3 Houston innovators to know this week

who's who

This week's roundup of Houston innovators includes Philip Dutton of Solidatus, Benjamin Foster of Nurseify, and Tasos Katsaounis of Bread Man Baking Co. Photos courtesy

Editor's note: In this week's roundup of Houston innovators to know, I'm introducing you to three local innovators across industries — from baking to software development — recently making headlines in Houston innovation.

Philip Dutton, CEO of Solidatus

Philip Dutton is the new Houston-based CEO of Solidatus, a London-founded data management startup. Photo via LinkedIn

As part of a company reorganization, data management startup Solidatus has established Houston as its North American headquarters and has named co-founder Philip Dutton as its Houston-based CEO.

Founded in London in 2017, Solidatus initially focused on supplying data management software to businesses in Europe, the Middle East, and Africa, but has since extended its reach to North America. Overall, Solidatus employs more than 110 people. It plans to triple its U.S. headcount over the next year.

“Solidatus serves visionary organizations that desire streamlined access and clarity of their data to build smarter and more profitable businesses. That’s everyone from Fortune 500 companies that have an unmanageably complex data landscape to startups and scale-ups that want to optimize their data practices from the get-go. There is no greater concentration of these organizations than in the U.S.,” Dutton, who had been the co-CEO, says in a news release. Click here to read more.

Benjamin Foster, founder and CEO of Nurseify

Benjamin Foster was leading human resources at Gulf Coast Division during Hurricane Harvey when he saw a huge need for an alternative to hiring short-term nurses quickly. That's when he had the idea for Nurseify, a platform that allows for nurses to find jobs — and for facilities to find nurses with the specialties they need. The platform is now live in five pilot states — Texas, Georgia, Florida, South Carolina, and Nevada.

Nurses are facing a significant amount of burnout — in part due to what they went through during the pandemic, but also because of the stressful work environments due to hiring misalignment. Foster says he's intentionally designed the platform to be supportive of nurses.

"We want Nurseify to be known as the most nurse-friendly company in the world. We believe we can bridge the gap between administration and operations and nurses," Foster says. "We want 'Nurseify' to become a verb at some point." Click here to read more.

Tasos Katsaounis, CEO and founder of Bread Man Baking Co.

How Tasos Katsaounis took his hobby and let it rise into a booming Houston business. Image via breadmanco.com

Four years ago, while looking to escape the daily rigors of his corporate work stress, Houstonian Tasos Katsaounis began to bake bread between Zoom calls. He took that hobby and turned it into Bread Man Baking Co. – a Houston-based artisan bread business that can now be tasted in restaurants all throughout the city.

“You know, there’s just something about the idea of growing something from nothing,” Katsaounis, CEO and founder of the company, tells InnovationMap. “I really feel like for the first time in my 26 years of working professionally, that I'm doing what I'm supposed to be doing and I'm super passionate about what I do every day.”

At the end of 2021, the company expanded from its 5,000-square-foot kitchen and moved its operations into a new 40,000-square-foot facility on the northeast side of Houston, close to the Budweiser and Kroger distribution buildings. At the time of the move, it had 17 employees and this year it has since grown to 42. Click here to read more.

Philip Dutton is the new Houston-based CEO of Solidatus, a London-founded data management startup. Photo via LinkedIn

London-based data management tech firm announces new Houston HQ, CEO

new to hou

As part of a company reorganization, data management startup Solidatus has established Houston as its North American headquarters and has named co-founder Philip Dutton as its Houston-based CEO.

Dutton had shared co-CEO duties with the other co-founder, Philip Miller. Miller now holds the newly created role of chief innovation officer.

“We are extremely pleased that Solidatus chose Houston as their North American headquarters," says Susan Davenport, chief economic development officer of the Greater Houston Partnership. "Solidatus’ announcement solidifies the region’s position as a top U.S. metro for business relocations and expansions due to its global connectivity and access to a well-developed suite of key global industries, including energy, life sciences, and aerospace.”

Sheldon Feinland, the company’s newly installed New York City-based vice president of global sales, says year-over-year growth of 300 percent in North America is “well within our grasp.” The startup’s customers are in the financial services, health care, insurance, retail, manufacturing, and government sectors.

“We’re focused on creating unique solutions that untangle the messy world of data,” Feinland says. “This way, data becomes easier to work with, and we can maximize the potential of the organizations that house it.”

