This week's roundup of Houston innovators includes Emma Konet of Tierra Climate, Cindy Taff of Sage Geosystems, and Clemmie Martin of The Cannon. Photos courtesy

Editor's note: Welcome to another Monday edition of Innovators to Know. Today I'm introducing you to three Houstonians to read up about — three individuals behind recent innovation and startup news stories in Houston as reported by InnovationMap. Learn more about them and their recent news below by clicking on each article.

Emma Konet, co-founder and CTO of Tierra Climate

Emma Konet, co-founder and CTO of Tierra Climate, joins the Houston Innovators Podcast. Photo via LinkedIn

If the energy transition is going to be successful, the energy storage space needs to be equipped to support both the increased volume of energy needed and new energies. And Emma Konet and her software company, Tierra Climate, are targeting one part of the equation: the market.

"To me, it's very clear that we need to build a lot of energy storage in order to transition the grid," Konet says on the Houston Innovators Podcast. "The problems that I saw were really on the market side of things." Read more.

Cindy Taff, CEO of Sage Geosystems

Houston-based Sage Geosystems announced the first close of $17 million round led by Chesapeake Energy Corp. Photo courtesy of Sage

A Houston geothermal startup has announced the close of its series A round of funding.

Houston-based Sage Geosystems announced the first close of $17 million round led by Chesapeake Energy Corp. The proceeds aim to fund its first commercial geopressured geothermal system facility, which will be built in Texas in Q4 of 2024. According to the company, the facility will be the first of its kind.

“The first close of our Series A funding and our commercial facility are significant milestones in our mission to make geopressured geothermal system technologies a reality,” Cindy Taff, CEO of Sage Geosystems, says. Read more.

Clemmie Martin, chief of staff at The Cannon

With seven locations across the Houston area, The Cannon's digital technology allows its members a streamlined connection. Photo courtesy of The Cannon

After collaborating over the years, The Cannon has acquired a Houston startup's digital platform technology to become a "physical-digital hybrid" community.

Village Insights, a Houston startup, worked with The Cannon to create and launch its digital community platform Cannon Connect. Now, The Cannon has officially acquired the business. The terms of the deal were not disclosed.

“The integration of a world-class onsite member experience and Cannon Connect’s superior virtual resource network creates a seamless, streamlined environment for member organizations,” Clemmie Martin, The Cannon’s newly appointed chief of staff, says in the release. “Cannon Connect and this acquisition have paved new pathways to access and success for all.” Read more.

Houston-based Sage Geosystems announced the first close of $17 million round led by Chesapeake Energy Corp. Photo via sagegeosystems.com

Houston energy startup closes $17M series A to fund Texas geothermal facility

money moves

A Houston geothermal startup has announced the close of its series A round of funding.

Houston-based Sage Geosystems announced the first close of $17 million round led by Chesapeake Energy Corp. The proceeds aim to fund its first commercial geopressured geothermal system facility, which will be built in Texas in Q4 of 2024. According to the company, the facility will be the first of its kind.

The venture is joined by technology investor Arch Meredith, Helium-3 Ventures and will include support from existing investors Virya, LLC, Nabors Industries Ltd., and Ignis Energy Inc.

“The first close of our Series A funding and our commercial facility are significant milestones in our mission to make geopressured geothermal system technologies a reality,” Cindy Taff, CEO of Sage Geosystems, says in a news release. “The success of our GGS technologies is not only critical to Sage Geosystems becoming post-revenue, but it is an essential step in accelerating the development of this proprietary geothermal baseload approach.

"This progress would not be possible without the ongoing support from our existing investors, and we look forward to continuing this work with our new investors," she continues.

The 3-megawatt commercial facility will be called EarthStore and will use Sage’s technology that harvests energy from pressurized water from underground. The facility will be able to store energy — for short and long periods of time — and can be paired with intermittent renewable energy sources like wind and solar. It will also be able to provide baseload, dispatchable power, and inertia to the electric grid.

In 2023, Sage Geosystems debuted the EarthStore system in a full-scale commercial pilot project in Texas. The pilot produced 200 kilowatt for more than 18 hours, 1 megawatt for 30 minutes, and generated electricity with Pelton turbines. The system had a water loss of less than 2 percent and a round-trip efficiency (RTE) of 70-75.

This week's roundup of Houston innovators includes Jai Shah of Kahuna, Cindy Taff of Sage Geosystems, and Patrick Flam of Revterra. Photos courtesy

3 Houston innovators to know this week

who's who

Editor's note: Each week, I'm introducing you to three Houston innovators to know — three individuals behind recent innovation and startup news stories in Houston as reported by InnovationMap. Learn more about them and their recent news below by clicking on each article.

