Investor Jason Calacanis lent his time and expertise to seven Houston startups. Photo via twitter.com/houex

Imagine having to pitch your company to a famed investor who has made investments in over 200 companies — seven of which achieved unicorn status. Now, imagine having to do that onstage in front of an audience — in person and virtually viewing.

That was seven Houston entrepreneurs' morning on March 4 during Houston Tech Rodeo. Jason Calacanis heard from the founders and gave his feedback on their business models, as well as general pitch advice. While some of his notes were in the realm of constructive criticism, he stayed pretty positive — for the most part.

"If you're a founder, you're signing up for a 70 percent failure. It's basically a suicide mission, except you don't actually die. You just hit the reset button and go again," Calacanis says to the crowd.

Calacanis also has a great deal of optimism for the region itself, noting on the potential of the innovation ecosystem, and, as an aside, the local basketball team.

"There's no reason Houston as big as a center as Austin has become," Calacanis says. "All it takes is for some of the rich people to say, 'instead of investing in some bond or Wall Street somewhere where they don't know what's going on and to take it and pay it forward with an entrepreneur."

Here are the seven Houston companies that pitched fir Calacanis, as well as some of his feedback.

Topper Luciani, CEO and founder of Goodfair

goodfair

Houston-based Goodfair sells bundles of used clothing at a low cost. Photo courtesy of Goodfair

Kicking things off was Topper Luciani, CEO and founder of Goodfair, CEO and founder of Goodfair. On a mission to counteract the pollution of fast fashion, the company, which launched in 2018, sells second-hand clothing using "mystery shopping," shipping all of their clothing in variety packs chosen according to a customer's size and taste. This eliminates the cost of photographing, measuring, lowering the price for both the customer and the company.

"Climate chance is Gen Z's crisis, and they are our customers," Luciani tells Calacanis and the crowd.

Goodfair expects to do $5 million in revenue this year, as well as raise its seed round. Calacanis give Luciani advice to make sure he answers the question of, in a world with recycled clothing stores and a growing need for environmentalism, why now?

Katharine Forth, CEO and founder of Zibrio

Balancing is important throughout your life, and Zibrio has the tools and tips for you to use to stay centered. Pexels

From NASA to your bathroom floor — Katharine Forth, CEO and founder of Zibrio, has found a new way to track balance. With her company, people can have the everyday ability to figure out how balanced they are on scale of 1 to 10. The scale gathers data from your weight, your postural control, your muscles and other factors to calculate the rating.

But Forth's business is split between two products — a consumer-focused scale and a scale made for medical professionals to use. Calacanis says it's one scale too many and to focus on just one for now. He compared the company to if Uber tried to launch its upgrades its made over the years all at once.

"You're coming out of the gate with UberPool and UberBlack. Big mistake," he says.

Amy Gross, founder and CEO, VineSleuth Inc

vinesleuth

Houston-based VineSleuth created a custom algorithm to match you with new wines based on wines you've had in the past. Courtesy of VineSleuth

Picking wine out isn't rocket science, and yet, "confusion is costing the industry billions," says Amy Gross, founder and CEO, VineSleuth Inc. The company's custom algorithm is backed by research from sensory scientists at Cornell University, and relies on both data collection and machine learning to determine specific wines that will match an individual customer's tastes.

The B2B approach has launched in a few restaurants around town and, as of this week, the Houston Livestock Show and Rodeo's Wine Garden. But how Gross is currently approaching business isn't exactly attractive to investors.

"The business comes across as a small niche business, which is going to cause investors to run," Calacanis explains.

His advice is to use the technology to prove to restaurants and bars that they are overpaying for their wines.

Panos Moutafis, CEO and co-founder, Zenus Biometrics

Zenus Biometrics uses its facial recognition software to provide seamless check in at events around the world. Courtesy of Zenus Biometrics

What started as a convenient way to check into events is now a facial recognition solution to event data. Zenus Biometrics can scan faces of event attendees for security — but also for data analytics, says Panos Moutafis, CEO and co-founder.

