The fresh $3.3 billion for Texas will complement the $1.5 billion in state money that Texas lawmakers recently earmarked to improve broadband access. Photo via Getty Images

Texas is receiving over $3.3 billion in federal funding — more than any other state — to expand broadband internet access the state.

Much of that money undoubtedly will be pumped into the Houston metro area, where a little over 180,000 (about 7 percent) of the more than 2.6 million households have no internet access.

The National Telecommunications and Information Administration announced June 26 that the 50 states plus the District of Columbia and U.S. territories will share nearly $42.5 billion in broadband internet funding allocated under the federal Infrastructure Investment and Jobs Act. The law went on the books in 2021.

“This is a watershed moment for millions of people across America who lack access to a high-speed Internet connection. Access to Internet service is necessary for work, education, healthcare, and more,” Alan Davidson, assistant secretary of commerce for communication and information, says in a news release.

Previously, the federal government had announced more than $20 billion in separate broadband funding.

The fresh $3.3 billion for Texas will complement the $1.5 billion in state money that Texas lawmakers recently earmarked to improve broadband access. This November, Texans will vote on a constitutional amendment that would set up a state-run fund for the $1.5 billion.

All of the money will be geared toward bringing Texas’ internet infrastructure up to date. State data shows 7 million Texans in 2.8 million households lack broadband internet access.

The Federal Communications Commission says broadband internet access delivers a minimum download speed of 25 Mbps and minimum upload speed of 3 Mbps. Those are considered adequate speeds for a family of three or a business with five to 10 employees.

“Although that’s enough speed for basic internet use, it’s actually a bit slow by today’s standards, since many internet service providers offer 100Mbps speeds as basic-level plans,” HighSpeedInternet.com points out.

The Texas Broadband Development Office, which oversees the state’s broadband internet program, says high-speed internet access “is increasingly seen as a requirement for modern life.” State Comptroller Glenn Hegar, whose agency oversees the office, has said it will take $10 billion to deliver full broadband internet access in Texas.

The Broadband Development Office will oversee distribution of the broadband funding in Texas. It plans to start accepting grant applications in 2024.

Hegar says Texas received more broadband funding than any other state “because the challenge facing our state is unique.”

“Texas has a large population with a significant share of unserved areas spread over a vast and geographically diverse landscape. The bipartisan legislation that appropriated these funds recognized the importance of giving states the flexibility to meet the needs of their unique populations,” Hegar says in a news release.

U.S. Rep. Lizzie Fletcher, a Houston Democrat, has proposed legislation (the Broadband Incentives for Communities Act) that would help state and local governments take advantage of the infusion of broadband cash. She says these governments need money — in the form of federal grants — to hire and train employees, install software, and make other improvements so they can handle an expected flood of requests for broadband funding.

“Many of the communities that need broadband access the most have the fewest resources to implement these projects. We must ensure that they are not left behind while we make this monumental investment in the country’s broadband infrastructure,” Fletcher wrote in a June 14 letter to U.S. Commerce Secretary Gina Raimondo.

The White House aims to connect every American to affordable high-speed internet service by 2030. Today, an estimated 24 million Americans lack access to high-speed internet. Millions more deal with limited or unreliable service.

“High-speed Internet isn’t a luxury anymore; it’s become an absolute necessity,” President Joe Biden said at a White House event announcing the $42.5 billion in federal broadband funding.

“I’ve gotten letters and emails from across the country from people who are thrilled that after so many years of waiting, they’re finally going to get high-speed Internet,” Biden added.

Beth White is the new chair of the National Capital Planning Commission. Photo courtesy of Houston Parks Board

President Joe Biden appoints Houston green space guru to lofty national post

new gig

Aprominent and nationally acclaimed Houston parks presence has just received a hefty national appointment. President Joe Biden has named Beth White, Houston Parks Board president and CEO, the chair of the National Capital Planning Commission (NCPC), the organization announced.

The NCPC, established by Congress in 1924, is the federal government’s central planning agency for the National Capital Region. The commission provides overall guidance related to federal land and buildings in the region. Functions include reviewing the design of federal and local projects, overseeing long-range planning for future development, and monitoring capital investment by federal agencies.