Jai Shah, CEO of Kahuna Workforce Solutions

Kahuna CEO Jai Shah shares how he plans on deploying the $21 million his Houston company just raised. Photo courtesy of Kahuna

With a recent $21 million series B funding round set to fuel more growth and expand an impressive client roster, Kahuna Workforce Solutions is riding a big wave into 2024.

CEO Jai Shah tells InnovationMap that the Houston skills management software service company’s Hawaiian name captures their style.

“Kahuna is that kind of expert, competent leader in a tribe or family,” Jai says. “That’s all because we had this concept of really wanting to be providing a very..family-oriented consulting approach. Treat our customers like family, and with respect, love and really just try and deliver on that promise.” Continue reading.

Cindy Taff, CEO of Sage Geosystems

Cindy Taff of Sage Geosystems explains why she's so optimistic about geothermal and her company's technology. Photo courtesy of Sage

Geothermal energy is an integral part of decarbonizing the energy industry, and Sage Geosystems CEO Cindy Taff believes her company's tech has what it takes to lead the way.

Founded in Houston in 2020, Sage Geosystems is focused on two business lines — energy storage and geothermal. In addition to developing these technologies, Taff says Sage has "cracked the code" on both reducing costs and maximizing electricity output. Sage has customers ranging from Nabors, the world’s largest land-based drilling company, and Virya LLC, an investor in climate ventures with high impact of eliminating global greenhouse gas emissions or sequestering CO2. Continue reading.

Patrick Flam, CFO of Revterra

Revterra was selected from among 10 finalists receiving up to $1 million piloting opportunities. Photo via ADNOC

Revterra, which produces novel batteries made from recycled steel, has been awarded a million-dollar piloting opportunity by ADNOC following a global competition. The ADNOC Decarbonization Technology Challenge, in collaboration with AWS, bp, Hub71, and the Net Zero Technology Centre, sought to find emerging climate tech innovations that are ready for scale.

At the event in Dubai, Revterra was selected from among 10 finalists receiving up to $1 million piloting opportunities. In addition to the $1 million, they will gain access to facilities and expertise at the ADNOC Research and Innovation Center in Abu Dhabi.

“We are thrilled to win this opportunity,” Patrick Flam, CFO of Revterra, says in a news release. “At Revterra, we have developed an environmentally friendly battery that doesn’t rely on metals like lithium, nickel, or cobalt.” Continue reading.

Cindy Taff of Sage Geosystems explains why she's so optimistic about geothermal and her company's technology. Photo courtesy of Sage

Houston sustainability startup founder on why geothermal is a 'cornerstone' tech for energy transition

Q&A

Geothermal energy is an integral part of decarbonizing the energy industry, and Sage Geosystems CEO Cindy Taff believes her company's tech has what it takes to lead the way.

Founded in Houston in 2020, Sage Geosystems is focused on two business lines — energy storage and geothermal. In addition to developing these technologies, Taff says Sage has "cracked the code" on both reducing costs and maximizing electricity output. Sage has customers ranging from Nabors, the world’s largest land-based drilling company, and Virya LLC, an investor in climate ventures with high impact of eliminating global greenhouse gas emissions or sequestering CO2

In a Q&A that originally ran on EnergyCapital, she explains why she's so optimistic about geothermal and her company's technology.

EnergyCapital: Why do you believe geothermal has a major role to play in the energy transition?

CindyTaff: Geothermal energy is not just a contender in the energy transition; it is a cornerstone. The question isn’t if we can drive down the costs to be competitive with wind, solar, and natural gas—it’s when. As renewable credits for solar and wind begin to expire, these industries will face the reality of their “real costs.”

As a 24/7 renewable energy source, it provides a constant and reliable power supply, unlike the intermittent nature of solar and wind. Moreover, the rising costs of lithium-ion batteries, driven by the increasing scarcity of lithium and cobalt, further underscore geothermal’s economic viability.

My extensive experience in both geothermal and the O&G sector is a testament to the synergistic relationship between these industries. The skills honed in O&G are not only transferable—they are essential to advancing geothermal technologies. In summary, the O&G industry can make a huge impact to geothermal by systematically driving down costs while scaling up, which is exactly what we did for unconventional shales.

EC: When it comes to finding partners or investors, what are you looking for? What should potential partners/investors know about Sage?

