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The CEO of Climeworks argues that the buildout of technology to suck greenhouse gas from the air should be considered part of the cost of artificial intelligence.

Somewhere in Virginia, Texas, or Arizona, a data center is being commissioned this month that will draw more power than a small city. The server racks inside will train and run artificial intelligence models for years to come. And the electrons feeding it will, in all likelihood, come partly from natural gas — because that is what can be built fast enough to meet the demand.
AI is driving a major new wave of data center construction, and with it, a surge in demand for power and infrastructure. The International Energy Agency projects that the electricity consumption of global data centers could more than double to around 945 terawatt-hours by 2030, comparable to Japan’s entire electricity demand today.
That matters because much of the new electricity demand from data centers is still likely to be met by power sources where natural gas plays a central role. The backlog for new combined-cycle gas turbines — the more efficient type of gas plant, which generates electricity from both a gas turbine and the heat it produces — already stretches to five years. As a result, some data centers are turning instead to single-cycle gas turbines, which can be deployed more quickly but are even more carbon-intensive. In any case, that means fossil-fuel use for this generation of digital infrastructure is already largely locked in. Some of the emissions that follow can be reduced through efficiency and grid decarbonization, but a significant share will persist for years to come. I believe that closing this gap must be the job of carbon removal.
Carbon removal is the process of physically taking carbon dioxide back out of the atmosphere. At Climeworks, we have spent the past 17 years developing and deploying direct air capture technology that removes CO2 from the air and stores it in the ground for thousands of years. More recently, we launched our Climeworks Solutions business that works with third-party providers of other technology and nature-based carbon removal methods, such as reforestation, to help customers access a broader range of approaches and price points.
According to the United Nations Intergovernmental Panel on Climate Change, carbon removal will be necessary if the world is to come close to meeting its climate goals, even alongside deep emissions cuts. For companies building and using digital infrastructure, the question this raises is simple: What do they do about the emissions they cannot yet eliminate?
The strongest near-term answer is to treat carbon removal as part of the cost of digital infrastructure — not as a substitute for clean energy, but as a complement to it. Trying to pair every data center directly with a direct air capture plant may sound attractive, especially because data centers have power, land and waste heat. But in practice, that kind of integration is still highly site-specific and not yet an easy model to repeat at scale. A more realistic solution is to treat carbon removal as part of the cost of cloud and AI products, where it can be built into existing pricing and contracts. In other words, carbon removal should be built into the cost of the digital product itself, rather than physically attached to every data center site.
The incentive is simple: As companies come under growing pressure to account for the emissions linked to the digital infrastructure they rely on, data center providers that offer a credible lower-emissions product will have an advantage.
One criticism of using carbon removal in this context is that it could prolong the use of fossil fuels. That concern deserves to be taken seriously, but it also needs a nuanced answer. There is an important difference between using carbon removal to justify new fossil infrastructure, and using it to address residual emissions that cannot yet be avoided. The latter is the role that serious climate frameworks assign to carbon removal.
Data center operators are not turning to natural gas because carbon removal exists. They are doing so because natural gas can provide the speed required by the current pace of compute growth. Carbon removal should therefore not be seen as a substitute for decarbonization, but as a way to manage a real constraint in an energy system that cannot decarbonize instantly.
The relevant comparison is not carbon removal versus renewables. It is unabated fossil-powered data center expansion versus expansion in which some of the resulting emissions are credibly and durably addressed. In that sense, the growth of AI infrastructure also creates an opportunity for carbon removal: It can bring larger volumes into the market, support scale-up, and help drive down costs over time.
The economics of integrating carbon removal into AI infrastructure are more feasible than one might assume. In December, Julio Friedmann, one of the best-known experts on carbon management and carbon removal, wrote in a Substack article that a gigawatt of advanced data center capacity can generate around $10 billion to $12 billion in annual revenues. Against that scale of value creation, the cost of addressing residual emissions through carbon removal becomes more manageable.
