Houston climatetech startup raises $21.5M series A to grow robotics solution

seeing green

The series A funding will support the deployment of its biochar machines across Texas, Oklahoma, Arkansas, and Louisiana. Photo courtesy of Applied Carbon

A Houston energy tech startup has raised a $21.5 million series a round of funding to support the advancement of its automated technology that converts field wastes into stable carbon.

Applied Carbon, previously known as Climate Robotics, announced that its fresh round of funding was led by TO VC, with participation from Congruent Ventures, Grantham Foundation, Microsoft Climate Innovation Fund, S2G Ventures, Overture.vc, Wireframe Ventures, Autodesk Foundation, Anglo American, Susquehanna Foundation, US Endowment for Forestry and Communities, TELUS Pollinator Fund for Good, and Elemental Excelerator.

The series A funding will support the deployment of its biochar machines across Texas, Oklahoma, Arkansas, and Louisiana.

"Multiple independent studies indicate that converting crop waste into biochar has the potential to remove gigatons of CO2 from the atmosphere each year, while creating trillions of dollars in value for the world's farmers," Jason Aramburu, co-founder and CEO of Applied Carbon, says in a news release. "However, there is no commercially available technology to convert these wastes at low cost.

"Applied Carbon's patented in-field biochar production system is the first solution that can convert crop waste into biochar at a scale and a cost that makes sense for broad acre farming," he continues.

Applied Carbon rebranded in June shortly after being named a top 20 finalist in XPRIZE's four-year, $100 million global Carbon Removal Competition. The company also was named a semi-finalist and awarded $50,000 from the Department of Energy's Carbon Dioxide Removal Purchase Pilot Prize program in May.

"Up to one-third of excess CO2 that has accumulated in the atmosphere since the start of human civilization has come from humans disturbing soil through agriculture," Joshua Phitoussi, co-founder and managing partner at TO VC, adds. "To reach our net-zero objectives, we need to put that carbon back where it belongs.

"Biochar is unique in its potential to do so at a permanence and price point that are conducive to mass-scale adoption of carbon dioxide removal solutions, while also leaving farmers and consumers better off thanks to better soil health and nutrition," he continues. "Thanks to its technology and business model, Applied Carbon is the only company that turns that potential into reality."

The company's robotic technology works in field, picking up agricultural crop residue following harvesting and converts it into biochar in a single pass. The benefits included increasing soil health, improving agronomic productivity, and reducing lime and fertilizer requirements, while also providing a carbon removal and storage solution.

"We've been looking at the biochar sector for over a decade and Applied Carbon's in-field proposition is incredibly compelling," adds Joshua Posamentier, co-founder and managing partner of Congruent Ventures. "The two most exciting things about this approach are that it profitably swings the agricultural sector from carbon positive to carbon negative and that it can get to world-scale impact, on a meaningful timeline, while saving farmers money."

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This article originally ran on EnergyCapital.

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Tech company floats plan for futuristic shipyard on Texas Gulf Coast

Anchors Away

Armed with $600 million in fresh funding, Austin-based Saronic Technologies has set its sights on building a shipyard for producing remotely operated military vessels — and the futuristic shipyard could be located along the Texas Gulf Coast.

The shipyard, dubbed Port Alpha, would manufacture unstaffed midsize and large Navy ships known as “maritime drones.” Defense Newsreported that Texas — with the Gulf Coast being a prime target — is among the places under consideration for the shipyard. A timeline for construction of the shipyard hasn’t been set, and a cost estimate for the project hasn’t been revealed.

“A core principle of Saronic is that we design our vessels for autonomy from the keel up,” Saronic co-founder and CEO Dino Mavrookas, a former Navy SEAL, says in a news release. “We will take the same approach with Port Alpha, designing a shipyard from the ground up to produce at a speed and scale not seen since World War II.”