While the tech company has already evolved, Calacanis saw even more potential for the software, comparing it to the iPhone. The device is used more for a camera and app usage than an actual phone.

"As technologists we build something," Calacanis says. "Then we find out what people actually use it for."

While based in Houston now, Moutafis mentions that he will soon be relocated to Austin.

Safir Ali, co-founder and CEO of Hamper

Houston-based Hamper, which makes dry cleaning convenient, won the Rockets and BBVA Compass' LaunchPad competition. Courtesy of Hamper

Safir Ali grew up in his parents' dry cleaning store, and he observed that the biggest inconvenience for customers was them trying to make it to the cleaners to get their clothes before it closed. His company, Hamper, aims to provide a solution as "the Red Box of dry cleaning." Customers can deposit their dry cleaning in a kiosk in their office building, and it will be delivered to pick-up locations.

Calacanis liked that Ali has a background in the dry cleaning business."It takes somebody who is so obsessed that they aren't going to give up," he says, adding that he liked Ali's story.

"When you have something new – something that's novel, you could get a lot of attention," Calacanis says. "For things that are not novel, you have to use performance. You have to use the metrics."

Dyan Gibbens, founder and CEO, Trumbull Unmanned

Trumbull Unmanned equips energy companies with data-retrieving drones. Photo via trumbullunmanned.com

Trumbull Unmanned has created an enterprise software company to analyze data collected from drones flying over oil and gas sites. The technology allows workers to maintain a safe distance and still collect the information needed. Dyan Gibbens, founder and CEO, has secured some impressive contracts with companies, including Exxon.

Calacanis asked Gibbens about those contracts and how much they were usually for, but didn't like her first answer.

"Every answer we get as investors is, 'It depends,'" Calacanis says, explaining a "pro tip" for entrepreneurs. " You want to lead with some examples and get some ground truth. Sell us that ground truth."

Calacanis' next piece of advice for Gibbens was to add a second set of data collecting technology, such as a moisture sensor or heat sensor, creating two sets of data for clients.

"Being agnostic to how you solve the problem is [a big opportunity]. Also, that becomes an upsell," Calacanis says.

Ksenia Yudina, founder and CEO, UNest

UNest is a tax-free way to save money for your children's education. Photo via unestapp.com

UNest is using user-friendly app technology to set up college funds for millennial parents. And Founder Ksenia Yudina has gotten some great reception, which has caused financial advisers to take note and even reach out. But Calacanis says they are, in a way, the enemy for her product and she needs to not spread out her resources trying to partner with financial advisers.

"Part of being a successful founder is knowing what you need more and what to stay focused on," Calacanis says. "If you remain a product that people like, everyone is going to drown you in opportunities. And as CEO you have to know when to say no."

The winner of the contest will be announced at a Rockets game in early April. Courtesy of Greater Houston Convention and Visitors Bureau

Houston Rockets, BBVA launch annual startup competition

game on

It's game on for Houston startups looking to compete in the Launchpad contest backed by BBVA USA and the Houston Rockets.

Houston startups have until February 28 to submit their companies for the competition. Judges from BBVA and the Rockets will select four by late March, and fans will vote on their favorite company. The winner will be presented with a $10,000 check at a Rockets game in late April. The winning startup will also receive consultations with Rockets and BBVA USA executives.

It's the fourth time BBVA has sought out entrepreneurs, but last year the organization revamped the program to focus on technology-driven startups.

"Over the past three years, we have been proud to partner with BBVA to highlight small businesses in Houston and their contribution to our economy," says Rockets Chief Revenue Officer Gretchen Sheirr. "Entering its fourth year, the Launchpad contest seeks nominees focused on using best in class digital strategies to enhance their small business. We look forward to reviewing submissions and honoring the great work that is being done by these businesses in our community.

BBVA's new Houston CEO Dillan Knudson, who was promoted to his new position in November, is excited for his inaugural involvement in the contest.