The emissions associated with that computing power depend heavily on how it is supplied. Based on our own calculations, assuming the current U.S. grid mix and utilization rates of around 85% to 100%, a gigawatt of data center capacity would emit approximately 3 million to 4 million tons of CO2 per year. Behind-the-meter natural gas generation would produce a similar level of emissions. Renewable power can reduce those emissions significantly, while nuclear power could reduce them further.
In practice, not every gigawatt of data center compute will be powered in the same way. But assuming roughly half is supplied by renewable or nuclear power, average residual emissions would still be around 2 million tons of CO2 per year for each gigawatt of compute. That is a substantial volume — and exactly the kind of residual emissions gap that carbon removal can help address.
A portfolio of carbon removal solutions, which can directly mitigate these emissions, only costs a few hundred dollars per ton. While that is a meaningful cost, it is manageable given the economics of AI products. It is affordable enough to make a start, especially for companies that want to offer a credible lower-emissions digital product.
So, who pays? In the near term, the most likely model is that cloud and AI service providers procure carbon removal and build the cost into their products, while customers create the commercial pressure and ultimately support that cost through procurement. Even if companies are speaking more cautiously about net zero than they were a few years ago, the underlying need for credible value-chain emissions data has not disappeared. Organizations still face growing pressure to account for scope 3 emissions through disclosure rules, investor-facing reporting frameworks and supplier requirements. As their use of cloud and AI grows, they will increasingly ask providers a simple question: What emissions come with this compute, and what are you doing about them? Once buyers start routinely asking that question, carbon removal moves from being a climate nice-to-have to a product feature.
Climeworks has reduced the cost of direct air capture significantly since our first plant came online, and that trajectory will continue as the market grows. But cost curves do not come down on their own. They come down when buyers decide that a cleaner product is worth paying for. The cost of solar electricity fell around 90% between 2010 and 2023, driven not just by technology but also by early procurement commitments from the likes of Google, Microsoft, and Amazon that gave manufacturers the confidence to invest at scale.
Carbon removal is approaching a similar inflection point. In April, Climeworks signed an agreement with NTT Data — one of the world’s largest digital and IT service providers — to remove carbon dioxide from the atmosphere, as part of its commitment to net zero.
The business case, then, is simple. The AI boom is creating enormous economic value. But it is also creating residual carbon emissions that cannot be avoided only by clean power and increased efficiency. The solution is not to wait for a perfect zero-carbon grid, and it is not to force a bespoke carbon removal engineering solution onto every data center site. I believe the solution is to integrate carbon removal into the digital infrastructure offer now, and let customers choose it. That’s how lower-emissions compute becomes real and scalable. And that is why carbon removal needs to become an essential part of responsible AI growth.
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Current conditions: A wildfire dubbed the Max Road Fire in the Everglades has torched more than 5,000 acres of the treasured Florida wetlands • Contrary to its name, Argentina’s Tierra del Fuego is bracing for light snow today at the southern tip of the Americas • An unseasonable cold snap is bringing morning frost temperatures to the Upper Midwest and Northeast.
Last week, Indiana extended its suspension of the state sales tax on gasoline for another 30 days and temporarily paused the state tax on gas, dropping prices by an average of $0.59 per gallon. On Monday, Kentucky’s temporary $0.10 reduction in gas taxes takes effect. Now the White House is considering replicating the idea on the national level. In an interview Monday morning with CBS News, President Donald Trump proposed suspending the federal gas tax “for a period of time.” Calling it a “great idea,” he said “when gas goes down, we’ll let it phase back in.” Gas prices have soared by an average of 50% since the start of the Iran War exactly 73 days ago. Prices hit a high on Sunday of over $4.52 per gallon, according to AAA data. But suspending excise taxes of more than $0.18 per gallon on gas and $0.24 on diesel requires legislation from Congress. That could be tricky. Pausing the tax would cost the federal government roughly $500 million per week. But lawmakers from both parties have already proposed bills that could do just that, including one Senator Josh Hawley, the Republican from Missouri, introduced on Monday.