Saronic says Port Alpha would boost the U.S. shipbuilding industry, which is practically nonexistent. Consulting giant McKinsey & Co. reported in 2024 that the U.S. has gone from building about 5 percent of the world’s ocean-going ships in the 1970s to about 0.2 percent today. China, Japan, and South Korea now dominate global shipbuilding.

“The last years have seen a degradation in the capacity for the United States to build ships and to manufacture core needs of the country. I am excited to back Saronic and its focus on revitalizing shipbuilding in America, while also building products to defend those interests,” says investor and tech entrepreneur Elad Gil, who led the $600 million funding round.

The $600 million round, announced February 18, pushes the value of Saronic to $4 billion. Investors in Saronic, founded in 2022, include Gil, General Catalyst, a16z, Caffeinated Capital, and 8VC.

Last year, Saronic raised $175 million from investors, lifting the company’s value to $1 billion. In 2023, the startup collected $55 million from investors.

In the past three years, Saronic has focused on manufacturing three small remotely controlled vessels, or “maritime drones,” for the Navy: the six-foot-long Spyglass, 14-foot-long Cutlass, and 24-foot-long Corsair. Port Alpha would specialize in much bigger remotely controlled ships for the Navy. The Navy has expressed interest in assembling a modern fleet that combines staffed and unstaffed vessels.

Saronic’s nearly 420,000-square-foot factory in Austin manufactures the Spyglass, Cutlass and Corsair boats.

“The velocity and economics of warfare have fundamentally evolved, and several of our own team have witnessed firsthand how unmanned systems became true force multipliers in Afghanistan and in other theaters of conflict,” says Paul Kwan, managing director of General Catalyst.

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This story originally was published on our sister site CultureMap Austin.

Tesla poised to bring ‘megafactory’ to Houston area with 1,500 jobs

Tesla Talk

Tesla is expected to bring a “megafactory” and 1,500 manufacturing jobs to the Houston area.

According to various news reports this week, Tesla intends to spend $200 million on a facility in Brookshire, Texas. The Waller County Commissioners Court approved tax abatements on March 5 for the new plant.

“We are super excited about this opportunity—1,500 advanced manufacturing jobs in the county and in the city," Waller County Precinct 4 Commissioner Justin Beckendorff said during Wednesday’s Commissioners Court meeting.

Tesla will lease two buildings in Brookshire's Empire West Business Park. According to documents from Waller County, Tesla will add $44 million in facility improvements. In addition, it will install $150 million worth of manufacturing equipment.

As part of the deal, Tesla will invest in property improvements that involve a 600,000-square-foot, $31 million manufacturing facility that will house $2 million worth of equipment and include improvements to the venue.

The facility will produce Tesla megapacks, which are powerful batteries to provide energy storage and support, according to the company. A megapack can store enough energy to power about 3,600 homes for one hour.

Tesla can receive a 60 percent tax abatement for 10 years. According to the tax abatement agreement, Tesla has to employ at least 1,500 people by 2028 in order to be eligible for the tax break.

In addition to the employment clause, Tesla also will be required to have a minimum of $75 million in taxable inventory by January 1, 2026, which will increase to $300 million after three years.

9 innovation & networking events for Houstonians to attend at SXSW 2025

A Houstonian's Guide to SXSW

South by Southwest, Austin's signature hybrid music, film and interactive festival, returns to the Texas capital this month, running March 7 through 15.

In the business and innovation sector, the festival fuses together SXSW Edu for educators at the beginning of the week and SXSW Interactive, which is one of the largest gatherings in the world of innovators, technologists, artists, startups, investors and policy-makers. SXSW is a powerful international magnet for creators and the people who serve them.

I started coming to Austin for SXSW in 1999, a few years after the Interactive portion (nicknamed "Spring Break for Nerds") launched and when the entire conference of 6,000 attendees fit into the Austin Convention Center. Back then, you could rub shoulders with famous bloggers who challenged established tech journalists in the hallways, multimedia artists handing out bootleg CD-ROMS, and hard-core geeks setting web standards and laws related to technology that we enjoy today.

