As the world continues its transition to more sustainable practices, venture capitalists are placing significant bets on startups promising cleaner and more eco-friendly solutions. This week saw hundreds of millions of dollars poured into innovative companies harnessing the power of light, extracting value from waste materials and helping reduce carbon footprints.
Lightmatter, a Silicon Valley startup developing photonic chips for data centers and AI models, announced a $400 million Series D round led by Fidelity Management & Research Company. The funding values the company at $4.4 billion and will support expanding its team to commercialize solutions that slash energy consumption through the use of light instead of electricity. Elsewhere in green tech, X-Energy secured $500 million for its nuclear reactor design that promises radically cleaner power generation.
In the recycling and waste sectors, Japanese startup Ookuma Diamond Device aims to build a new diamond semiconductor manufacturing facility using carbon pulled from radioactive debris. Its recently completed $27 million funding will go towards establishing this facility. Meanwhile Optricity secured $57 million to grow its photonics team and ramp up production of chips reducing data center energy demands, reflecting strong backing for light-based solutions.
Other interesting deals included $25 million for Toronto’s Fable to further develop accessibility tools helping millions overcome cognitive and sensory impairments through technology. Space startup OroraTech also raised $25 million as investors prepare the company for global wildfire monitoring from orbit.
These deals highlight how entrepreneurs worldwide are tackling sustainability through innovative materials reuse and cleaner energy sources. With climate change an ever more pressing issue, expect to see venture money continue flowing towards startups offering paths to a greener future.
