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

Many employers are doing reality checks when it comes to workplace training. They're wondering how they can better train their workers. But they're realizing that traditional training can be dull and even unproductive, so they're enlivening and enriching their training through virtual reality.

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.

For the Air Force, HTX Labs creates software that provides immersive training for pilots on how to deal with emergency procedures in the air and on the ground. This is something that traditionally has been carried out only with expensive simulators. Mastercard and Rackspace rely on HTX Labs' technology to teach employees — through VR-generated replicas of actual workspaces — how to handle active-shooter situations, workplace violence, and fires.

Solvay turned to the company for VR-propelled help with training workers about loading and unloading hazardous materials and other aspects of maintaining safety around potentially dangerous chemicals. HTX Labs and Solvay will jointly resell their VR-based courses to other companies, says Scott Schneider, founder and CEO of HTX Labs.

At its core, the company's VR training zeroes in on the trainee, providing engaging, interactive experiences that stress "learning by doing," Schneider says.

Training programs that have been around for decades are "designed for trainers, not necessarily for trainees," he says.

"A PowerPoint presentation, a YouTube video — it's all about the message the trainer wants to convey as opposed to 'Let's think about how people actually learn.' Studies show people learn by actively doing — active learning versus passive learning," Schneider continues. "We married that idea of active learning with virtual reality and immersive technology to deliver a learning experience that increases retention and the development of muscle memory."

In a VR-based training session, participants are equipped with VR headsets and are plunged into realistic environments where they're presented with scenarios in which they, for instance, pick up a fire extinguisher and put out a blaze, or they land or eject from a military jet that's experiencing a problem such as an engine fire.

Schneider says this type of interactive training helps participants boost the amount of information they remember. According to the Society for Human Resource Management, VR learners retain 75 percent of what they've been taught, compared with a 10 percent retention rate from reading or listening to a presentation.

"It's a much better way, a much more realistic way to learn," Schneider says.

Employers big and small are catching on to this kind of advanced training. According to Schneider, software produced by companies like HTX Labs allows employers to conduct training that:

  • Avoids unsafe real-life settings in favor of safe virtual settings.
  • Does not disrupt workplaces.
  • Reduces costs.

A CNBC article says the cost-saving aspect appeals to a number of employers like Boeing, UPS, and Walmart.

"Training facilities cost hundreds of thousands, if not millions, of dollars to build. Sending out-of-town employees to them racks up travel expenses. And the lost time for training is considerable," the article reads.

By comparison, a one-time investment in VR hardware and software — technology that can be used by many workers — might cost a couple of thousand dollars per employee.

"Most companies in the private sector are dipping their toes into it a bit, maybe doing some stuff internally," Schneider says of VR-based training. "But on a larger scale, there's not a lot of players doing exactly what we're doing."

Schneider envisions HTX Labs, which was founded in 2017, expanding into training centered on augmented reality and mixed reality.

For the uninitiated, VR refers to computer-generated 3D environments that you interact with and are immersed in, according to Live Science. AR superimposes sounds, images and text onto what you see in the real world, along the lines of "Minority Report" or "Iron Man," Live Science explains.

"Mixed reality is the result of blending the physical world with the digital world," according to Microsoft. "Mixed reality is the next evolution in human, computer, and environment interaction, and unlocks possibilities that before now were restricted to our imaginations."

No matter the type of technology, HTX Labs strives to "humanize training" by putting the student at the center of the learning experience, Schneider says.

For now, HTX Labs produces VR training software under the EMPACT brand name and teams up with hardware vendors to sell turnkey offerings.

Today, the company employs 12 people, all of whom are in Houston. Schneider would like to increase HTX Labs' headcount by 50 percent before the end of 2019. Also this year, Schneider hopes to raise its first round of outside capital, but only after HTX Labs secures more private and government contracts. And he doesn't rule out enlarging the company through M&A activity.

Overall, Schneider sees tremendous potential for HTX Labs, as pretty much any employer can benefit from VR training for its workers. VR training — already part of a multibillion-dollar VR market — is expected to be so pervasive, in fact, that software review website Capterra predicts one-third of small and midsize businesses in the U.S. will be piloting VR training of employees by 2021.

"VR is … being used to enhance employee training to give workers immersive 'learning by doing' opportunities they can't find in a classroom or online course," Capterra notes. "It's a revolution in an area that's historically been static and unengaging for workers."


The U.S. Air Force also uses HTX Labs' technologies to train for emergency response procedures.Courtesy of HTX Labs

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12 winners named at CERAWeek clean tech pitch competition in Houston

top teams

Twelve teams from around the country, including several from Houston, took home top honors at this year's Energy Venture Day and Pitch Competition at CERAWeek.

The fast-paced event, held March 25, put on by Rice Alliance, Houston Energy Transition Initiative and TEX-E, invited 36 industry startups and five Texas-based student teams focused on driving efficiency and advancements in the energy transition to present 3.5-minute pitches before investors and industry partners during CERAWeek's Agora program.

The competition is a qualifying event for the Startup World Cup, where teams compete for a $1 million investment prize.

PolyJoule won in the Track C competition and was named the overall winner of the pitch event. The Boston-based company will go on to compete in the Startup World Cup held this fall in San Francisco.

PolyJoule was spun out of MIT and is developing conductive polymer battery technology for energy storage.

Rice University's Resonant Thermal Systems won the second-place prize and $15,000 in the student track, known as TEX-E. The team's STREED solution converts high-salinity water into fresh water while recovering valuable minerals.

