Texas saw a 440 percent jump in business investments between 2019 and 2024, according to a new report. Photo via Getty Images

Texas ranks third on a new list of the best states for investors and startups.

Investment platform BrokerChooser weighed five factors to come up with its ranking:

  • 2024 Google search volume for terms related to investing
  • Number of investors
  • Number of businesses receiving investments in 2024
  • Total amount of capital invested in businesses in 2024
  • Percentage change in amount of investment from 2019 to 2024

Based on those figures, provided mostly by Crunchbase, Texas sits at No. 3 on the list, behind No. 1 California and No. 2 New York.

Especially noteworthy for Texas is its investment total for 2024: more than $164.5 billion. From 2019 to 2024, the state saw a 440 percent jump in business investments, according to BrokerChooser. The same percentages are 204 percent for California and 396 percent for New York.

“There is definitely development and diversification in the American investment landscape, with impressive growth in areas that used to fly under the radar,” says Adam Nasli, head analyst at BrokerChooser.

According to Crunchbase, funding for Texas startups is off to a strong start in 2025. In the first three months of this year, venture capital investors poured nearly $2.9 billion into Lone Star State companies, Crunchbase data shows. Crunchbase attributes that healthy dollar amount to “enthusiasm around cybersecurity, defense tech, robotics, and de-extincting mammoths.”

During the first quarter of this year, roughly two-thirds of VC funding in Texas went to just five companies, says Crunchbase. Those companies are Austin-based Apptronik, Austin-based Colossal Biosciences, Dallas-based Island, Austin-based NinjaOne, and Austin-based Saronic.

Meet the 10th cohort for gBETA Houston. Photo via gener8tor.com

10th Houston cohort named to early-stage accelerator

ready to grow

National venture capital firm gener8tor named its 10th Houston cohort this week, which includes startups focused on innovative tableware to substitute teacher operations.

gBETA Houston offers startups and founders with a non-equity seven-week program that features intensive concierge coaching and access to a network of investors and partners. The founders will pitch their ideas on Oct. 24 at 6:30 p.m. at the Esperson Building.

"Each cohort shows us how innovation evolves and thrives," Muriel Foster, gBETA Houston director, says in a statement. "The Spring 2024 gBETA Houston cohort embodies creative brilliance and unyielding ambition."

The five companies named to gBETA were chosen based on their growth potential and investor readiness. They include:

  • BrainBuffet, an AI-powered platform that has already created over 250 courses to refine its personalized learning algorithm that builds customized courses that feature curated content, YouTube videos, quizzes, and progress tracking
  • Colorfull Plates, a tableware startup that creates durable, vibrant products that aim to streamline family meals and encourage children to try new flavors. It has generated $300,000 in revenue without outside dilutive funding.
  • The Parent Teacher Collaborative, a web- and mobile-based platform that aims to improve student outcomes by building strong collaborative partnerships, growing parent-teacher organizations and better managing school events. It's worked with five Houston-area communities and has raised over $144,000 in grant and contract funding since April 2023.
  • Kinfolk, a user-friendly mobile application that creates a digital time capsule of family traditions, memories and cultural heritage. It has over 50 beta-testing customers.
  • SubSpark, a mobile and desktop app that allows school administrators and teachers to post available openings for substitute teachers. The Houston-based LLC is currently beta-testing its apps with one Houston-area private school.

The five companies joined the spring 2024 cohort and the rest of the Houston gBETA network.

gBETA is supported by Downtown Houston, the City of Houston and the Downtown Redevelopment Authority. The program has accelerated 45 Houston companies since its launch in Houston in 2019. It was launched by a $1.25 million grant to be paid out over five years.
Houston was deemed a top startup city, but the Bayou City has a gap to other Texas cities that it can work on narrowing. Photo via Getty Images

Report: Houston secures spot on list of top 50 startup cities

by the numbers

A new ranking signals great promise for the growth of Houston’s startup network.

Houston ranks among the world’s top 50 startup cities on a new list from PitchBook, a provider of data and research about capital markets. In fact, Houston comes in at No. 50 in the ranking. But if you dig deeper into the data, Houston comes out on top in one key category.

The city earns a growth score of 63.8 out of 100 — the highest growth score of any U.S. city and the seventh highest growth score in the world. In the growth bucket, Houston sits between between Paris (64.4) and Washington, D.C. (61.7).

The PitchBook growth score reflects short-term, midterm, and long-term growth momentum for activity surrounding venture capital deals, exits, and fundraising for the past six years.