"It's extremely exciting to collaborate with the Rockets for the first time, and for such a great initiative that helps Houston's thriving small business scene," says Knudson. "Part of my new role is to create opportunities and financial freedom for Houston's communities through the bank's ample resources, and to do that in collaboration with a staple organization of this city is an honor."

Houston-based Hamper, which makes dry cleaning convenient, won the Rockets and BBVA Compass' LaunchPad competition. Courtesy of Hamper

Last year, Launchpad's winner was Hamper. Hamper's co-founder and CEO Safir Ali started his company to use technology to optimize the dry cleaning business and compares Hamper to the "Red Box of dry cleaning." The win was big for Hamper's future.

"It was an absolute pleasure to be recognized by BBVA and the Houston Rockets as the winner of the 2019 Launchpad Contest," says Ali in the release. "It was a very exciting moment for Hamper, and we are very grateful to have the opportunity to be recognized in our community. Many thanks to both BBVA and the Houston Rockets for empowering Houston businesses and giving them such a great platform to be recognized for their efforts, and for playing an active role in empowering entrepreneurship in Houston."

From personal and consumer technology to B2B companies ready to scale, here's who to watch in Houston tech. Getty Images

5 emerging tech startups in Houston to keep an eye on

up and comers

When it comes to Houston's tech startups, it's as diverse as Houston's population. There are software-as-a-service companies, new mobile technology, and even virtual reality startups that all call Houston home.

Here's a roundup of these Houston companies that you need to keep an eye on.

Hamper

Houston-based Hamper, which makes dry cleaning convenient, won the Rockets and BBVA Compass' LaunchPad competition. Courtesy of Hamper

Despite working most summers in his family's dry cleaning shop, Safir Ali wasn't thinking about taking over his family business. He was living his young professional life with a freshly minted degree from Texas A&M University and a corporate job. However, when he started thinking of all the modern conveniences available now — RedBox, ridesharing, delivery apps — he couldn't help but think of how antiquated dry cleaning was compared.

Ali and his brother hope to upgrade dry cleaning with their startup, Hamper. Ali describes it as "the Red Box of dry cleaning." Customers can deposit their dry cleaning in a kiosk in their office building, and it will be delivered straight to their suite. Originally, Safir thought the kiosks could be stand-alones, but it proved to be easier to partner with high-traffic office spaces, like those in the busy Galleria or over in Williams Tower.

The company has gained some traction — and even some prize money. Hamper won first place in the 2019 LaunchPad Contest, which was sponsored by the Houston Rockets and BBVA Compass. The win brought in a $10,000 prize, along with a consultation with Rockets and BBVA Compass executives and a host of other prizes.

Read more about Hamper here.

Pandata Tech

Houston-based Pandata Tech uses its machine learning technology to advance oil and gas operations. Photo courtesy of Pandata Tech

Drilling data can be muddled and hard to use, but Houston-based Pandata Tech has developed the technology to clean and automate data collection for its oil and gas clients. But Gustavo Sanchez, co-founder and CEO of the company, is looking to take his technology into other industries.

The Pandata team is now expanding to fields like defense and healthcare, which also generate hundreds of thousands of data points that need it be checked. The unique challenges of working with large drilling rigs have translated well to working with aircrafts. And the healthcare field is similar — with the Texas Medical Center, Houston's medical research centers can benefit from hastening the process of data validation.

"There's so much data, and it's so noisy, that it's hard to know whether the data can be trusted or not," Sanchez says.

Read more about Pandata Tech here.

Camppedia

Camppedia, a Houston-based startup, can help match kids to summer camps all around town. Photos courtesy of Camppedia

Probably the least fun thing about summer camp is finding and booking the summer camp. Of course, this responsibility falls on the busy adults' to-do lists. Two Houston parents, Tudor Palaghita and his sister Ana, wanted to create a solution for the overwhelming process.

