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

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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Houston experts: Can AI bridge the gap between tech ambitions and market realities?

guest column

Despite successful IPOs from the likes of Ibotta, Reddit and OneStream, 2024 hasn’t provided the influx of capital-raising opportunities that many late-stage tech startups and venture capitalists (VCs) have been waiting for. Since highs last seen in 2021—when 90 tech companies went public—the IPO market has been effectively frozen, with just five tech IPOs between January and September 2024.

As a result, limited partners have not been able to replenish investments and redeploy capital. This shifting investment landscape has VCs and tech leaders feeling stuck in a holding pattern. Tech leaders are hesitant to enter the public markets because valuations are down 30 percent to 40 percent from 2021, which is also making late-stage fundraising more challenging. After all, longer IPO timelines mean fewer exit opportunities for VCs and reduced capital from institutional investors who are turning toward shorter-term investments with more liquid exit options.

Of course, there’s always an exception. And in the case of a slowed IPO market, a select slice of tech companies—AI-related companies—are far outperforming others. While not every tech startup has AI software or infrastructure as their core offering, most can benefit from using AI to revise their playbook and become more attractive to investors.

Unlocking Growth Potential with AI

While overall tech startup investment has slowed, the AI sector burns bright. This presents an opportunity for companies that strategically leverage AI, not just as a buzzword but as a tool for genuine growth and differentiation. Imagine a future where AI-powered insights unlock unprecedented efficiency, customer engagement and a paradigm shift in value creation. This isn’t just about weathering the current storm of reduced access to capital; it’s about emerging stronger, ready to lead the next wave of tech innovation.

Here's how to navigate the AI frontier and unlock its potential:

  1. Understand that data is the foundation of AI success. AI is powerful, but it’s not magic. It thrives on high-quality, interconnected data. Before diving into AI initiatives, companies must assess their data health. Is it structured in a way that AI can understand? Does it go beyond raw numbers to capture context and meaning—like customer sentiment alongside sales figures? Rethinking data infrastructure is often the crucial first step.
  1. Focus on amplifying strengths, not reinventing the wheel. The allure of AI can tempt companies into pursuing radical reinvention. However, a more effective strategy is to leverage AI to enhance existing strengths and address core customer needs. Why do customers choose your company? How can AI supercharge your value proposition? Consider Reddit’s strategic approach: They didn’t overhaul their platform before their 2024 IPO. Instead, they showcased the value of their vast online communities as fertile ground for AI development, leading to a remarkable first-day stock surge of 48 percent.

  2. Use AI as a customer-centric force multiplier. Companies with a deep understanding of their customer base are primed for AI success. By integrating AI into the very core of their product or service—the reason customers choose them—they can create a decisive competitive advantage based on delivering tangible customer value.

From Incremental Gains to Transformative Growth

This practical, customer-centric approach has the potential to help companies generate immediate growth while laying the foundation for future reinvention. By leveraging AI to optimize operations, deepen customer relationships, and redefine industry paradigms, late-state tech startups can not only survive but thrive in a dynamic market. The future belongs to those who embrace AI not as a destination but as a continuous journey of innovation and growth.

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Hong Ogle is the president of Bank of America Houston. Rodrigo Ortiz Gomez is a market executive in Bank of America’s Transformative Technology Banking Group as well as the national software banking lead for the Global Commercial Bank.

Houston joint venture secures $5.2M for AI-powered methane tracking tech

Fresh Funds

Houston-based Envana Software Solutions has received more than $5.2 million in federal and non-federal funding to support the development of technology for the oil and gas sector to monitor and reduce methane emissions.

Thanks to the work backed by the new funding, Envana says its suite of emissions management software will become the industry's first technology to allow an oil and gas company to obtain a full inventory of greenhouse gases.

The funding comes from a more than $4.2 million grant from the U.S. Department of Energy (DOE) and more than $1 million in non-federal funding.

“Methane is many times more potent than carbon dioxide and is responsible for approximately one-third of the warming from greenhouse gases occurring today,” Brad Crabtree, assistant secretary at DOE, said in 2024.

With the funding, Envana will expand artificial intelligence (AI) and physics-based models to help detect and track methane emissions at oil and gas facilities.

“We’re excited to strengthen our position as a leader in emissions and carbon management by integrating critical scientific and operational capabilities. These advancements will empower operators to achieve their methane mitigation targets, fulfill their sustainability objectives, and uphold their ESG commitments with greater efficiency and impact,” says Nagaraj Srinivasan, co-lead director of Envana.

In conjunction with this newly funded project, Envana will team up with universities and industry associations in Texas to:

  • Advance work on the mitigation of methane emissions
  • Set up internship programs
  • Boost workforce development
  • Promote environmental causes

Envana, a software-as-a-service (SaaS) startup, provides emissions management technology to forecast, track, measure and report industrial data for greenhouse gas emissions.

Founded in 2023, Envana is a joint venture between Houston-based Halliburton, a provider of products and services for the energy industry, and New York City-based Siguler Guff, a private equity firm. Siguler Gulf maintains an office in Houston.

“Envana provides breakthrough SaaS emissions management solutions and is the latest example of how innovation adds to sustainability in the oil and gas industry,” Rami Yassine, a senior vice president at Halliburton, said when the joint venture was announced.

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This story originally appeared on our sister site, EnergyCapitalHTX.com

Houston consulting firm opens innovation hub for business AI in collaboration with SAP

new space

Houston’s Sierra Digital has launched Sierra AppHaus Houston, an innovation hub for business AI in collaboration with the the AppHaus program from software giant SAP.

Sierra Digital is the second U.S. partner to join the SAP AppHaus Network, a group of spaces focused on leveraging SAP products and technology. The operation is connected to Sierra Digital’s offices in the Sharpstown area. It features three meeting rooms and a large conference room, and can host workshops for more than 100 participants.

“Sierra Digital has been recognized as a perfect addition to the SAP AppHaus Network,” Carlos Estala Velasco, co-lead SAP AppHaus Partner Network, said in a news release. “With a committed AppHaus team equipped to apply our award-winning human-centered innovation approach, they are able to inspire and support customers throughout their journey to realize innovation. We eagerly anticipate co-innovating with the local team!”

Sierra Digital, founded in 2002, focuses on modernizing legacy SAP systems. It has developed a library of over 30 pre-built business technology applications (BTA) and is also one of the first SAP partners to develop and implement use cases for business AI. The company is also a leading member of the SAP BTP Advisory Council.

Sierra’s portfolio of pre-built BTP applications helps streamline operations by automating tasks like business partner onboarding and revenue processing with AI-driven insights. The company works in the oil and gas, chemical, manufacturing, retail and public sectors.

The first SAP AppHaus location was established in 2013, and there are now 25 globally. Three of the locations are owned by SAP, and 22 are managed by partners, including Sierra Digital. According to a LinkedIn post, Sierra Digital plans to use the Houston space for design-thinking workshops, tech discussions and even hackathons.

"We are proud to be part of the SAP AppHaus Network and to contribute our design and innovation expertise," Senthil Kumar, CEO and chairman of Sierra Digital, said in a news release. "This collaboration with SAP allows us to co-create impactful solutions that accelerate digital transformation for our clients and strengthen our regional presence."