Houston has what it takes to emerge as a smart city leader, expert says

Guest column

Houston real estate expert shares why he thinks the city is prime for smart city tech and implementation. Photo via Getty Images

While Houston has long been known as the Energy Capital of the World, there’s no reason we, as a city, cannot hold more than one title. What if Houston could take on the title of Smartest City in the World?

There are many factors that create a smart city, and it is deeper than just implementing new smart technology – it is a city that better supports the lifestyles of its residents seamlessly and unobtrusively. To effectively understand what the needs of the community are and the right types of technologies to implement when urban planning, data collection and data security measures are vital.

The City of Houston has already begun to use data and emerging technology to improve the quality of life for citizens, share information with the public, drive economic growth, and build a more inclusive society. To be successful and provide enriching experiences for Houstonians, these updates must happen at the infrastructure level, working as an integrated system that can be continuously optimized.

In 2015, Houston adopted an Open Data policy to support data sharing efforts between the government, its citizens, businesses and researchers. In addition to this, our city has made strategic investments in artificial intelligence, the Cloud, the Edge, smart sensors, big data, and more. These investments are being bolstered by private companies and institutions, building on these technologies to tackle urban problems, identify better solutions and enact privacy protections. These companies, such as McCord, are helping execute the city’s vision around development, transportation, public safety and community engagement.

Houston already has a case study

Citizens also play an active role in building the future of Houston through their behaviors and consumption patterns.

Take Generation Park, one of the largest privately held commercial developments in the country, sitting on 4,200 contiguous acres in Northeast Houston. As this land continues to be built out, developers at McCord partnered with Bosch technologies to implement sensors and other smart technologies to better understand how visitors are utilizing the trails, parking and space. These insights will then help McCord recognize parking patterns or which areas of the trails are most heavily trafficked, allowing the company to make more informed decisions regarding maintenance and infrastructure updates, ultimately providing a better experience for their visitors.

The data can also be factored in when planning events for the community. McCord will be able to use the data collected to determine things like the optimal times, preferred days and the need for parking at Redemption Square.

But the data use doesn’t stop at just events - tenants can use it to determine when to expect the dinner rush and apply that to staffing, prepping, happy hour specials and ultimately, factor it into better servicing their customers. Those living at Redemption Square’s 255 Assay Luxury Apartments will also benefit as McCord uses data trends to optimize their curbside management practices to better accommodate rideshare and food delivery services.

The plans for Redemption Square and Generation Park continue to adapt as data is collected and visitor behavior better understood. The goal of this data collection is to make Generation Park a citizen-optimized environment via cutting-edge technology where residents, visitors, employees, and businesses will thrive while knowing that their privacy is not at risk.

The bottom line

Houston’s diversity, business-friendly environment, and workforce make it a prime candidate to become a smart city. Becoming smarter in our transportation, public safety, sustainability practices, and infrastructure will create a better future for Houstonians.

Creating secure, holistic systems that work and learn together is central to successful smart city infrastructure. Private and public organizations must work together to collect data, pivot plans when needed and implement the correct technologies to ensure that these efforts ultimately make Houston a better place to live.

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Ryan McCord is president of Houston-based McCord Development.

Houstonians and visitors alike have a new technology to help them find their way around town. Photo courtesy of the city of Houston

Houston installs new smart city tech to better engage community and visitors

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Finding your way around Houston is going digital.

On February 7, city officials and others unveiled the first in a series of interactive wayfinding kiosks in Houston. The inaugural kiosk sits at Walker Street and Avenida De Las Americas, adjacent to the George R. Brown Convention Center.

IKE (Interactive Kiosk Experience) Smart City, a venture of Columbus, Ohio-based Orange Barrel Media, secured the city contract for the kiosks.

According to a City of Houston news release, the citywide IKE initiative is designed “to build smart city infrastructure that enhances the pedestrian experience for residents and visitors, while adding vibrancy to Houston’s urban landscape.”