The biggest natural gas-producing region in the United States isn’t in Texas. It isn’t in the oil-rich Dakotas either. It’s abutting the densely populated Northeast, in Pennsylvania’s Marcellus Shale. Yet neighboring New England is the country’s largest destination for liquified natural gas imports arriving by tanker. Why bring in costly gas, often produced overseas, to the deepwater port in Massachusetts Bay, when American-made molecules are drilled just a few hundred miles away? Because, as Heatmap’s Matthew Zeitlin has previously reported, there isn’t enough pipeline infrastructure to affordably pump gas from Pennsylvania into New York or New England, thanks in large part to policies from Democratic governors to halt pipeline infrastructure in the name of fighting climate change, even as the Northeast’s dependence on gas-fired electricity grew. That may soon change. Williams Companies broke ground on a new gas pipeline expansion in New York last month. Now the Calgary-based pipeline giant Enbridge is planning to extend the Algonquin Gas Transmission line, the company told the Trump administration’s National Energy Dominance Council, according to unnamed official cited by E&E News. It’s unclear when more details are due out, but Democratic governors that previously opposed pipelines are already signaling an openness to the infrastructure.
Oil exports from Alaska, meanwhile, are increasing as Asian buyers seek options for crude that don’t rely on passing the still mostly closed Strait of Hormuz. On Monday evening, Northern Journal reported that two tankers had departed the Alaskan port of Valdez for Asia in recent weeks. That’s the same number of crude shipments to Asia in all of 2025.
Another day, another large-scale Hualong One reactor begins construction in China. Crews poured the first major concrete for the fourth reactor at the Taipingling nuclear plant in Huizhou, in China’s southern Guangdong province. It’s the fourth of six Hualong Ones, Beijing’s flagship gigawatt-scale pressurized water reactor, planned at the site. Russia, meanwhile, remains so determined to move forward on international exports of its own gigawatt-sized pressurized water reactors that the Kremlin’s state-owned nuclear company, Rosatom, has said it’s still constructing the second two units at Iran’s first and only atomic power station, despite the ongoing conflict with the U.S. and Israel.
While at least two companies have broken ground on new commercial reactors in the U.S. in recent weeks, the U.S. industry’s most recent headlines offer a different snapshot of where the American atom is at. TerraPower, the Bill Gates-founded next-generation reactor developer that just began construction on its first power plant in Wyoming, has joined other nuclear startups in the race to generate early revenue by manufacturing and selling rare medical isotopes. Back in March, I broke news in this newsletter that the reactor startup Oklo had earned its first Nuclear Regulatory Commission license for a medical isotope facility. Now TerraPower is constructing its first medical isotope plant at a laboratory in Philadelphia, Pennsylvania. At the other end of the U.S. industry, Fermi America, the startup founded by former Texas Governor Rick Perry to build a record-breaking data center complex powered by a series of giant Westinghouse AP1000 reactors, is scrambling to save itself from total collapse following the firing of its chief executive officer. In a bid to avert disaster, the company’s second-largest shareholder, the investment firm Caddis Capital, told NucNet it supports Fermi’s attempt to turn things around.
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The Department of the Interior’s Bureau of Land Management will hold a lease auction for geothermal developers seeking federal land in New Mexico next month. The auction will cover 68 parcels spanning more than 197,000 acres across five counties of a state rich in hot rocks and eager to harvest more energy from underground. So far, the AI-enhanced geothermal startup Zanskar owns a site in New Mexico, and the next-generation company XGS Energy is planning its own 150-megawatt project. The lease sale will take place on June 16 for an hour starting at 10 a.m. ET, per Think GeoEnergy. The auction comes just three months after a new bipartisan bill to boost geothermal was introduced in Congress, as Matthew reported at the time.
Even in countries where the geothermal industry is well developed and generates much of the grid’s electricity, there are limits to how much hot rocks can meet surging demand from data centres. Microsoft had planned to build a $1 billion data center in Kenya to tap into the East African nation’s vast geothermal power network. But this week, Kenyan President William Ruto suspended the deal, which also included the United Arab Emirates-based AI firm G42, over concern that the gigawatt of electricity the data center would demand would devour more than a third of the country’s entire power supply.