PitchBook’s highest growth score (86.5) goes to Hefei, a Chinese manufacturing hub for electric vehicles, solar panels, liquid crystal displays, home appliances, and Lenovo computers.

The overall ranking is based on a scoring system that relies on proprietary PitchBook data about private companies. The system’s growth and development scores are based on data related to deals, exits, fundraising and other factors.

Houston earns a development score of 34.1 out of 100, which puts it in 50th place globally in that regard. This score measures the size and maturity of a city’s startup network.

Topping the overall list is San Francisco, followed by New York City and Beijing. Elsewhere in Texas, Austin appears at No. 16 and Dallas at No. 36.

The ranking “helps founders, operators, and investors assess locations when deciding where to expand or invest,” says PitchBook.

“Network effects matter in venture capital: Investors get more than half of their deals through referrals, according to research led by Harvard professor Paul Gompers,” PitchBook goes on to say. “So it stands to reason that dealmakers should seek these networks out when deciding where to do business.”

Over the past few years, the Houston Angel Network has doubled its members and continues to grow despite COVID-19's economic effects. Photo via Getty Images

Houston Angel Network sees membership growth amid pandemic

investing in investors

While the COVID-19 pandemic caused some investors to hit pause on some deals, the Houston Angel Network, which has doubled its membership over the past couple years, has maintained its deal flow and investment, while taking every opportunity to connect members virtually.

"Nothing's really changed — in terms of our activity — other than the fact that we can't meet in person," says Stephanie Campbell, managing director of HAN. "We quickly pivoted to virtual."

Campbell — who also is also a founding partner at Houston-based, female-focused venture capital group, The Artemis Fund — says she still saw the interest and need on each side of venture deals.

"What I realized was, especially working at a venture fund, the deal flow isn't going away. Companies still need capital — and investors are still interested in looking at deals," Campbell tells InnovationMap.

HAN, which was founded as a nonprofit in 2001, continues to be touted as among the most active angel network in the country. The organization has five industry groups that it focuses its deals on — energy, life sciences, technology, consumer products, and aerospace.

At each monthly meeting, members hear three pitches. However, Campbell is vetting many more companies far more deals and passing them along the network as she goes. All in all, HAN investors do around 100 deals a year with an average investment of $100,000.

Since Campbell joined in 2018, membership has doubled from 60 members to 120. Campbell says it's her goal to get to 150 members by the end of the year.

Stephanie Campbell has led HAN as managing director since 2018.

"Despite COVID, we've continued to grow," Campbell says, adding that she's heard investors express that they have more time now to dive in. "People are very much still interested in learning about deploying their capital into early-stage venture. They're looking for a network of like-minded individuals."

Campbell explains that, with the switch to virtual pitches and events, HAN is congregating more than ever. In the spring, Campbell introduced a thought leadership series, called Venture Vs. The Virus, that brought investment leaders together to discuss how the pandemic was affecting venture capital.

HAN is also using this time to better tap into technology to connect members with startups. On the back end, Campbell says, she's looking to enhance digital engagement with members and also improve data reporting within the organization.

From increasing networking and educational events and growing membership, HAN is prioritizing growing its place in the Houston innovation ecosystem. Campbell says she sees the pandemic is causing investors and tech talent on the coasts to re-evaluate where their living, and that's going to benefit Texas. Houston is going to see an influx of tech talent coming to town, and that's going to translate to more startups being founded locally.

"We want to make sure that we are a big part of this transition toward a more diverse and resilient economy," Campbell says. "Now's the time to lean in on Houston."

The Rice Angel Network will now be powered by Cannon Ventures. Photo courtesy of Rice University

Rice University's angel network to be powered by Cannon Ventures

Money moves

In an effort to better connect Houston entrepreneurs with angel funds, the Rice Angel Network and Cannon Ventures have formed a new partnership. RAN will now be powered by Cannon Ventures, the investment arm of The Cannon, a West Houston coworking space.

RAN is already located in The Cannon, according to its website, but the new arrangement will allow RAN to leverage The Cannon's programming, events, resources, and community as it continues to serve its alumni network.

In December, the two entities have partnered up in the past for the Houston Investor Network Alliance, a collaboration where participating investors can partner up to co-invest in startups, co-host investor events, and share opportunities. According to the release, this new partnership "takes this a step further" to team up to provide early-stage investment.

"The mission is simple," says Lawson Gow, CEO and founder of Cannon Ventures and The Cannon, in a release. "We want to bring Houston's startup ecosystem the access to capital that they need to thrive here in Houston."

Gow, who is the son of InnovationMap's parent company's CEO, started Cannon Ventures almost a year ago. He's a Rice alumnus, as is Kyle Fletcher, the managing partner of Rice Angel Network.