The new IKE kiosks are touch screen. Photo courtesy of the city of Houston

Installation of the 25 IKE kiosks will happen in phases. Among the areas where kiosks will appear are downtown, Uptown, Midtown, Montrose, the Museum District, the Texas Medical Center, the Greater Third Ward, EaDo, Upper Kirby, Gulfton, and Sunnyside.

Mayor Sylvester Turner says Houston “has so much to offer, and the IKE digital kiosks will be an exciting new amenity to help guide people in various directions to enjoy events, restaurants, and much more. These kiosks are one of the many ways Houston is moving forward with creating more walkable spaces that make for a safer and more pleasant experience.”

Each free-to-use kiosk serves as a geo-located Wi-Fi hotspot that enables information about what’s in the vicinity to be displayed on dual-sided touchscreens. The multilingual kiosks feature detailed listings of nearby restaurants, shops, businesses, cultural institutions, events, social services, and other resources. The kiosks also supply information about transportation modes such as public transit, bike share, scooters, ride-hailing, and walking.

Furthermore, the IKE system spreads critical real-time emergency information. This could include alerts about hurricanes, active-shooter situations, and missing people.

As if that weren’t enough, IKE has teamed up with the Contemporary Arts Museum Houston to promote their exhibitions and artwork on the kiosks.

“We are excited to partner with the City of Houston, one of the largest and most diverse cities in the country. IKE will further activate the pedestrian experience providing widespread connectivity and equal access to information to all communities,” says Pete Scantland, CEO of IKE Smart City. “We look forward to serving Houston’s residents and visitors through IKE.”

The first IKE kiosk was unveiled February 7. Photo courtesy of the city of Houston

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Houston VC funding nears $1B in first half of 2026, report says

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Despite a weak second quarter, venture capital funding for Houston-area startups approached $1 billion in the first half of 2026, the region’s highest first-half total since 2022, according to the latest PitchBook-NVCA Venture Monitor.

This year’s first-half total of $962.4 million represented a nearly 8 percent increase over last year’s first-half total of $891.7 million. Dating back to 2016, this year’s first-half haul lags behind only 2021 and 2022 for the most first-half funding.

Houston’s year-over-year VC jump of 73 percent in the first quarter of 2026 more than made up for the year-over-year drop of 34 percent in the second quarter of 2026, according to the report.

Deal count tells a more encouraging story: Houston startups closed 102 deals in the first half, up from 93 a year earlier and the region’s busiest first half since 2022. However, the average deal size shrank, as no single funding source dominated the total.

Keep in mind that PitchBook and NVCA routinely revise quarterly numbers upward to reflect deals that were reported after a previous quarter’s data was published. So, in the case of Houston, numbers initially reported for the first quarter of 2026 may not match newly reported numbers.

Perhaps the most notable Houston-area deal announced in the first half of this year was Cart.com’s $180 million growth equity investment, led by Springcoast Partners. Cart.com is an e-commerce platform and logistics provider.

PitchBook-NVCA data shows Houston’s VC activity is growing modestly, delivering better numbers in the first half of 2026 versus 2024 and 2025, but it still sits below the highs of 2021 and 2022. This is one sign that so far in 2026, the national VC boom isn’t benefiting non-hub markets like Houston the way it’s boosting some hub markets, especially Silicon Valley and New York City.

Nationwide, AI dominated VC funding in the first half of this year. The sector made up 86 percent of VC from January through June. The report notes that the markets have still struggled to unlock IPOs, with SpaceX being the biggest exception, and few M&A deals outside health care have been significant.

14 climatech startups join Greentown Houston in first half of 2026

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Climatech incubator Greentown Labs reports that 14 startups have joined its Houston community so far this year.

The companies are among 30 new startups to have joined Greentown Houston and Greentown Boston in 2026. Four of the companies are headquartered in Houston.

The startups are working on a range of "hydrogen-powered heavy-duty transport to AI-driven grid interconnection," according to Greentown.

