growth in startup and venture investment — even amid the pandemic — and a group of Houston innovators sat down for a virtual event to discuss what's lead to this evolution.

The Greater Houston Partnership hosted an installment of its Houston Industry Series focused on Digital Tech on Thursday, September 24. The panel of experts, moderated by Krisha Tracy of Google Cloud, discussed how they've observed the paradigm shift that's occurred in Houston over the past few years — and why.

Missed the discussion? Here are some significant overheard moments from the virtual event.

“I think there really is an interest for venture capital here, both locally and also welcoming it from outside of Houston. … There’s something magical happening in Houston, and [VCs] want a piece of it. I think that magical piece is a renewed interest in collaborating.”

Stephanie Campbell, managing director of Houston Angel Network and co-founder of The Artemis Fund. "I think a lot [of this progress] is due to the GHP, Houston Exponential, and the founding of the HX Venture Fund to bring those venture funds to Houston to say, 'what's happening here?'" Campbell adds, saying that this connectivity and collaboration that's happening in Houston VC is unique.

“I think there’s a misconception around all we do is oil and gas and life science in Houston, but when you think about what VC-backable companies look like, they’re tech, they’re B2B SaaS, they’re highly scalable, and they don’t tend to be capital-intensive types of things we see corporate venture backing.”

Campbell says, adding "the connectivity and the interest in VC is really taking off. It's an exciting time to be in Houston and Texas in general."

“Plug and Play’s ventures team is based in Silicon Valley and one thing they enjoy about meeting Houston-based founders is valuations tend to be more reasonable than in the Bay Area."

Payal Patel, director of Plug and Play Tech Center in Houston. "There are gems to be found," she adds.

“I don’t know what it is — if it’s something in the water or just Texans being very friendly, but the investors here share deal flow. It takes a village, and I think we all understand a rising tide lifts all boats."

Patel says on the collaborative nature of Houston. "It's really magical."

“What you’re witnessing is a city that has been waiting for industrial innovation to reach the point where it can be adopted at a really high scale, and that happened around 2017.”

Jon Nordby, managing director at MassChallenge Texas in Houston. Nordby adds that MassChallenge in Houston hasn't been keen on consumer tech, or the "grilled cheese delivery apps," as he describes. "We like companies that are in love with problems, not so much in love with solutions. … We build really meaningful tech."

“Over the last year or two, we’ve seen that sleeping giant get awoken. Open and external innovation is newly adopted by more legacy industries where it wasn’t before — and that’s just created a mountain of opportunities for startups and investors alike.”

Nordby says on the shift toward this meaningful, problem-solving technology, which Houston is full of, as he observes.

Trending News