Industrial Vanguard Vol. 38

Week of September 15, 2025

Author

Joe Tenbusch
September 19, 2025

Introduction

This week brought a striking mix of breakthroughs, bold bets, and big caution flags across industrial technology. In materials, startups are tackling both the micro (biodegradable alternatives to plastics) and the macro (farming metals from plants) while researchers remind us the U.S. already has untapped mineral reserves sitting in its waste streams. Energy saw an $11B EV battery deal, alongside a wave of geothermal and AI-driven efficiency plays. Design & development is tilting further into AI, with Groq joining the multibillion-dollar chip race. Manufacturing is being reshaped by everything from billion-dollar grid investments to the scaling realities of humanoid robots. On the finance side, venture and private equity remain active—from pension-backed mega funds to new platforms for sustainable aviation fuel—despite broader warnings of consolidation and downturn pressure. And in policy, Mexico raised tariffs on Chinese cars while China’s auto sector itself faces turbulence. The throughline: capital and innovation keep flowing, but efficiency, resilience, and geopolitics are setting the guardrails for what comes next.

Materials

  • BIOWEG secured €16M to scale biodegradable alternatives to microplastics. Tech.eu

  • Genomines raised $45M to farm nickel from daisies via phytomining. Axios

  • Critical minerals insight: new analysis shows the U.S. already has the minerals it needs—yet much is discarded as waste. Mines Newsroom

Energy

  • EV Batteries: Mercedes-Benz struck an $11B supply deal with LG Energy. Automotive Dive

  • Efficiency & AI:

    • encentive raised €6.3M from General Catalyst to cut industrial energy bills with AI. Tech.eu

    • ENTOUCH completed a $50M round for smart building energy management. PRNewswire

  • Geothermal Push:

    • Dig Energy raised funds for U.S. geothermal pilots. Renewables Now

    • Rodatherm is working on more efficient geothermal systems. TechCrunch

  • Storage & Batteries:

    • XL Batteries raised $7.5M. FinSMEs

    • Hydrostor closed $55M for long-duration storage. FinSMEs

  • Global dynamics: the U.S.-Korea battery alliance shows both promise and risks. Axios

Design & Development

  • AI hubs: Pittsburgh to see a new $10M AI lab tied to Carnegie Mellon. Axios

  • AI startups:

    • Sphinx launched with $9.5M to rethink data-AI interaction. PRNewswire

    • Mueon raised $15.5M Seed for computing innovation. FinSMEs

  • Chips & Compute: Groq hit a $6.9B valuation, positioning as a challenger to Nvidia in AI silicon. TechCrunch

Manufacturing

  • Infrastructure: Hitachi announced a $1B grid manufacturing investment, including a Virginia transformer plant. Manufacturing Dive

  • Robotics & AI:

    • Divergent Technologies secured $290M for defense-focused manufacturing. PRNewswire

    • Procense raised $1.5M Seed for AI-powered manufacturing tools. Businesswire

    • Dyna Robotics raised $120M to build robotic foundation models toward physical AGI. PRNewswire

    • Luminary Cloud secured $72M Series B to advance “Physics AI.” CBS42

    • Sonair unveiled 3D ultrasonic sensors designed for robotic safety. TechCrunch

    • Figure exceeded $1B Series C funding milestone. FinSMEs

  • Context: Despite big checks, analysis warns that “reality is cooling the humanoid robot hype.” IEEE Spectrum

  • Thought leadership: WEF highlights “Physical AI” as the next wave of industrial operations. WEF Report

Supply Chain & Logistics

  • Safety through AI: the shipping industry is deploying AI tools to reduce rising cargo fires. FT

Recycling

  • Battery Recycling: PeakAmp raised ₹12 Crore (~$1.4M) Seed to scale operations in India. Autocar Pro

Venture Capital & Private Equity

  • New Funds & Strategies:

    • Arch (“Charles Schwab for private markets”) raised $52M led by Oak HC/FT. Fortune

    • Aspire11 launched a €500M pension-backed fund. Tech.eu

    • VoLo Earth closed $135M Fund II, up 50% despite downturn headwinds. Reuters

    • Tom Steyer’s Galvanize unveiled a new $1.3B strategy. Axios

  • Sector initiatives:

    • oneworld Alliance and Breakthrough Energy launched a sustainable aviation fuel fund (also backed by Gates). VCWire / WSJ

    • Pegasus Tech Ventures partnered with Mitsubishi Materials on industrial tech ventures. VCWire

  • Culture & Trends:

    • WSJ spotlighted the sauna as an unlikely hotspot for dealmaking. WSJ

    • WSJ’s special report highlighted momentum and risks in secondary markets. WSJ

Markets, Policy & News

  • Trade: Mexico raised tariffs on Chinese cars to 50%. AutoNews

  • China’s auto sector: new investigation shows the industry under mounting strain. Reuters

  • IPOs & Market Moves:

    • StubHub went public at a $8.6B valuation. Axios / CNBC

    • Consumer tech startup Nothing raised $200M Series C at a $1.3B valuation. Pitchbook

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