Green Fusion and Vertical Compute: Pioneering the Future of Energy and Technology

January 22, 2025, 4:47 am
XAnge Private Equity
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Employees: 11-50
In the heart of Europe, two startups are rewriting the rules of their respective industries. Green Fusion, a Berlin-based innovator, is tackling the inefficiencies of heating systems. Meanwhile, Vertical Compute, hailing from Belgium, is breaking barriers in memory and computing technology. Both companies are fueled by fresh capital and a vision for a sustainable future.

Green Fusion recently secured €12 million in a Series A funding round. This investment, led by HV Capital and XAnge, will supercharge its mission to optimize heating systems across Europe. The startup’s approach is straightforward yet revolutionary. It uses artificial intelligence to monitor and adjust heating systems in real-time. This means that apartment buildings can save energy and reduce carbon emissions without the need for costly renovations.

Imagine a world where heating systems are as smart as your smartphone. That’s the goal. Currently, most heating systems in Germany operate at suboptimal levels. A staggering 80% are still set to their original factory settings. This inefficiency leads to wasted energy and increased costs. Green Fusion aims to change that narrative. By implementing its AI-powered software, housing companies can achieve an average reduction of 16% in heating expenses. For a portfolio of 100 systems, that translates to savings of over €233,000 annually.

The startup has already made significant strides. It serves over 100 housing companies, managing more than 800,000 rented apartments. Notable clients include Gewobag and Rheinwohnungsbau. With the new funding, Green Fusion plans to equip 3,000 apartment buildings with its technology by 2025. This ambitious goal represents a 300% increase in adoption. The capital will also support expansion into France and the Benelux region, ensuring that Green Fusion’s solutions reach a broader audience.

The urgency of Green Fusion’s mission is underscored by Germany’s commitment to climate neutrality by 2045. Rising CO2 prices are pushing the housing sector to adopt sustainable practices. Traditional renovation methods are often too expensive and time-consuming. Green Fusion offers a smart, cost-effective alternative. Its technology not only optimizes existing systems but also prepares them for future innovations like heat pumps.

On the other side of the tech landscape, Vertical Compute is making waves with its €20 million seed funding. Founded by industry veterans Sylvain Dubois and Sebastien Couet, the company is focused on developing integrated memory and computing technology. This innovation promises to unlock a new generation of AI applications, addressing the growing demand for efficient data processing.

The challenge Vertical Compute aims to solve is known as the “memory wall.” As AI workloads surge, the need for fast, efficient memory becomes critical. Traditional memory technologies like SRAM and DRAM are reaching their limits. They are either too small and expensive or too energy-consuming. Vertical Compute’s solution? A novel vertical integrated memory structure that minimizes data movement. This innovation could lead to energy savings of up to 80% and enhance user privacy by reducing the need for remote data transfers.

The potential applications of Vertical Compute’s technology are vast. By bringing data closer to computation, the company can enable hyper-personalized AI solutions. This is crucial as industries increasingly rely on large-scale AI models. The convergence of AI and edge computing necessitates a transformative approach to data processing. Vertical Compute is poised to capture this opportunity with its chiplet-based solutions.

The company is not just about technology; it’s about building a team. Vertical Compute is actively recruiting top engineers to support its ambitious R&D goals. The founders’ backgrounds in deep tech and semiconductor innovation position them well to lead this charge. Dubois and Couet are committed to placing Europe at the forefront of tech innovation.

Both Green Fusion and Vertical Compute exemplify the spirit of innovation that is vital for a sustainable future. They are not just responding to market demands; they are anticipating the needs of tomorrow. Green Fusion’s focus on energy efficiency aligns perfectly with global climate goals. Meanwhile, Vertical Compute’s advancements in memory technology could redefine how we interact with AI.

The funding these startups have secured is a testament to their potential. Investors see the value in their visions and the impact they can have on their industries. As they grow, both companies will likely inspire others to follow suit. The future of energy and technology is bright, and it is being shaped by the bold ideas of these innovators.

In conclusion, Green Fusion and Vertical Compute are more than just startups; they are harbingers of change. They are tackling pressing issues with innovative solutions that promise to reshape their industries. As they forge ahead, the world will be watching. The path to a sustainable and technologically advanced future is being paved by these pioneers. The journey has just begun, and the possibilities are endless.