Fittingly, White was initially appointed to NCPC as the at-large presidential commissioner in January 2012, per a press release. She was reappointed for another six-year term in 2016. Most recently, White served as the commission’s vice-chair.

“I’m honored to chair the National Capital Planning Commission and work with my fellow commissioners to build and sustain a livable, resilient capital region and advance the Biden Administration’s critical priorities around sustainability, equity, and innovation,” White said in a statement.

Before joining Houston Parks Board in 2016, White served as the director of the Chicago Region Office of The Trust for Public Land, where she spearheaded development of The 606 public park and was instrumental in establishing Hackmatack Wildlife Refuge.

Renowned in the Windy City, she also was managing director of communications and policy for the Chicago Housing Authority; chief of staff for the Chicago Transit Authority’s Chicago Transit Board; and assistant commissioner for the City of Chicago’s Department of Planning and Development. She was the founding executive director of Friends of the Chicago River, and currently serves on the Advisory Board for Urban Land Institute Houston.

The graduate of Northwestern and Loyola universities most recently received the Houston Business Journal’s 2021 Most Admired CEO award, per her bio.

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This article originally ran on CultureMap.

The Texas high-speed rail just got a boost. Photo courtesy of JR Central

Texas to get millions from infrastructure bill for environmental fixes

green for green

On November 5, the U.S. House of Representatives passed the Infrastructure Investment and Jobs Act, legislation that's anticipated to produce hundreds of thousands of union jobs and transform the U.S. transportation system, with investments in passenger rail, roads, and bridges.

A release from Environment Texas, a grass-roots environmental group, shares some of the many positive effects the package is anticipated to have on Texas' transportation and power infrastructure, and its stores of clean water.

Key environmental provisions include:

  • Lead pipes removal. There are an estimated 270,000 lead service lines still in Texas. Texas is expected to receive $2.9 billion over five years. The state had 6000 sewage overflows in 2019, leading the American Society of Civil Engineers to give Texas' wastewater infrastructure a grade of D.
  • Building electric vehicle charging stations. Texas needs an estimated 12,400 level-2 charging stations and 1,720 level-3 "fast charging stations" by 2030 to meet projected demand. The state will receive $408 million over five years and can apply for $2.5 billion in grant funding.
  • Improve electric grid and power infrastructure. This is obviously something Texas sorely needs, after the great freeze in February 2021 when transmission constraints contributed to blackouts across the state, leading to curtailments of wind and solar energy.
  • New passenger and freight rail. Amtrak has proposed new rail service connecting Houston to Dallas, Fort Worth, Austin, San Antonio, while Texas Central is working to build high speed rail between Houston and Dallas. According to Environment Texas, these projects could potentially benefit from the new funding.
  • New public transit. The bill dedicates $39 billion to new public transit projects, described as the largest investment in public transit in history. Texas stands to receive $3.3 billion over five years, with likely recipients to include Houston's MetroNext and Austin's Project Connect.
  • Environmental remediation. Texas has 55 superfund sites, 32 abandoned mines, and 783,000 unplugged oil and gas wells. Oy.
  • More zero- and low-emission buses. At least 13 school districts in Texas have expressed interest in purchasing electric buses. Nine transit agencies in Texas have already, or plan to, purchase electric buses.

The legislature is still working on the Build Back Better Act, a budget reconciliation bill with clean energy tax incentives and other investments that would help the U.S. stall climate change and clean up our environment.

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This article originally ran on CultureMap.

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Houston VC funding surged in 2024, fueled by major Q4 activity

by the numbers

The venture capital haul for Houston-area startups jumped 23 percent from 2023 to 2024, according to the latest PitchBook-NVCA Venture Monitor.

The fundraising total for startups in the region climbed from $1.49 billion in 2023 to $1.83 billion in 2024, PitchBook-NVCA Venture Monitor data shows.

Roughly half of the 2024 sum, $914.3 million, came in the fourth quarter. By comparison, Houston-area startups collected $291.3 million in VC during the fourth quarter of 2023.