Less than a year since the bipartisan Build More Hydro bill stalled in the House after passing the Senate in a unanimous vote, roughly 100 megawatts of hydroelectric capacity have been put on hold, and another 36 megawatts have been forced into limbo. Even more of the U.S. fleet is rapidly approaching a relicensing cliff in the coming years, with an uncertain future as the nation’s oldest and most reliable renewable plants suffer under a byzantine regulatory process that makes dam owners actually envy the notoriously heavily-regulated nuclear sector. Things just got slightly easier for a handful of U.S. hydroelectric plants. On Monday, Trump signed legislation directing the Federal Energy Regulatory Commission to extend construction deadlines for roughly three dozen stations delayed due to the pandemic and supply chain shortages.
“Today’s law is a breakthrough that delivers 2,600 megawatts of clean hydropower and $6.5 billion in private investment critical to powering American homes, businesses, and industries,” Malcolm Woolf, the president of the National Hydropower Association, said in a statement.
Offshore wind may be moving forward in Virginia, but the Trump administration’s assault on the sector has spurred a major waterfront development in Norfolk to pivot away from the seaward turbines and instead double down on shipbuilding. The shift, reported in The Virginian-Pilot, comes after the Trump administration yanked Biden-era funding meant to support the industry. But Richmond isn’t abandoning offshore wind. As I told you the other week, Governor Abigail Spanberger just signed a bill meant to support training and expansion of the state’s offshore wind workforce.
Editor’s note: This story has been updated to correct the location of Terrapower’s isotope plant.
In an age of uncertainty, investors want proven technologies.
When Trump won a second term, nobody quite knew exactly what havoc he would wreak on the climate tech industry — only that its prospects looked deeply unstable. After all, he’d alternately derided and praised electric vehicles, accused offshore wind turbines of killing whales, and described himself as “a big fan of solar” — save for its supposed harm to the bunnies — all while rallying supporters around the consistent refrain of “drill, baby, drill.”
At the same time, a number of key technologies continued moving down the cost curve, supportive policy or no. This collision of climate tech antipathy and maturing technology is already reshaping the funding landscape. New reports from Sightline Climate, Silicon Valley Bank, and J.P. Morgan point to a clear bifurcation in the industry: While well-capitalized investors and more established climate tech companies continue to raise sizable funds and advance large-scale projects, much of the venture ecosystem that backs earlier-stage solutions is struggling to keep up.
The headline numbers — which look strong at first glance — help obscure that reality. Sightline Climate’s Dry Powder and New Funds report, for instance, shows investors raising a record $92 billion in new climate-focused capital across 179 funds last year. But 77% of that total was concentrated among the largest players, institutional heavyweights like Brookfield Asset Management, Copenhagen Infrastructure Partners, and Energy Capital Partners, which tend to back proven technologies such as utility-scale solar, wind, and battery projects.
“A lot of infrastructure funds are very comfortable saying, Yeah, I’m going to do wind and solar. I know how that works. I can see the project finance there. All good,” Julia Attwood, Sightline’s head of research, said on a webinar about the firm’s report.
Meanwhile, the proportion of U.S. investment going to seed and Series A companies fell for the first time in about a decade, according to Silicon Valley Bank’s Future of Climate Tech report, bad news for less mature but critical technologies like carbon capture, green steel, low-carbon cement, and agricultural decarbonization. These remain the domain of more risk-tolerant early-stage venture investors, whose share of total funding raised is similarly shrinking, dropping from about 20% in 2021 to under 8% last year, according to Sightline. That’s due to both a decline in VC fundraising — the average fund size dropped from $174 million in 2024 to $160 million in 2025 — as well as infrastructure’s share of the pie growing as the industry matures.
