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Analytics
Climate Tech Investment Outlook

With rising regulatory demands and increasing costs from resource inefficiencies, companies need more than just sustainability talk — they need solutions that improve operations and cut expenses. Climate-related disruptions, from supply chain instability to extreme weather impacts, are already affecting bottom lines, making adaptation a necessity, not a choice.

Our approach to this research focuses on actionable measures, such as optimizing energy use, reducing waste, and improving resilience, ensuring businesses can stay competitive and compliant without unnecessary complexity.

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Blank was engaged to produce an in-depth analytical report as part of our "Beyond Now" series, focusing on emerging technologies and their investment implications.

Read our Energy Transition Investment Outlook to explore the opportunities of alternative fuels.

About the research

A private equity fund saw the massive potential in climate tech and partnered with Blank to sharpen its investment strategy. Our insights were game-changing, but strict confidentiality keeps the details under wraps.

What we can share is this: climate tech is reshaping industries, and our research highlights where technology, regulation, and market demand converge.

— Symbiosis of climate and AgTech. Our research explores the evolving role of climate technology in agriculture, from smart farms to precision farming solutions. For example, city farms show potential but remain financially unstable, relying on grants and public-private partnerships. In contrast, crop monitoring is a growing business — sensor prices are dropping, and the market is set to double.

— Synthetic fuels production. Biofuels were covered in our Energy Transition Investment Outlook — this time, we focused on the other segments of alternative fuels. We analyzed gas-to-liquids, biomass-to-liquids, and coal-to-liquids, evaluating their economic viability and the critical minerals required for large-scale production.

— Remote sensing for the climate. Earth observation technologies are becoming essential for climate management across multiple sectors, including meteorology, agricultural monitoring, environmental assessments, and oceanography. Beyond climate applications, remote sensing also plays a crucial role in cartography and infrastructure development. Our research provides a detailed market evaluation, offering a data-driven perspective on its commercial potential.

Content

Water deficit management

Analyzed how water-scarce yet wealthy nations rely on less-developed neighbors, exacerbating local shortages. Our research mapped advanced irrigation and water management technologies, identifying where they should be implemented.

Smart city farms

Assessed the potential of urban farming as a solution for reducing supply chain distances. While its scalability remains limited, we identified its role in driving innovation across related sectors, including smart water management, hydroponics, fertigation, and LED lighting production.

Crop monitoring & sensors

Examined the future of agricultural sensors, highlighting key growth areas such as on-site sensors (ground-based and machine-mounted), drones, agricultural robotics, portable analyzers, and AI-driven crop management software.

Fertilizers

Tracked shifting demand in India and China, assessed the impact of global population growth on soil degradation, and forecasted the transition from traditional K-P-N fertilizers to biostimulants as a sustainable alternative.

Alternative fuels

Examined the role of e-fuels under new regulations phasing out combustion-engine cars (EU target: 2035). Our analysis outlined their potential as both a transitional drop-in fuel and a competitive alternative to EVs.

Aerial imaging & remote sensing

Investigated the expanding market of aerial imaging, uncovering investment opportunities across hardware and software segments. Our research detailed the market breakdown: aerial photography (30%), satellite imaging (60%), and drone-based data collection (10%).

Methodology

Exploration of niche databases

Our team delved into a variety of venture databases to collect and analyze data on startups, funding rounds, and investor profiles. These databases included Pitchbook, Tracxn, Crunchbase, Dealroom, the United Nations data portal, World Bank, etc.

Insights from industry experts

To validate our findings and gain a deeper understanding of the venture landscape, we consulted with industry experts. Their insights provided valuable perspectives and enhanced the accuracy of our research.

Analysis of market reports and additional sources

We performed a comprehensive market analysis to identify emerging trends, sector growth, and potential areas for disruption. To ensure a holistic view, we incorporated information from academic journals, governmental reports, and other sources.

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