"Houston is one of the largest cities in the US, yet our efforts to bring capital to startups has been done only in pockets throughout the city," Fletcher says in the release. "We are better together than we are separate."

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Texas still ranks as No. 1 in U.S. for inbound moves, but growth dips

by the numbers

Texas continues to be the country’s No. 1 magnet for newcomers from other states, giving a boost to the state’s economy. However, Texas’ appeal weakened in 2024 compared with the previous year, due in large part to spiking home prices.

An analysis of U.S. Census Bureau data by self-storage platform StorageCafe shows Texas saw net interstate migration of 76,000 people in 2024. Texas’ net interstate migration dropped nearly 50 percent from 2023, according to the analysis. Net migration refers to the number of incoming residents minus the number of outgoing residents.

California remained the top source of newcomers for Texas, sending nearly 77,000 residents to the Lone Star State in 2024, the analysis says. Florida ranked second, followed by New York, Colorado and Illinois.

“These trends reveal Texas’ continued pull from both high-cost coastal markets and other large Sun Belt states, resulting in a mix of affordability-driven and job-driven relocation,” StorageCafe says.

Putting a damper on the influx of new residents: a roughly 124 percent surge in Texas home prices over the past decade, according to StorageCafe.

“While the state remains significantly more affordable than California, its top feeder state, the once-wide pricing gap has narrowed,” says StorageCafe. “For many movers, Texas is still a relative bargain, but no longer an undisputed one.”

Nonetheless, Texas keeps attracting young, highly educated people, which bodes well for the state’s long-term economic outlook, StorageCafe says. More than half of new arrivals to Texas in 2024 held at least a bachelor’s degree, and the age of newcomers averaged 32.

Where are most of these young, highly educated newcomers settling?

Lloyd Potter, former Texas state demographer, tells StorageCafe that population growth in Texas is happening most rapidly in suburban “ring counties” at the expense of slowing growth in urban cores. Ring counties are on the outskirts of major metro areas.

“Many people are moving from urban cores to suburban rings seeking lower costs, newer housing, better schools, and more space,” Potter says. “Typically, a move to a suburban county will be within commuting or hybrid‑commuting distance of major metro economies.”

Artemis II makes historic call to space station with help from Houston Mission Control

History in the making

Still aglow from their triumphant lunar flyby, the Artemis II astronauts made more history Tuesday, April 7: calling their friends aboard the International Space Station hundreds of thousands of miles away as they headed home from the moon.

It was the first moonship-to-spaceship radio linkup ever. NASA's Apollo crews had no off-the-planet company back in the 1960s and 1970s, the last time humanity set sail for deep space.

"We have been waiting for this like you can’t imagine,” Artemis II commander Reid Wiseman called out.

For Christina Koch on Artemis II and Jessica Meir aboard the space station, it marked a joyous space reunion despite being 230,000 miles (370,000 kilometers) apart. The two teamed up for the world's first all-female spacewalk in 2019 outside the orbiting lab.

Koch told her “astro-sister” that she'd hoped to meet up with her again in space “but I never thought it would be like this — it's amazing.”

“I'm so happy that we are back in space together,” Meir replied, “even if we are a few miles apart.”

Houston's Mission Control arranged the cosmic chitchat between the four lunar travelers and the space station's three NASA and one French residents.

Koch described being awe-struck by not just the beauty of Earth, “but how much blackness there was around it.”

“It just made it even more special. It truly emphasized how alike we are, how the same thing keeps every single person on planet Earth alive,” she told the space station crew. “The specialness and preciousness of that really is emphasized” when viewing the home planet from the moon.

By late Tuesday afternoon, the Artemis II astronauts had beamed back more than 50 gigabytes' worth of pictures and other data from the previous day's lunar rendezvous, which set a new distance record for humanity. The highlight: an Earthset photo reminiscent of Apollo 8's Earthrise shot from 1968.

"While they are inspirational and, I think, allow all of us to really feel a little bit of what they were feeling, there's also a lot of science hidden inside of those images," said Mission Control's lead lunar scientist Kelsey Young. “The conversations and the science lessons learned are just beginning."

During a debriefing with Young, the astronauts recounted how they spotted a cascade of pinpricks of light on the lunar surface from impacting cosmic debris. The flashes lasted mere milliseconds and coincided by chance with Monday evening's total solar eclipse.

Young said it was too soon to know whether the crew witnessed an actual meteor shower or more random, run-of-the-mill micrometeoroid hits. Either way, there were “audible screams of delight” in the science operations center, she said.