CT: Our technology is ready to scale today, not five to 10 years into the future. We will deliver our first energy storage power plant in 2024 and our first enhanced geothermal power plant in 2025. We are looking for synergies with investors, such as companies with power market or O&G expertise.

In addition, we seek to partner with others who have local content and relationships in places around the world to enable us to quickly and broadly scale our technologies. Sage's technologies are extremely flexible, in that we can deliver energy storage or enhanced geothermal to the utility grid or behind-the-meter to targeted commercial customers, including a dedicated microgrid (i.e., for the U.S. Air Force). Our technologies can provide electricity to remote locations such as mining operations or to large population centers such as Houston, and everything in between.

EC: What's the biggest challenge Sage is facing as an energy transition startup and how do you plan to tackle it?

CT: A common misunderstanding about Sage is that we only do energy storage or that we only do geothermal. However, we do both and the technologies build on one another. Essentially, our energy storage technologies will allow us to "walk" before we "run" with geothermal. On a related point, at this point in the energy transition, time to commercialization and affordability of new clean technology are the leading factors in terms of climate impact. As the first geothermal company to deliver a cost-effective commercial enhanced geothermal system, we are poised to truly make a meaningful difference.

EC: As a woman in a male-dominated industry tackling a global problem, what's been your biggest lesson learned? What's your advice to fellow energy tech female founders?

CT: In my journey as a woman in the energy tech industry, I’ve been fortunate to focus on the work and the global challenges we’re addressing, rather than on any gender-based obstacles. My biggest lesson learned is that innovation and leadership know no gender. Success is driven by perseverance, vision, and collaboration.

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This conversation has been edited for brevity and clarity.

The six finalists for the sustainability category for the 2023 Houston Innovation Awards weigh in on their challenges overcome. Photos courtesy

Top Houston-based sustainability startups share their 4 biggest challenges

houston innovation awards

Six Houston-area sustainability startups have been named finalists in the 2023 Houston Innovation Awards, but they didn't achieve this recognition — as well as see success for their businesses — without any obstacles.

The finalists were asked what their biggest challenges have been. From funding to market adoption, the sustainability companies have had to overcome major obstacles to continue to develop their businesses.

The awards program — hosted by InnovationMap, and Houston Exponential — will name its winners on November 8 at the Houston Innovation Awards. The program was established to honor the best and brightest companies and individuals from the city's innovation community. Eighteen energy startups were named as finalists across all categories, but the following responses come from the finalists in the sustainability category specifically.

    Click here to secure your tickets to see who wins.

    1. Securing a commercial pilot

    "As an early-stage clean energy developer, we struggled to convince key suppliers to work on our commercial pilot project. Suppliers were skeptical of our unproven technology and, given limited inventory from COVID, preferred to prioritize larger clients. We overcame this challenge by bringing on our top suppliers as strategic investors. With a long-term equity stake in Fervo, leading oilfield services companies were willing to provide Fervo with needed drilling rigs, frack crews, pumps, and other equipment." — Tim Latimer, founder and CEO of Fervo Energy

    2. Finding funding

    "Securing funding in Houston as a solo cleantech startup founder and an immigrant with no network. Overcome that by adopting a milestone-based fundraising approach and establishing credibility through accelerator/incubator programs." — Anas Al Kassas, CEO and founder of INOVUES

    "The biggest challenge has been finding funding. Most investors are looking towards software development companies as the capital costs are low in case of a risk. Geothermal costs are high, but it is physical technology that needs to be implemented to safety transition the energy grid to reliable, green power." — Cindy Taff, CEO of Sage Geosystems

    3. Market adoption

    "Market adoption by convincing partners and government about WHP as a solution, which is resource-intensive. Making strides by finding the correct contacts to educate." — Janice Tran, CEO and co-founder of Kanin Energy

    "We are creating a brand new financial instrument at the intersection of carbon markets and power markets, both of which are complicated and esoteric. Our biggest challenge has been the cold-start problem associated with launching a new product that has effectively no adoption. We tackled this problem by leading the Energy Storage Solutions Consortium (a group of corporates and battery developers looking for sustainability solutions in the power space), which has opened up access to customers on both sides of our marketplace. We have also leveraged our deep networks within corporate power procurement and energy storage development to talk to key decision-makers at innovative companies with aggressive climate goals to become early adopters of our products and services." — Emma Konet, CTO and co-founder of Tierra Climate

    4. Long scale timelines

    "Scaling and commercializing industrial technologies takes time. We realized this early on and designed the eXERO technology to be scalable from the onset. We developed the technology at the nexus of traditional electrolysis and conventional gas processing, taking the best of both worlds while avoiding their main pitfalls." — Claus Nussgruber, CEO of Utility Global

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    This article originally ran on EnergyCapital.