"We're working parents, we're strapped on time, but we want to make sure we give our kids enriching experiences," explains Ana. "One spring, we were going through the [camp search] process, and we talked about how difficult it was. And the next spring, we said, there's something here. We feel this pain, our friends feel this pain, and no one is helping us. Why don't we solve our problem ourselves?"

And that's exactly what they did. The duo used their business and technology backgrounds — Ana has an MBA from Northwestern University and built a successful career in a major financial institution, and Tudor has his Ph.D. in aerospace engineering from Georgia Tech — to launch Camppedia.com. The site is intended to be a one-stop shop for parents looking for camps for their children.

The tool launched in March of 2019, coinciding with spring break. Currently, it offers options throughout central Houston. Parents can select camps for their children based on interests, their ZIP codes, cost or even those that offer extended hours for moms and dads with full-time jobs.

Read more about Camppedia here.

HTX Labs

VR training startup, HTX Labs, recently brought on Houston-based Solvay GBU Peroxides North America as a client. Trainees can work on a digitized version of the plant that looks as real as could be. Courtesy of HTX Labs

Virtual and augmented reality training in industrial settings is on the rise as the process and technology allows for quicker training and minimized risk. Houston-based startup HTX Labs LLC is one of the tech companies at the forefront of the VR-infused modernization of workplace training. Among its customers are the United States Air Force, Mastercard, Rackspace, and Houston-based Solvay GBU Peroxides North America, a maker of hydrogen peroxide.

At its core, the company's VR training zeroes in on the trainee, providing engaging, interactive experiences that stress "learning by doing," Scott Schneider, founder and CEO of HTX Labs, says. Training programs that have been around for decades are "designed for trainers, not necessarily for trainees," he says.

Read more about HTX Labs here.

Lodgeur

Lodgeur provides its guests with hotel luxury with room to breathe. Courtesy of Lodgeur

Travelers are usually faced with a decision to make: Privacy and homeliness of an apartment rental or style and class of a hotel room. Houston-based Lodgeur hopes to exist to have the best of both worlds. With Houston's busy business travel industry, founcer Sébastien Long knew he was starting in a good market.

"We're roughly split between leisure guests and business travelers," Long says. "They want to feel like they're staying in a home away from home."

The first guests arrived in mid-April. Long wanted to open by managing just a few properties, to make sure the company could ensure great guest experiences.

Read more about Lodgeur here.

From rethinking dry cleaning or marketing to flipping the script on pop culture events, here's who to know this week in Houston innovation. Courtesy Photos

3 Houston innovators to know this week

Who's Who

This week's batch of Houston innovators to know are all rethinking the way things are being done, from dry cleaning and marketing to pop culture events. Scroll through to see who's who in Houston innovation this week.

Safir Ali, founder and CEO of Hamper

Safir Ali leads Houston-based Hamper, which won the Rockets and BBVA Compass' LaunchPad competition. Courtesy of Hamper

It's a good week for Safir Ali, who's company just won a startup competition put on by the Houston Rockets and BBVA Compass. Hamper, his company, makes dry cleaning more convenient for customers with pick up and delivery. His parents run a dry cleaning shop and he always thought it was a bit antiquated.

"I had this 'aha' moment in 2016," Safir says. "I had graduated from Texas A&M in 2014 and was working a corporate job and the last thing on my mind was joining the family business. But I started to see all the pain points for people in dry cleaning." Learn more about Hamper here.

Allie Danziger, founder and president of Integrate Agency

When it comes to setting up a marketing budget for your startup, considering every angle is important, says Allie Danziger of Integrate Agency. Getty Images

Allie Danziger has been focused on digital marketing since before it was cool. The entrepreneur created her Houston agency 10 years ago and has been growing ever since. She wrote a guest column for InnovationMap last week about how startups and small businesses should decide on how much to spend on marketing.

"Industry research suggests spending 5 percent to 12 percent of total revenue on an annual marketing budget," she writes. "At Integrate Agency, we believe marketing spend should be determined from key data points, versus current size." Click here to read the rest of the article.