Capital concentration also shows up within early-stage venture itself. While Silicon Valley Bank’s topline numbers show startup valuations increasing at every stage from seed to Series C and beyond, “there’s clearly a story behind that where the top performers are doing really well and a lot of the longer tail are still scraping to keep up,” Jordan Kanis, Silicon Valley Bank’s managing director of climate technology, told me. “There’s still money flowing into early stage companies. I think there’s more selectivity. It’s a higher bar.”
That selectivity has become a necessity, as investors struggle to raise fresh capital from their limited partners in a politically volatile environment, in which affordability and energy security have become the name of the game and the word “climate” is all but forbidden. Even before Trump’s second term, LPs were facing a liquidity crunch, as infrastructure-heavy climate tech companies often take a decade or more to exit and return capital to investors. So until those IPOs or acquisitions accelerate, many LPs will likely remain cautious about ponying up additional capital.
This year could be a turning point on that front, however, with nuclear startup X-energy going public last month at a valuation of nearly $12 billion, and geothermal unicorn Fervo Energy gearing up for its pending IPO. “Nothing gets this fired up more than some really good exits,” Andrew Beebe, managing director at Obvious Ventures, told me, referring to the climate tech ecosystem at large. “That’s going to get people talking a lot about the opportunities in the space.”
Obvious, which invests in climate tech companies but also those focused on “human health” and “economic health,” is one of the few venture investors to bring in fresh capital recently, raising about $360 million in January for its fifth fund. Last year, only 39% of climate-focused VC funds that were actively raising were able to close, according to Sightline Climate’s data, compared to 73% of mature infrastructure funds and 60% of growth funds.
Beebe said that for a well-known firm like Obvious, which has been investing in this space for over a decade, “we did not find it that hard” to raise, explaining that “LPs today are favoring experienced teams with track records.” The firm’s diversification beyond climate also might have been a boon, he said. And there’s always the possibility that “there were just too many funds, and we’re going to see a thinning of the field” in both climate and the venture landscape at large.
Indeed, the broader venture market mirrors many of these trends, indicating there’s more than just political sentiment — or even climate industry maturation — driving capital concentration at the top. For one, the entire venture industry contracted after 2022, as post-pandemic interest rates rose, money got more expensive, and valuations plummeted across the board. That’s led investors across all categories to hold off until companies demonstrate significant proof of traction.
“When we look at tech firms and look at how much revenue the median Series A company has in 2021 and compare that to what they had in 2025, it’s double,” Eli Oftedal, a principal researcher at Silicon Valley Bank, told me, meaning Series A companies are bringing in much more revenue than they were five years ago. “Investor expectations are higher across the board, not just in climate, and that’s a pretty clear indication of the whole ecosystem changing to request a higher level from founders.”
At the same time, revenue growth rates have slowed, elongating the time it takes startups to move from one round to the next. This environment has LPs and investors placing big bets on a few prosperous industries that seem almost guaranteed to generate returns, whether it’s solar and wind or artificial intelligence companies. For instance, OpenAI and Anthropic raised $40 billion and $13 billion last year, respectively, accounting for 14% of total global venture investment in 2025.
That type of focused hype is redirecting attention from generalist investors — who might have otherwise funded climate tech — toward more AI-centric bets. But the AI boom and the accompanying data center buildout are also behind many of today’s strongest climate tech deals, with surging electricity demand fueling investment in clean energy and gridtech startups as hyperscalers look to meet their ambitious — and perhaps impractical — climate targets.
“If you’re investing in the clean baseload energy and power part of climate tech, there’s so many dollars that need to be deployed to bring these companies to scale, and they’re viable today,” Robert Keepers, head of climate tech at J.P. Morgan Commercial Banking, told me. “Funds that are focusing on that part of the sector are doing really well.”
But the result is also a dynamic that disproportionately favors the energy sector, the most mature segment of the climate tech ecosystem. Last year, three quarters of new capital raised by climate-focused funds was earmarked for energy investments, leaving sectors including transportation, industry, and agriculture increasingly cut off from capital
If the trend continues, it could create a pipeline problem. Infrastructure investors would keep scaling solar and wind farms alongside politically favored tech like nuclear and geothermal, while a dwindling supply of venture capital leaves fewer next-generation companies able to graduate into that queue. “If they don’t have VC commercializing and providing [first-of-a-kind] funding for a bunch of the new tech then you’re just going to see more and more concentration in a few technologies, and you won’t really have that growth of a brand new market,” Attwood explained on the call.