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    Houston-based equitable entrepreneurship tech platform expands programs

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    Fresh off of celebrating the dismissal of a lawsuit from former Trump Administration officials, Hello Alice is expanding some of its offerings for entrepreneurs.

    In partnership with top organizations — like Progressive, Antares Capital, Wells Fargo, and FedEx — Hello Alice has added new offerings for its 2024 Boost Camp programs, a mix of skill-building support and grant opportunities.

    “We are fortunate to continue working with great enterprise partners who share our commitment to supporting Main Street through crucial grants and mentorship programs,” Carolyn Rodz, CEO and co-founder of Hello Alice, says in a news release. “Small businesses drive our economy, yet often lack the necessary financing and resources. By partnering with major companies, Hello Alice is ensuring that small businesses have access to the tools and opportunities they need to thrive and create jobs in their local communities. Together, we are building a robust support system that fosters innovation and growth for small businesses across the country.”

    This year's programs, according to Hello Alice, are as follows:

    • Antares Capital REACH Cohort: The Antares REACH Grant Program provides $20,000 grants to small businesses. Grant recipients will also take part in Antares’ Growth Track Boost Camp program, a digital community which will be home to monthly business coaching workshops, mentorship, networking, and more. Applications are open until June 28, and the program begins August 8.
    • Progressive Driving Small Business Forward Grant & Booster Camp Program: Progressive is dedicating $1 million to award 20 deserving businesses with a $50,000 grant each. Grant recipients will be invited to attend an exclusive 12-week virtual Boost Camp coaching program. Applications have closed for the program beginning September 10.
    • Wells Fargo: Wells Fargo is supporting four virtual accelerator programs over the next 18 months, designed to support up to 500 participants for each program, with a focus on business health and credit-building practices. Applications will be announced this summer for the program, which will begin in early fall.
    • FedEx: The FedEx Entrepreneur Fund supports entrepreneurs in the United States by providing them with the necessary funding, resources, and networks to enhance the success of their businesses, including the Boost Camp coaching program.
    • Applications will be announced this fall for the program, which will begin in the winter.

    More information and application access is available online.

    Last year's Boost programs benefitted 100 small businesses, according to Hello Alice, which reported that the 2023 Antares REACH Cohort resulted in 60 percent of participants seeing an increase in their Business Health Score and 93 percent felt better equipped to confront challenges and capitalize on opportunities. In the end, 85 percent of participants feeling more optimistic about their business growth prospects.

    "Hello Alice is proud to partner with high-level enterprise companies to empower small businesses and foster their success," Natalie Diamond, vice president of business development at Hello Alice, adds. "Together, we are creating unparalleled opportunities for entrepreneurs to achieve brand success, drive financial fitness, and thrive in today's competitive market. Our joint endeavors not only offer access to capital and resources but also provide tailored guidance and mentorship, arming small business owners with the insights and support necessary to navigate challenges and seize growth opportunities.”

    Houston company's sustainable oil product reaches milestone production capacity 5 years early

    overachieving

    Houston-based biotech company Cemvita has achieved a key production goal five years ahead of schedule.

    Thanks to technology advancements, Cemvita is now capable of generating 500 barrels per day of sustainable oil from carbon waste at its first commercial plant. As a result, Cemvita has quadrupled output at the Houston plant. The company had planned to reach this milestone in 2029.

    Cemvita, founded in 2017, says this achievement paves the way for increased production capacity, improved operational efficiency, and an elevated advantage in the sustainable oil market.

    “What’s so amazing about synthetic biology is that humans are just scratching the surface of what’s possible,” says Moji Karimi, co-founder and CEO of Cemvita. “Our focus on the first principles has allowed us to design and create new biotech more cheaply and faster than ever before.”

    The production achievement follows Cemvita’s recent breakthrough in development of a solvent-free extraction bioprocess.

    In 2023, United Airlines agreed to buy up to one billion gallons of sustainable aviation fuel from Cemvita’s first full-scale plant over the course of 20 years.

    Cemvita’s investors include the UAV Sustainable Flight Fund, an investment arm of Chicago-based United; Oxy Low Carbon Ventures, an investment arm of Houston-based energy company Occidental Petroleum; and Japanese equipment and machinery manufacturer Mitsubishi Heavy Industries.