Koch described being awe-struck by not just the beauty of Earth, “but how much blackness there was around it.”

“It just made it even more special. It truly emphasized how alike we are, how the same thing keeps every single person on planet Earth alive,” she told the space station crew. “The specialness and preciousness of that really is emphasized” when viewing the home planet from the moon.

The first lunar explorers since Apollo 17 in 1972, Wiseman and his crew are aiming for a splashdown off the San Diego coast on Friday to wrap up the nearly 10-day test flight. The recovery ship USS John P. Murtha left port Tuesday for the target zone.

It sets the stage for next year's Artemis III, a lunar lander docking demo in orbit around Earth. Artemis IV will follow in 2028 with two astronauts attempting to land near the lunar south pole.

As for the Orion capsule’s pesky potty, Mission Control assured the astronauts that no maintenance was required Tuesday. The toilet has been on-and-off limits to the crew ever since last week’s launch, prompting them to rely on a backup bag-and-funnel system for urinating.

NASA Administrator Jared Isaacman told the crew following the lunar flyby Monday night: “We definitely have to fix some of the plumbing” ahead of the next Artemis mission. Engineers suspect a clogged filter in the overboard flushing system.

Aside from the toilet and other relatively minor matters, the mission has gone well, Isaacman noted at a news conference Tuesday, “but I'll breathe easier when we get through reentry and everybody's under chutes and in the water.”

AI-powered Houston startup helps restaurants boost customer loyalty

order up

It’s no secret that restaurant trends move fast and margins run thin. And with the proliferation of platforms like Uber Eats, DoorDash and Easy Cater, customer loyalty is fleeting.

The solution?

How about an AI-powered restaurant technology platform that helps restaurant brands cut back on third-party platforms in favor of driving direct discovery, conversion and loyalty?

Enter Saivory. Founded in 2025 by Stephen Klein, a software investor, and Fajita Pete’s restaurateur Hugh Guill, the Houston-based startup aims to help eateries better understand and activate guest behavior across digital channels as AI increasingly reshapes how consumers discover and engage with brands.

In less than a year, Saivory has partnered with Shipley Do-Nuts and Fajita Pete’s to bring AI-powered ordering to life.

“With Saivory, we were able to answer the question of, ‘what if the ordering process could be reduced to a single step, where customers simply tell us what they want and AI takes care of the rest?’” Klein tells InnovationMap.

The Houston-based startup made such an immediate impact that it was selected as a semi-finalist during Start-Up Alley at MURTEC, the restaurant industry’s leading technology conference, which took place last month in Las Vegas.

“Houston is a great hub for technology innovation, and we were proud to represent the city at MURTEC this year,” says Klein. “We didn’t win, but we were able to talk about some of the work that we have existing in the market for clients right now and a little bit about what we’re working on in the future.”

In the current restaurant technology ecosystem, the third-party aggregators own the customer attention that brings volume to restaurants, while also taking big commissions and having control over the end relationships with the customer.

That can often make it difficult for restaurants to grow loyalty and repeat business from customers. Saivory aims to level the playing field for restaurants, helping them stay more connected to their customers.

Take Saivory’s recent application with Shipley’s Do-Nuts, for example.

Saivory powered the donut giant’s AI-ordering and launched Shipley's website and mobile app to support its over 300 locations in Texas alone.

Shipley’s new AI-powered assistant helps users create personalized order recommendations based on individual or group preferences. And unlike standard chatbox features, the new assistant makes custom recommendations based on multiple customer factors, including budgetary habits, individual flavor preferences and order size. It can also be used for large catering orders.

“They're seeing more traffic to the site and they're seeing when customers use our AI-enabled flows,” Klein says. “And they're seeing higher basket sizes, bigger tickets, by about 25 percent.”

Klein says Saivory’s technology helps strengthen first-party digital relationships, reduce friction and cart abandonment, improve average order value, and delivers personalized, efficient experiences.

“It’s a win-win: the customer gets the right order quickly, while the restaurant gets a bigger margin,” he adds.

Additionally, the technology makes it easier for restaurants to share rewards, loyalty and discounts, ultimately growing more direct traffic and making restaurants less reliant on third-party delivery apps.

Next up for Saivory is adding new components to its platform to enhance the relationship between restaurant and customer, as well as technology around making it easier for restaurants to get found on Google.

“A lot of people are still searching for the best donuts near me,” Klein says. “Or what’s the best Mexican food near me? Customers will increasingly move to AI, where they’re going to ask where they should eat dinner and expect it to just order them dinner. They will eventually expect the technology to know how to do that. So that’s what we’re driving at.”