Among the Houston-area startups contributing to the impressive VC total in the fourth quarter of 2024 was geothermal energy startup Fervo Energy. PitchBook attributes $634 million in fourth-quarter VC to Fervo, with fulfillment services company Cart.com at $50 million, and chemical manufacturing platform Mstack and superconducting wire manufacturer MetOx International at $40 million each.

Across the country, VC deals total $209 billion in 2024, compared with $162.2 billion in 2023. Nearly half (46 percent) of all VC funding in North America last year went to AI startups, PitchBook says. PitchBook’s lead VC analyst for the U.S., Kyle Stanford, says that AI “continues to be the story of the market.”

PitchBook forecasts a “moderately positive” 2025 for venture capital in the U.S.

“That does not mean that challenges are gone. Flat and down rounds will likely continue at higher paces than the market is accustomed to. More companies will likely shut down or fall out of the venture funding cycle,” says PitchBook. “However, both of those expectations are holdovers from 2021.”

Houston space company lands latest NASA deal to advance lunar logistics

To The Moon

Houston-based space exploration, infrastructure, and services company Intuitive Machines has secured about $2.5 million from NASA to study challenges related to carrying cargo on the company’s lunar lander and hauling cargo on the moon. The lander will be used for NASA’s Artemis missions to the moon and eventually to Mars.

“Intuitive Machines has been methodically working on executing lunar delivery, data transmission, and infrastructure service missions, making us uniquely positioned to provide strategies and concepts that may shape lunar logistics and mobility solutions for the Artemis generation,” Intuitive Machines CEO Steve Altemus says in a news release.

“We look forward to bringing our proven expertise together to deliver innovative solutions that establish capabilities on the [moon] and place deeper exploration within reach.”

Intuitive Machines will soon launch its lunar lander on a SpaceX Falcon 9 rocket to deliver NASA technology and science projects, along with commercial payloads, to the moon’s Mons Mouton plateau. Lift-off will happen at NASA’s Kennedy Space Center in Florida within a launch window that starts in late February. It’ll be the lander’s second trip to the moon.

In September, Intuitive Machines landed a deal with NASA that could be worth more than $4.8 billion.

Under the contract, Intuitive Machines will supply communication and navigation services for missions in the “near space” region, which extends from the earth’s surface to beyond the moon.

The five-year deal includes an option to add five years to the contract. The initial round of NASA funding runs through September 2029.

Play it back: Houston home tech startup begins 2025 with fresh funding

HOUSTON INNOVATORS PODCAST EPISODE 272

One of the dozen or so Houston startups kicking of the new year with fresh funding is SmartAC.com, a company that's designed a platform that enables contractors in the HVAC and plumbing industries to monitor, manage, and optimize their maintenance memberships through advanced sensors, AI-driven diagnostics, and proactive alerts.

Last month, the SmartAC.com raised a follow-on round with support from local investor Mercury to continue growth and expansion of the product, which has evolved on many ways since the company launched in 2020, emerging from stealth with $10 million raised in a series A. In a May 2023 interview for the Houston Innovators Podcast, Founder and CEO Josh Teekell explained how he embraced the power of a pivot.

The company's sensors can monitor all aspects of air conditioning units and report back any issues, meaning homeowners have quicker and less costly repairs. While SmartAC.com started with providing the service and tech to homeowners directly, Teekell says he's had a greater interest in working with plumbers and HVAC companies who then deploy the technology to their customers.

"It became quite evident that homeowners don't care about air conditioning really at all until their system breaks," Teekell says on the show. "The technology is really built around giving those contractors as another way to gain a customer relationship and keep it."

Revisit the podcast episode below where Teekell talks about SmartAC.com's last raise.

SmartAC.com's previous round in 2023 — a $22 million series B — was used grow its team that goes out to deploy the technology and train the contractors on the platform.

"We've been very fortunate to get some of the biggest names in Houston on our cap table," Teekell says in the May 2023 conversation. "Since we're raising a bunch of money locally, everyone understands what a pain air conditioning can be."