As of now, however, that’s just speculation. As Attwood noted, Sightline’s data is based on climate tech funds that have already closed. “There’s another $200 billion out there that has not closed yet,” she emphasized. “So if all of that money is still in the pipeline, is still moving through, and could reach close fairly soon, that’s a huge indicator that there is still appetite to fund climate.”
With the historic level of electricity demand growth, Keepers told me “there’s never been this much momentum in the space.” And the climate issue certainly isn’t going away anytime soon. As Silicon Valley Bank’s report notes, over the past decade, billion-dollar climate and weather disasters alone have caused $1.5 trillion in direct damages — a figure that excludes smaller disasters and doesn’t even begin to capture the catastrophes’ broader economic ripple effects.
“We’re tackling a problem that some people still don’t really see, and we see with great clarity. So that’s where you make a lot of money,” Beebe told me. “Unlike some other cycles like blockchain, or crypto, or even enterprise SaaS, this cycle doesn’t come and go. It is a one way street. It will continue to become a bigger and bigger opportunity.”
Current conditions: Temperatures are climbing to 100 degrees Fahrenheit in Las Vegas as a heat wave settles over the Southwest • In India’s northwest Gujarat state, thermometers are soaring as high as 112 degrees • Fire season in the U.S. state of Oregon has officially begun, weeks ahead of usual.
A tanker carrying liquified natural gas from Qatar has appeared to transit the Strait of Hormuz, marking the country’s first export out of the Persian Gulf since the Iran War started. On Sunday, Bloomberg reported that the Al Kharaitiyat had successfully passed through the narrow waterway near the mouth of what’s traditionally the busiest route for oil and gas in the world. As of Sunday evening, the vessel en route to Pakistan from Qatar’s Ras Laffan export plant had reached the Gulf of Oman. The ship, the newswire noted, “appears to have navigated the Tehran-approved northern route that hugs the Iranian coast through the strait.”
Still, progress on ending the war the United States and Israel are waging on Iran remains limited. In a Sunday post on his Truth Social network, President Donald Trump said he had just read a “totally unacceptable” counter proposal to end the war “from Iran’s so-called ‘representatives.’” In the meantime, it’s not just hydrocarbon buyers feeling the pinch of higher prices. As Heatmap’s Matthew Zeitlin reported last month, the closure of the strait is squeezing both ingredients for battery storage and solar panels.
Data centers may represent big new buyers for electrical utilities. But Eversource Energy, the Massachusetts-based electrical power company serving nearly 5 million customers across New England, is betting against data centers. On a call with investors last week, Eversource CEO Joe Nolan said he’s “not interested” in developing new server farms across the company’s territory, as it’s “only going to drive up the price of energy,” according to Utility Dive. “It’s of no value to our residential customer — actually, any customer,” Nolan said. A limited buildout of artificial intelligence infrastructure had kept prices steadier in New England’s grid than in PJM Interconnection, the mid-Atlantic system. “If you look at the volatility in ISO New England, there’s not a very volatile market compared to PJM,” he said. “So, I feel good about it.”
That position may align well with the push from some Democrats, particularly on the left, to halt data center construction amid a populist backlash to the projects. But this isn’t a blue state issue alone. The same day Nolan made the remarks, Florida Governor Ron DeSantis, a hard-line Republican, signed a bill mandating that utilities require large data centers to pay their own service costs and prevent those costs from being shifted to ratepayers. “You should not pay one more red cent for electricity because of a hyperscale data center as an individual,” DeSantis said, according to E&E News. “That’s just not right, for the most wealthy companies in the history of the world to come in and have individual Floridians or Americans subsidize these hyperscale data centers.”