Michael Heckman, Comicpalooza president and senior vice president at Houston First

Michael Heckman shares about some exciting new aspects of Houston's 11th annual Comicpalooza. Courtesy of Houston First

It's safe to say that Michael Heckman has had a busy weekend. The 11th annual Comicpalooza took over downtown Houston this past weekend, but just because one event is over, doesn't mean Heckman or his team at Houston First Corp. is slowing down.

"Our convention sales team looks to break another record this year," Heckman tells InnovationMap. "We have a lot of major events upcoming — from the college football playoff to the men's basketball Final Four, and we'll eventually pursue another Super Bowl."

Heckman says he has some big ideas for even an innovation-focused conference. Read the rest of the Q&A with Heckman here.

Houston-based Hamper, which makes dry cleaning convenient, won the Rockets and BBVA Compass' LaunchPad competition. Courtesy of Hamper

Houston 'RedBox of dry cleaning' startup wins the Rockets' Launchpad Contest and pockets a $10,000 prize

Winner, winner

Safir Ali and his brother, Mubeen, thought they had a better way to improve and modernize the dry cleaning user experience, and, lucky for them, the judges behind the 2019 LaunchPad Contest agreed.

The contest, sponsored by the Houston Rockets and BBVA Compass, will reward Hamper with a $10,000 prize, along with a consultation with Rockets and BBVA Compass executives and a host of other prizes. But winning the startup competition, which seeks to recognize Houston-area entrepreneurs using technology to advance their businesses, has been icing on the cake for Hamper's successes.

The brothers grew up in their parents' dry cleaning store. After school and over summer vacations, the boys would work in the shop, which their father founded shortly after emigrating to the U.S. in 1989.

"I had this 'aha' moment in 2016," Safir says. "I had graduated from Texas A&M in 2014 and was working a corporate job and the last thing on my mind was joining the family business. But I started to see all the pain points for people in dry cleaning."

The biggest, he observed, was the inconvenience of it all. He'd notice people rushing to collect their shirts and suits in the after-work hours between 5 and 7 p.m., harried looks on their faces in the sprint to get there in time, relief that they'd made it before the doors closed at 7.

"'I'm so glad you're still open!' they'd tell us," he says. "And I thought, there really has to be a better way."

That better way, he and Mubeen are betting, is Hamper. Safir describes it as "the Red Box of dry cleaning." Customers can deposit their dry cleaning in a kiosk in their office building, and it will be delivered straight to their suite. Originally, Safir thought the kiosks could be stand-alones, but it proved to be easier to partner with high-traffic office spaces, like those in the busy Galleria or over in Williams Tower.

Hamper's concept is two-pronged, but simple. Before the company even built a drop-off kiosk, they created an app that would allow people to schedule when a driver could come and collect their dry cleaning. Using technology similar to the kinds of location software Uber uses, Hamper users could create an account, tick off what items they needed laundered or dry cleaned, then select both a pick up and a drop off time. A Hamper driver would come and collect the items, and then return with them fully pressed and cleaned.

The app launched in 2017, but it was never the end game.

"The kiosk prototype took us a year and a half to build out," says Safir, who enlisted the help of some friends who'd studied mechanical and electrical engineering to do it. Last summer, Hamper started a pilot program for the kiosks, setting them up in three Class-A office buildings.

"The idea is that the buildings and offices can offer dry cleaning as another amenity," says Safir.

For customers, using a Hamper kiosk is easy. The first time they visit the kiosk, they input their mobile phone number, then create an account with their name and office suite. They then scan the special Hamper bag they've picked up either from a promotional visit by Hamper or from the kiosk itself. Each bag has a unique QR code that becomes attached to the customer record. Once the bag is scanned, customers receive a text message to connect with Hamper and complete their order, listing the items they've put into the bag and inputting payment information. They then seal the bag and drop it into the kiosk. Hamper drivers collect all of the bags, and bring them to the Ali family's dry cleaning shop, where they are laundered. Once they're ready, the items are brought back to the offices. Customers keep the dry cleaning bags for their next order.