SXSW, like Austin itself, has grown up quite a bit in the last two decades and has fended off the common Austin refrain of "It was better X years ago," as everything has become more commercial, less "authentic" and more expensive. SXSW officially sells tickets or badges for $2295.00 at the Platinum level (with cheaper options as well) providing access to stand in lines with hundreds of your friends for the most popular keynotes and panels.

One critical tradition of SXSW and part of the relentless motivation to "Keep Austin Weird" is the dozens of unofficial side events that pop up during the event all across the city. These unofficial events and activations typically provide networking opportunities fueled by the draw of internet-famous speakers, free food, and free alcohol. As SXSW has grown exponentially, it still seems to retain its charm and quirkiness as not quite a music festival, like Bonnaroo or Lollapalooza, nor a film festival like Sundance or Tribeca, and certainly not a traditional tech conference like CES. I like to think of it as a Carnival with many things to do and see but without a specific agenda or outcome. Since COVID and the financial market retraction, these parties and happy hours have become a lot more restrained, but they still exist if you know where to look.

This article is designed to guide you through the highlights, both official and unofficial, of SXSW with a focus on professional business development with a strong bent toward networking with tech startups. Here's what not to miss.

Friday, March 7

Equitech Texas Welcome Breakfast
9–11 a.m.
Inn Cahoots, 1221 E 6th St.
A breakfast gathering of people involved with Impact Investing and Equity Tech, led by Laurie Felker Jones

Startup Superconnector featuring Practice Pitch
11 a.m.–4 p.m.
Funded House, 315 Lavaca St.
This is a "Pop Up Pitch" event designed to help startups with their investor pitches by putting them in the same room with investors and professional service providers.

Startup Crawl at SXSW 2025
5 p.m. for Backstage VIP
6–9 p.m.
Capital Factory, 701 Brazos St., Suite 1600

Startup Crawl is arguably the most important unofficial event during SXSW where hundreds of startups showcase their offerings in a huge trade show, party format.

Saturday, March 8

The Red ThreadX
607 W. Third Street, 29th Floor
Curated content, strategic connections and actionable insights for military and defense-oriented businesses

SXSW 2025: Dolphin Tank
8–10:30 a.m.
FQ Lounge: Waller Creek Boathouse, 74 Trinity St.
In partnership with Amazon and The Female Quotient, this event is dedicated to championing women entrepreneurs.

Sunday, March 9

2025 TXST SXSW Lab: The Bobcat Den
1:30–8:00 p.m.
The Bobcat Den @ SXSW, Q-Branch 200 E. Sixth St., Suite 310
PROMO CODE: MICHAELBESTVIP
The TXST SXSW Lab: The Bobcat Den is a dynamic, all-day event that showcases Texas State University’s cutting-edge research, industry collaborations, and student innovation.

Monday, March 10

Founded in Texas - For Women Founders
9 a.m.–12:30 p.m.
Brown Advisory, 200 W. Sixth St., Suite 1700
Project W, The Artemis Fund, HearstLab and Brown Advisory have joined forces to bring you Founded in Texas, an investor feedback session designed to support Texas-based women who are founders of B2B and B2B2C technology companies.

Inaugural Texas House
11:00 a.m. on Monday, March 10, until 11:59 p.m. on Tuesday March 11
315 Lavaca St.
More than ever, Texans are leading at the frontiers of technology, entrepreneurship, and culture. See the full agenda

Tuesday, March 11

Super Connectors Meet Up
4–5 p.m.
Hilton Austin Downtown, 500 E. Fourth St.,Room 412
*Badge-only event
"Superconnectors," tor those who seem hyper-connected to large networks of people, are naturally drawn to SXSW. They thrive in a creative and innovative environment, affording them countless opportunities to meet interesting people. Meet some here.

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This information and more can be found at Marc Nathan's VIP Insider’s Guide to SXSW.


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