One of the biggest early problems afflicting America’s next-generation nuclear industry is the fact that a key fuel many new reactor technologies need has, for years, only been manufactured commercially by Russian and Chinese state-owned nuclear companies. For companies pitching a return to fission as a way for the West to avoid Moscow’s gas and Beijing’s solar panels, batteries, and critical minerals, that posed a problem. But Washington has been racing to shore up a domestic supply of what’s known as high-assay low-enriched uranium, or HALEU. Now it’s tapping in one of its closest allies and partners in the atomic energy industry. On Friday, World Nuclear News reported that Japan had shipped 1.7 metric tons of HALEU to the U.S. as part of “the largest single international shipment of uranium in the history of the National Nuclear Security Administration.” The delivery joined together the U.S. Department of Energy’s NNSA, Japan’s top two nuclear regulatory agencies, and the United Kingdom’s Nuclear Transport Solutions and Civil Nuclear Constabulary. “This milestone accelerates our progress towards a secure and independent energy future, while reaffirming our commitment to nuclear nonproliferation,” Matthew Napoli, the NNSA’s deputy administrator for defense nuclear nonproliferation, said in a statement. “Through this partnership with Japan, we are fuelling the next generation of nuclear power, and solidifying America's energy dominance.”
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ITER is just about ready to eat. The world’s biggest nuclear fusion experiment, the globally-funded megaproject in France known as the International Thermonuclear Experimental Reactor, has received the final shipment of components needed to assemble the giant magnet at the heart of the facility. As a result, the project is now back on schedule, NucNet reported last week.
The joint effort between the U.S., China, the European Union, India, Japan, Russia, and South Korea was once considered the vanguard of the quest for the so-called holy grail of clean energy. But delays, bureaucracy, and funding pauses created repeated setbacks. Meanwhile, fusion has made major strides at small startups in the U.S., while China — as I have reported here — is outspending the entire world combined on research.
JinkoSolar is selling a 75.1% stake in its U.S. manufacturing subsidiary to the private equity firm FH Capital for an undisclosed sum. The deal, announced Friday, also includes the Chinese giant’s battery business. “FH Capital brings deep sector expertise, financing experience, and a deep understanding of the U.S. market,” Nigel Cockroft, U.S. general manager of JinkoSolar, said in a statement. “We believe this transaction provides the right ownership, management and strategic direction for this new venture to grow capacity and serve the growing demand for high performance U.S.-sourced renewable energy products.”
U.S. manufacturers have long struggled to compete against Chinese solar panel producers, which — as I told you two weeks ago — have seen exports more than double since the start of the Iran War. And as I also recently noted, new kinds of solar panels are getting a second look in the U.S. right now. But U.S. panel manufacturers don’t just struggle to compete on price. A new industry report highlighted last week in PV Magazine found that U.S. solar factories are struggling to meet high soldering standards.

Coyotes are the best animal, just in case you didn’t know or you weren’t sure. They are cunning, beautiful, and so clearly emblematic of the natural wonder of this continent that various Native Americans cultures revered the canine European settlers later renamed Canis letrans — “barking dog” in Latin — as a deity. They are wily, the trickster whose wit and determination to endure against bigger predators such as wolves and bears and survive a record-shattering onslaught by the U.S. government. If you ever want to fall in love with the biology and mythology of these creatures, read Coyote America by the environmental historian Dan Flores, or listen to one of his lectures on YouTube. What you’ll learn is that the coyote was subjected to the most extensive extermination campaign in American history, facing all kinds of creatively cruel new weapons especially after World War II as ranchers demanded the U.S. government eradicate one of the peskier pests for livestock, only to spread to more corners of North America than ever before. One of the worst innovations in coyote killing: Cyanide bombs. In 2023, the Biden administration banned the devices, which shoot liquid cyanide into the animal’s mouth causing a vicious but swift death. Now the Trump administration is bringing back cyanide bombs, despite concerns that the traps kill wolves, foxes, and unleashed dogs. It may kill off more individual canines. But it certainly will not eliminate coyotes.