The local startups that joined Greentown Houston include:

  • Houston-based Focis AI, which transforms industrial laser scans into structured asset intelligence to automatically identify, classify and map components in refineries and plants
  • Houston-based Iron Lattice, which develops next-generation memory technology for AI and high-performance computing that improves energy efficiency, endurance and scalability while remaining compatible with existing semiconductor manufacturing
  • Houston-based Orbital Arc, which is developing a new ion engine designed to improve the efficiency and scalability of spacecraft propulsion from low Earth orbit to deep space
  • Houston-based Sustain Energy LLC, which delivers cleaner, lower-cost fuel to industrial customers in pipeline-absent, underserved markets, cutting their energy costs and emissions with no infrastructure investment on their end

Other startups from around the world joined the Houston incubator in the same time period, including:

  • Ankara-based AIS Field, which develops robotic, AI-assisted non-destructive inspection systems, including submersible tank and boiler crawlers
  • San Francisco-based Armada AI, which builds rapidly deployable modular and edge data centers that run on local, stranded, or renewable power
  • San Francisco-based Armeta, which turns complex engineering drawings and legacy documentation into structured, usable data
  • Pittsburgh-based Atlas Robotics, which develops a Physical AI platform that powers autonomous material-handling robots and AI-guided forklifts
  • Ghana-based Cocoa Potash, which transforms high-emissions agricultural waste from cocoa, coconut, and palm-nut into organic potash, fertilizer and renewable energy
  • Israel-based Criaterra, which produces low-carbon, cement-free building materials
  • Italy-based ETAK, which manufactures modular reactors that convert solid waste into clean syngas
  • Kenya-based FelixFusion, which uses its Felix platform to model every grid connection point, including capacity, upgrade costs, and constraints
  • San Diego-based Gemini Energy, which builds next-generation fuel cells for data-center power
  • Tokyo-based Hibot, which develops robotic systems for inspecting and maintaining infrastructure in hazardous, hard-to-access environments
  • Austin-based Sheetak, which designs and manufactures thermoelectric coolers, generators, and assemblies for solid-state cooling and energy harvesting
  • The Netherlands-based ToPerform, which makes AI-powered, non-intrusive fouling sensors that monitor pipelines around the clock and predict the optimal cleaning time

Another 16 startups joined Greentown's Boston incubator. See the full list of new members here.

More than 100 startups joined Greentown last year, according to an end-of-year reflection shared by Greentown CEO Georgina Campbell Flatter. Read more about them here.

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

$12M pharmaceutical manufacturing facility to be built in Sugar Land

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A nearly $12 million drug manufacturing facility is coming to Sugar Land.

City leaders in Sugar Land recently approved a $1.3 million performance-based incentive for DeliverIt Group, a Sugar Land-based provider of specialty pharmacy, infusion therapy and clinical care services, for the development of the 60,000-square-foot facility.

The facility, which will be registered with the U.S. Food and Drug Administration (FDA), will compound medication. The process of drug compounding combines, mixes or alters ingredients to create a medication tailored to a certain patient. A compounded drug is created when an FDA-approved drug can’t meet a patient’s needs.

The facility, which will employ 55 people, will expand DeliverIt’s offerings from specialty pharmacy and infusion services to advanced pharmaceutical manufacturing. In a press release, the City of Sugar Land says the facility reinforces the suburb’s status as a hub for life sciences and health care innovation.

DeliverIt, founded in 2010, already employs about 60 people.

The $1.3 million incentive, to be distributed over the course of 10 years, is being funded through the Sugar Land Development Corporation’s 4A sales tax program.

“The addition of a pharmaceutical manufacturing operation of this caliber reflects the type of targeted growth we want to see in Sugar Land,” Jennifer Alexander, business development manager for the City of Sugar Land, said in a news release. “Our focus on smart, strategic investment means supporting life sciences innovators in ways that maximize existing assets while driving long-term community prosperity.”

The current size of the U.S. drug-compounding market is estimated at $7.42 billion, and it’s projected to climb to $12.79 billion by 2035, according to Towards Healthcare Research and Consulting.

Drug compounding is gaining momentum due to increases in personalized medicine and personal treatment approaches, with growth being supported by aging populations and the rise of chronic illnesses, Towards Healthcare says.

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