Teams from the University of Texas won first and second place in the TEX-E competition, bringing home $25,000 and $10,000, respectively. The student winners were:

Companies that pitched in the three industry tracts competed for non-monetary awards. Here are the companies named "most-promising" by the judges:

Track A | Industrial Efficiency & Decarbonization

Track B | Advanced Manufacturing, Materials, & Other Advanced Technologies

  • First: Licube, based in Houston
  • Second: ZettaJoule, based in Houston and Maryland
  • Third: Oleo

Track C | Innovations for Traditional Energy, Electricity, & the Grid

The teams at this year's Energy Venture Day have collectively raised $707 million in funding, according to Rice. They represent six countries and 12 states. See the full list of companies and investor groups that participated here.

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

Houston startup is off to the races with its innovative running shoes

running start

Despite Houston’s reputation as a sneaker town, there are few actual shoe companies headquartered in the Bayou City. One that is up and running is Veloci Running, an innovative enterprise that combines the founder’s history as a track runner for Rice University with the realities of running in a changing world.

Tyler Strothman started running cross country growing up in Wisconsin and Indiana before moving to Texas to attend Rice in 2020. Naturally, his college life was altered significantly by the COVID-19 pandemic. Unfortunately, Strothman contracted the virus, leading to pneumonia and causing him to consider other plans for his future.

One thing that stood out from Strothman’s running career was how bad his shoes fit.

“Traditional shoes narrowed in, cramped the front of my feet, and it was causing foot pain,” he said in a video interview. “But any other shoes that were shaped to better fit the natural foot shape were more barefoot (style)—they were more minimalist overall. And that was hurting my calf and Achilles. It was pulling on it, kind of like a rubber band.”

Strothman decided to start Veloci and went on to win the annual Liu Idea Lab for Innovation and Entrepreneurship's H. Albert Napier Rice Launch Challenge in 2025. The win secured $50,000 in startup money, which Strothman used to immediately launch his new runner-centered shoe design with himself as the CEO at the age of 24.

Along for the jog was Strothman’s college friend, Austin Escamilla, who serves as chief operating officer. Escamilla believed in Strothman’s vision, but the project immediately ran into snags beyond Veloci’s control, particularly with manufacturing in Asia.

“It was quite a year to start a shoe business, especially dealing with tariffs and global economic trade tensions,” he said in the same video interview. “We've luckily had some really good partners and really solid advisors throughout the journey who've either done it or had some good feedback and advice. It certainly takes a village, but every day is different. So, it's fun to come into work every day and problem solve.”

The flagship Veloci shoe is the Ascent, which comes in both men’s and women’s sizes. It combines the wide toe cage that Strothman wanted with extra support cushion for a softer, easier run. They retail at $180. Strothman has personally been testing them for a year, noticing reduced lower leg pain when he runs.

At the same time, Veloci has attended to some of the more unique running problems in Houston and other hot, Southern states. A combination of heat and humidity makes for a very soggy shoe if not designed with such environments in mind. The Ascent is built to be very open and breathable, allowing hot air to flow and keeping sweat from building up. These various comfort improvements have made the Ascent Strothman’s favorite running shoe.

“I put on more pairs of this Veloci shoe than I have in my other running shoes in the last seven years,” he said

Currently, Veloci is still a very niche brand. Since the company launched last year, they’ve sold roughly 10,000 pairs. Those sales come either directly through their website or from specialty running stores, most of which are located around the Houston area, like Clear Creek Running Company in League City.

Building community around the shoe through these specialty retailers has been a prime marketing strategy. Part of the $50,000 grant went to a custom van that Veloci can take to various 5Ks, runs and events to get people interested in the brand. The personal touch has helped news of Veloci spread through the running world.

“We went to many run clubs throughout the last year,” said Escamillia. “We've been to pretty much every one of the major run clubs at least once or twice. Folks who try on the shoes, love them, become fans and post and repost…. The marketing side's been a lot of fun.”

Intuitive Machines lands $180M NASA contract for lunar delivery mission

to the moon

NASA has awarded Intuitive Machines a $180.4 million Commercial Lunar Payload Services (CLPS) award to deliver science and technology to the moon.

This is the fifth CLPS award the Houston spacetech company has received from NASA, according to a release. It will be the first mission to utilize Intuitive Machines' larger cargo lunar lander, Nova-D.

Known as IM-5, the mission is expected to deliver seven payloads to Mons Malapert, a ridge near the Lunar South Pole, which is a "compelling location for future communications, navigation, and surface infrastructure," according to the release.

“We believe our space infrastructure provides the scalability and flexibility needed to support an increased cadence of new Artemis missions and advance national objectives. This CLPS award accelerates our expansion efforts as we build, connect, and operate the systems powering that infrastructure,” Steve Altemus, CEO of Intuitive Machines, said in the release. “We look forward to working closely with NASA to deliver mission success on IM-5 and to provide sustained operations and persistent connectivity in the cislunar environment and across the solar system.”

The delivery will include the Australian Space Agency’s lunar rover, known as Roo-ver, and another lunar rover from Honeybee Robotics, a part of Jeff Bezos' Blue Origin. Intuitive Machines will also deliver chemical analysis instruments, radiation detectors and other technologies, as well as a capsule named Sanctuary that shows examples of human achievements.

Intuitive Machines previously completed its IM-1 and IM-2 missions, which put the first commercial lunar lander on the moon and achieved the southernmost lunar landing, respectively.

Its IM-3 mission is expected to deliver international payloads to the moon's Reiner Gamma this year. It’s IM-4 mission, funded by a $116.9 million CLPS award, is expected to deliver six science and technology payloads to the Moon’s South Pole in 2027.

The company also announced a $175 million equity investment to fuel growth earlier this month.