In 2021, Solidatus raised $19.2 million in a Series A funding round led by AlbionVC with participation from two customers, Citi and HSBC. Much of that money is being spent on the company’s North American expansion.

“We are at a point in the company’s progress and diversification across industries when new ideas are at an all-time premium. Now is absolutely the best time to take on this important new role,” Miller says.

Ad Placement 300x100

Ad Placement 300x600

CultureMap Emails are Awesome

Property Showcase

SpaceX IPO set to be biggest ever and could make Elon Musk a trillionaire

IPO News

SpaceX says it plans to raise up to $75 billion when it goes public this month, setting the stage for the largest-ever stock market debut and putting Elon Musk on course to becoming the world's first trillionaire.

The company, formally known as Space Exploration Technologies Corp., said Wednesday it will sell 555.6 million shares at $135 a piece in an initial public offering. The estimated proceeds would easily top the $26 billion raised by oil giant Saudi Aramco in 2019. The offering would also give SpaceX a market value of $1.77 trillion. Only six companies in the S&P 500 are currently worth more, with Nvidia tops at $5.2 trillion.

Besides the size of the offering and the expected proceeds, SpaceX's amended prospectus updates details about how much control of the company Musk will have. As SpaceX's CEO, chief technical officer and chairman, Musk's voting power will come primarily through his ownership of 5.22 billion Class B shares, which give the holder 10 votes for every share held. According to the filing, Musk would have 82.4% of the voting power in the company.

Forbes currently values Musk's net worth at $826 billion and his stake in SpaceX at $542 billion. The estimated value of his SpaceX holdings was based on an overall value for the company of $1.25 trillion. Based on those numbers, a $1.77 trillion valuation for SpaceX would boost Musk's net worth by $223 billion, making him a trillionaire. However, much of Musk's worth is in stock that he has yet to cash in.

Even as it makes a bid for a blockbuster market debut, SpaceX is currently losing billions of dollars a year. The filing shows that the company lost $2.6 billion from operations last year on $18.7 billion in revenue, and the losses kept piling up at the start of this year, too.

Fantastical plans

Time will tell how SpaceX fares on the market. Musk's plans for the company are as fantastical as the money he hopes raise in the sale.

Colorful, even frightening in parts, the IPO document strikes a contrast with the typically dry, technical prose in IPO documents, detailing plans to use proceeds from the sale to help put men on the moon again and perhaps even Mars. In one section, it talks of a need to build "a permanent human colony" on the red planet with "at least one million inhabitants" as existential threats loom that could consign man to "the same fate as the dinosaurs."

Musk has almost equally ambitious plans for his other publicly traded company, Tesla. His goal is to transform the maker of electric vehicles into a producer of robotaxis and humanoid robots. Dan Ives of Wedbush Securities wrote in a research note that he expects Tesla and SpaceX to merge next year.

AI plays a key role

Key to the success of both companies — and any merged entity — is artificial intelligence. In its IPO filing, SpaceX says it sees potential revenue from AI of up to $26.5 trillion. But that depends on another lofty Musk ambition — putting data centers in space, which is not technologically possible at the moment.

Transforming his space company into a primarily AI-focused company will be a challenge for Musk, who started xAI in 2023 with 11 other co-founders who have all since left. Some were recruited away by rivals.

Its main AI product, the chatbot Grok, is "less impressive than anything that we see from any other major player in the space, whether that's OpenAI, or Anthropic, or (Google's) Gemini," said IDC analyst Arnal Dayaratna.

Dayaratna said that doesn't mean SpaceX doesn't have potential as a major AI player, thanks in part to its computing partnership with Anthropic and Musk's recent deal that gave SpaceX the rights to buy AI coding tool Cursor for $60 billion later this year. Folding in Cursor's capabilities would give SpaceX access to the coveted business customers now using Anthropic's Claude or OpenAI's ChatGPT.

SpaceX plans to use the net proceeds from the IPO to fund the expansion of infrastructure for its AI and rocket businesses, and to beef up the constellation of satellites that power Starlink Mobile, among other investments.

The company plans to list on the Nasdaq under the symbol "SPCX" and could begin trading as soon as the end of next week.

And SpaceX isn't the only colossal market debut investors are now bracing for. Earlier this week, Anthropic submitted a confidential filing with the U.S. Securities and Exchange Commission to officially start its own IPO clock.