"We strive for excellence, both in terms of price and quality of service," says Safir, who's a member at Station Houston. "When the garments come in and when they go out, we have a seven-point inspection system. If a seam's come loose or a button has been broken somewhere along the way, we fix that."

Being able to combine the quality of a family business with 21st century technology has been exciting for Safir. The kiosk software was built in Angular, and is now hosted on React JS. Hamper's revamped website is about to make the transition to React JS, having formerly existed on Angular.

"The cool thing for us is that we're gearing up to build software for our dry cleaning facility – we call it the plant," says Safir. "We want to revamp the traditional experience where each garment is given an individual ticket and someone staples that onto the garment and pushes it through the system."

He envisions a system where a permanent barcode will be imprinted on a particular garment's care tag, so that whenever that garment comes back to Hamper, all the information about its cleaning will be there: does the customer like light starch, does it need some sort of additional care.

"If we can automate that intake process, we can be more efficient," says Safir. "At some point, I'd love to look at using AI to do things like spot stains or other damages before we wash the garments."

Safir knows he's disrupting the family business, and he readily admits that his father looked at him and his brother like they were crazy when they first broached the idea. But he came to appreciate the brothers' worth ethic, which Safir says they inherited from their mom and dad,and the idea that his sons were making a dream of his come true.

"For as long as I can remember, my dad talked about wanting a warehouse space in addition to a retail store," says Safir. "And thanks to the business we've brought in, we're working to make that a reality. We'll probably move in in September."

Once they do, Safir knows, two generations of dry cleaners will co-exist, using the tools of their centuries to continue their business.

In addition to the prize money from the Rockets Launchpad Contest, Hamper will also be recognized in a joint press release announcing the company's win, as well as getting some love at halftime at an upcoming Rockets game and having the win posted on social media.

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Early-stage accelerator names 9th Houston cohort

ready to grow

For the ninth time, gBETA is incubating five early-stage Houston startups providing innovative solutions across skincare, human resources, and more.

Global organization gener8tor, along with Downtown Launchpad, started its ninth gBETA Houston cohort last month. The free seven-week, no-equity accelerator program selected five Houston-based founders to provide helpful programming, support, and connections to mentors, customers, corporate partners, and investors.

"We're thrilled to continue fostering innovation in Houston and are thankful for our collaboration with Downtown Launchpad as we launch the ninth cohort of gBETA Houston,” says Vanessa Huerta, vice president of gBETA at gener8tor, in a statement.

The program has accelerated 40 Houston companies since its launch in Houston a few years ago. The companies have gone on to raise over $8.6 million in funding and created more than 70 jobs.

“With each new cohort, we witness the power of innovation unleashed,” Muriel Foster, gBETA Houston director, says in the release. “The Spring 2024 gBETA Houston cohort embodies the spirit of relentless creativity and boundless ambition.”

The gBETA Houston Spring 2024 Cohort includes:

  • Cosnetix is innovating within personalized skincare, leveraging genetic and microbial skin profiling to offer users custom skincare product recommendations. The platform has been developed through over 100 customer discovery interviews and is headed for beta-testing.
  • Kannect has created an innovative community engagement platform — already used by 20 organizations — to streamline communication, foster collaboration, and enhance member engagement. The tools can be used by nonprofits, associations, religious institutions, and beyond as a digital dashboard to manage memberships, organize events, and facilitate meaningful interactions.
  • Targeting college grads and career pivoters, No Experience Jobs helps users find entry-level jobs that don’t require experience. In its first three months of launching, NoExperienceJobs.io received more than 72,000 unique monthly visitors, gained over 1,300 newsletter subscribers, generated more than 700,000 social media engagements, and is already revenue-generating.
  • The Roo App partners with bars and restaurants to connect designating drivers to those who need designated driver services. The company is currently operation on a web-based platform with over 1,500 current visitors, but plans to launch the mobile application later this year.
  • Yuyo.love is changing the fitness game by providing bilingual fitness classes ranging from yoga, pilates, dance, fitness, nutrition, and meditation. The company's hybrid classes have over 150 participants per class and plans to launch the platform this quarter.