    Tech disruptions sparked by Texas co.'s update highlight the fragility of globally connected technology

    Airlines, banks, hospitals and other risk-averse organizations around the world chose cybersecurity company CrowdStrike to protect their computer systems from hackers and data breaches.

    But all it took was one faulty CrowdStrike software update to cause global disruptions Friday that grounded flights, knocked banks and media outlets offline, and disrupted hospitals, retailers and other services.

    “This is a function of the very homogenous technology that goes into the backbone of all of our IT infrastructure,” said Gregory Falco, an assistant professor of engineering at Cornell University. “What really causes this mess is that we rely on very few companies, and everybody uses the same folks, so everyone goes down at the same time.”

    The trouble with the update issued by CrowdStrike and affecting computers running Microsoft's Windows operating system was not a hacking incident or cyberattack, according to CrowdStrike, which apologized and said a fix was on the way.

    But it wasn't an easy fix. It required “boots on the ground” to remediate, said Gartner analyst Eric Grenier.

    “The fix is working, it’s just a very manual process and there’s no magic key to unlock it,” Grenier said. “I think that is probably what companies are struggling with the most here.”

    While not everyone is a client of CrowdStrike and its platform known as Falcon, it is one of the leading cybersecurity providers, particularly in transportation, healthcare, banking and other sectors that have a lot at stake in keeping their computer systems working.

    “They’re usually risk-averse organizations that don’t want something that’s crazy innovative, but that can work and also cover their butts when something goes wrong. That’s what CrowdStrike is,” Falco said. “And they’re looking around at their colleagues in other sectors and saying, ‘Oh, you know, this company also uses that, so I’m gonna need them, too.’”

    Worrying about the fragility of a globally connected technology ecosystem is nothing new. It's what drove fears in the 1990s of a technical glitch that could cause chaos at the turn of the millennium.

    “This is basically what we were all worried about with Y2K, except it’s actually happened this time,” wrote Australian cybersecurity consultant Troy Hunt on the social platform X.

    Across the world Friday, affected computers were showing the “blue screen of death” — a sign that something went wrong with Microsoft's Windows operating system.

    But what's different now is “that these companies are even more entrenched,” Falco said. "We like to think that we have a lot of players available. But at the end of the day, the biggest companies use all the same stuff.”

    Founded in 2011 and publicly traded since 2019, CrowdStrike describes itself in its annual report to financial regulators as having “reinvented cybersecurity for the cloud era and transformed the way cybersecurity is delivered and experienced by customers.” It emphasizes its use of artificial intelligence in helping to keep pace with adversaries. It reported having 29,000 subscribing customers at the start of the year.

    The Austin, Texas-based firm is one of the more visible cybersecurity companies in the world and spends heavily on marketing, including Super Bowl ads. At cybersecurity conferences, it's known for large booths displaying massive action-figure statues representing different state-sponsored hacking groups that CrowdStrike technology promises to defend against.

    CrowdStrike CEO George Kurtz is among the most highly compensated in the world, recording more than $230 million in total compensation in the last three years. Kurtz is also a driver for a CrowdStrike-sponsored car racing team.

    After his initial statement about the problem was criticized for lack of contrition, Kurtz apologized in a later social media post Friday and on NBC's “Today Show.”

    “We understand the gravity of the situation and are deeply sorry for the inconvenience and disruption,” he said on X.

    Richard Stiennon, a cybersecurity industry analyst, said this was a historic mistake by CrowdStrike.

    “This is easily the worst faux pas, technical faux pas or glitch of any security software provider ever,” said Stiennon, who has tracked the cybersecurity industry for 24 years.

    While the problem is an easy technical fix, he said, it’s impact could be long-lasting for some organizations because of the hands-on work needed to fix each affected computer. “It’s really, really difficult to touch millions of machines. And people are on vacation right now, so, you know, the CEO will be coming back from his trip to the Bahamas in a couple of weeks and he won’t be able to use his computers.”

    Stiennon said he did not think the outage revealed a bigger problem with the cybersecurity industry or CrowdStrike as a company.

    “The markets are going to forgive them, the customers are going to forgive them, and this will blow over,” he said.

    Forrester analyst Allie Mellen credited CrowdStrike for clearly telling customers what they need to do to fix the problem. But to restore trust, she said there will need to be a deeper look at what occurred and what changes can be made to prevent it from happening again.

    “A lot of this is likely to come down to the testing and software development process and the work that they’ve put into testing these kinds of updates before deployment,” Mellen said. “But until we see the complete retrospective, we won’t know for sure what the failure was.”