OpenAI has not yet reported filing the initial SEC paperwork, but an IPO from the ChatGPT maker is widely expected.

"This listing represents the first major test for public markets after years of muted IPO activity with SpaceX paving the way for AI giants Anthropic and OpenAI to follow soon after," Ives wrote.

___

Associated Press Technology Writer Matt O'Brien contributed.

New UH survey reveals concerns over AI data center growth in Houston

data findings

A new report out of the University of Houston shows that area residents remain wary of the long-term effects of operating data centers.

The recent survey from the University of Houston’s latest SPACE City Panel, conducted by the Center for Public Policy at the Hobby School of Public Affairs, shows that while 85 percent of Houston-area residents use AI, nearly 63 percent oppose the construction of AI data centers within 1 mile of their homes.

Respondents’ concerns centered around data centers’ high energy demand and the area’s power grid reliability. According to the survey, 32 percent of residents who oppose local data center projects would be more likely to support the centers if they relied on renewable energy over fossil fuels.

“Respondents understand that AI can bring economic and educational benefits, but they are also concerned about the physical infrastructure needed to fuel AI, especially data centers,” Soran Mohtadi, post-doctoral fellow at the Hobby School and a researcher on the report, said in a news release. “This physical infrastructure demands more electricity and water, leading to environmental impacts.”

Experts estimate that 6.5 gigawatts of data center capacity will be added to the Texas grid by 2030. And Houston’s data center capacity is predicted to more than double by 2028.

The Electric Reliability Council of Texas also projects electricity demand could reach 218 gigawatts by 2031, which would be more than double the record peak set in August 2023. Data centers are expected to account for 86 gigawatts of that new demand.

Survey respondents also said they are concerned about the state's future water supply, given the large amounts of water that data centers need to stay cool.

In terms of who’s responsible for that issue, 57.6 percent of respondents said they put the onus on Texas lawmakers, while 31.5 percent say tech companies should be responsible.

Additionally, more than 75 percent of respondents believed that data center developers and technology companies—not residents—should bear the cost of infrastructure upgrades to support data centers.

“Every decision legislators make has implications on residents’ everyday lives and local infrastructure now and in the future,” Maria P. Perez Arguelles, lead researcher on the report and research assistant professor at the Hobby School, added in the news release. “This issue is going to become more important in years to come, so this is just the beginning.”

Read the full report here.

Houston-born Cemvita makes breakthrough in sustainable fuel production

clean fuels

Houston-based biotech company Cemvita announced that it recently reached a critical milestone in the development of its FermOil product, which can be used to create Sustainable Aviation Fuel (SAF) and other renewable fuels at industrial scale.

The company shared in a news release that it completed a 75,000-liter industrial fermentation run at Belgium's Bio Base Europe Pilot Plant.

The campaign achieved target technical metrics for the production of FermOil, Cemvita’s renewable natural oil (RNO). FermOil is produced from industrial crude glycerin, an industrial byproduct, as opposed to traditional sugar-based feedstocks used in many bio-oil fermentation processes. It's designed to be a drop-in feedstock for creating SAFs.

Cemvita had previously advanced its FermOil production process through multiple scale-up stages before successfully reaching the 75,000-liter demonstration campaign, according to the company.

“This is not just a fermentation milestone,” Moji Karimi, CEO at Cemvita, said in the release. “It is a blueprint for how existing industrial infrastructure can evolve into circular bioeconomy infrastructure. Every biodiesel plant generating crude glycerin is a potential platform for renewable natural oil production.”

The milestone also supports the deployment of Cemvita’s industrial biomanufacturing platform, FermWorks, which integrates with existing energy and industrial infrastructure to turn waste carbon streams into SAFs and other materials. According to the release, Cemvita plans to move forward with commercial deployment discussions with partners in Brazil, Europe and in the UK. Cemvita already has a partnership with the Brazilian sustainable research institution REMA.

“We are proud to support innovative companies like Cemvita in scaling breakthrough industrial biotechnology solutions,” Hendrik Waegeman, head of business operations at Bio Base Europe Pilot Plant, added in the release. “Successfully operating at the 75,000-liter scale using a feedstock such as crude glycerin highlights both the maturity of the technology and the quality of the scale-up execution achieved by the Cemvita team.”

---

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

View All Listings

INNOVATIONMAP EMAILS ARE AWESOME