Houston organization introduces inaugural cancer-fighting cohort of data sciences, experts

new to hou

The University of Texas MD Anderson Cancer Center is one step closer to ending cancer thanks to its new institute that's focused on data science.

MD Anderson’s goal with the new Institute for Data Science in Oncology (IDSO) is to advance collaborative projects that will bring the power of data science to every decision made at the hospital. And now, the IDSO has announced its inaugural cohort of 33 scientists, clinicians, and staff that will bring it to life, joining the already appointed leadership and focus area co-leads.

“By engaging diverse expertise across all of our mission areas, we will enhance the rich and productive data science ecosystem at MD Anderson to deliver transformational impact for patients,” David Jaffray, Ph.D., director of IDSO and chief technology and digital officer at MD Anderson, says in a press release.

The focus areas for the IDSO are quantitative pathology and medical imaging; single-cell analytics; computational modeling for precision medicine; decision analytics for health; and safety, quality, and access.

The IDSO Affiliates, as they are known, are a mix of existing contributors to the IDSO and team members who were recruited specifically for their expertise in data science. The affiliates were chosen to fulfill a two-year term, during which they will focus on IDSO projects related to the focus areas above. The diverse roster of professionals includes:

“Our affiliates bring expertise, perspectives and commitment from across the institution to foster impactful data science in order to tackle the most urgent needs of our patients and their families,” said Caroline Chung, M.D., director of Data Science Development and Implementation for IDSO and chief data officer at MD Anderson. “People and community are at the heart of our efforts, and establishing the IDSO Affiliates is an exciting step in growing the most impactful ecosystem for data science in the world.”

Houston initiative selected for DOE program developing hubs for clean energy innovation

seeing green

Houston has been selected as one of the hubs backed by a new program from the United States Department of Energy that's developing communities for clean energy innovation.

The DOE's Office of Technology Transitions announced the the first phase of winners of the Energy Program for Innovation Clusters, or EPIC, Round 3. The local initiative is one of 23 incubators and accelerators that was awarded $150,000 to support programming for energy startups and entrepreneurs.

The Houston-based participant is called "Texas Innovates: Carbon and Hydrogen Innovation and Learning Incubator," or CHILI, and it's a program meant to feed startups into the DOE recognized HyVelocity program and other regional decarbonization efforts.

EPIC was launched to drive innovation at a local level and to inspire commercial success of energy startups. It's the third year of the competition that wraps up with a winning participant negotiating a three-year cooperative agreement with OTT worth up to $1 million.

“Incubators and Accelerators are uniquely positioned to provide startups things they can't get anywhere else -- mentorship, technology validation, and other critical business development support," DOE Chief Commercialization Officer and Director of OTT Vanessa Z. Chan says in a news release. “The EPIC program allows us to provide consistent funding to organizations who are developing robust programming, resources, and support for innovative energy startups and entrepreneurs.”

CHILI, the only participant in Texas, now moves on to the second phase of the competition, where they will design a project continuation plan and programming for the next seven months to be submitted in September.

Phase 2 also includes two national pitch competitions with a total of $165,000 in cash prizes up for grabs for startups. The first EPIC pitch event for 2024 will be in June at the 2024 Small Business Forum & Expo in Minneapolis, Minnesota.

Last fall, the DOE selected the Gulf Coast's project, HyVelocity Hydrogen Hub, as one of the seven regions to receive a part of the $7 billion in Bipartisan Infrastructure Law. The hub was announced to receive up to $1.2 billion — the most any hub will get.

The DOE's OTT selections are nationwide. Photo via energy.gov

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This article originally ran on EnergyCapital.