Sign In or Create an Account.

By continuing, you agree to the Terms of Service and acknowledge our Privacy Policy

Podcast

Why Meta’s Longtime CTO Is Now Investing in Climate Tech

Rob talks with Gigascale Capital’s Mike Schroepfer about how to make U.S. manufacturing better, cheaper, faster, and cleaner.

•
Ocean climate tech.
Heatmap Illustration/Panthalassa

It has been a hard few years for climate tech. But we recently got a bright spot: Earlier this month, Gigascale Capital announced it had raised $250 million to build the physical infrastructure driving decarbonization. That was notable in part because Gigscale’s founder is Mike Schroepfer, Meta’s former chief technology officer, who has gone deep on climate tech since leaving the company in 2022.

On this episode of Shift Key, Mike joins Rob to discuss why Gigascale chose this moment to raise $250 million, what’s greenwashing (and what’s not) in AI, what the American manufacturing industry does better than China’s, and why Gigascale has not engaged in “climate hushing.”

Shift Key is hosted by Robinson Meyer, the founding executive editor of Heatmap News.

Subscribe to “Shift Key” and find this episode on Apple Podcasts, Spotify, Amazon, or wherever you get your podcasts.

You can also add the show’s RSS feed to your podcast app to follow us directly.

Here is an excerpt from their conversation:

Robinson Meyer: Where do you see that innovation happening in the hardware cycle? I mean, we’ve named SpaceX, obviously, but aerospace is, I think, kind of famously one of the last remaining sectors where China is still trying to catch up to Western firms in terms of cost competitiveness, in terms of sophistication. And then when we talk about, like, solar, it sounds like there’s a lot of cost to lose, but it’s still kind of piggybacking on the back of a fundamentally Chinese-dominated process. And obviously the Form Energy story is awesome, they have a great product, but also it’s — I’m not going to say it’s a one-off, but it does seem that they have this battery chemistry that is not related to the lithium-ion chemistry that nobody else has, and they’ve been able to get there first.

America is great at innovation, but we’ve struggled to convert that innovation over the past 10 years in the world of hardware into actually great products. And so, do you have a thesis about how that is going to change going forward, or where in the cycle we need to intervene, or where Gigascale can intervene to make sure that that innovation actually gets carried through into real products that that change the marketplace at climate level scales?

Mike Schroepfer: I mean, I guess I just fundamentally disagree with that statement. Let’s talk about some of the most valuable companies in the world, Nvidia and SpaceX. You know, Nvidia is still one of the world’s best. And I mean, you could say it’s manufactured at TSMC, but it’s fundamentally ... they’re designing a chip, you know. SpaceX is the only company that’s landing rockets every other week, and they’ve been doing it for a decade. Tesla really pioneered the electric vehicle, and I can go on and on and on. In terms of, you know, I built tens of millions of square feet of data center space. AI, the U.S. is still ahead, and AI, probably one of the most consequential technologies. Yes, the AI itself is software, but it’s on the back of massive infrastructure build. Where are all these data centers? They’re in the United States. That’s where all the training is happening, and that involves a bunch of infrastructure build.

Part of why I got into this was, I, you know, it’s reading all this stuff about how the U.S. and the West doesn’t know how to build anything anymore, and everything’s late and expensive. And like, we were out there building data centers, and I was like, these things are like plus or minus 3% on time, on budget, every single time — like, what the heck. And when I like looked at it, the thing everyone is missing is like, yes, when you make every project a special snowflake project, it’s a disaster. Every custom home ... even like electrical projects, right now, you know, if you go spec a transformer, it’s like, you hire an engineer and they write the specs, and they do a design doc, and they send it over, and like, why does this take forever? It’s because it’s like a custom bespoke wedding cake, basically every single time. It’s like, no, no, no, no. What’s the Costco sheet cake equivalent for transformers? I just roll in, and I’m buying them, you know, by the palette.

That’s what Heron Power is doing, is saying, like, no, no, we have a 5-megawatt transformer. It’s software controlled, so your voltages can be determined like at runtime. Cool, cool, you don’t need to custom-design this thing, and that’s an entirely different process. And that’s the way we build data centers, is like every single building looked the same from the sky. It was an L-shaped building, then we made an H-shaped building. It’s four data halls, and we would just like roll through and build the same thing over and over again. But Nvidia, part of the reason so valuable is like the, you know, same chip, basically with a couple small variants in my gaming PC is the thing that’s in my data center, but the core R&D was the same. And when we do that and we concentrate R&D and technical innovation, and then replicate the thing out, the U.S. is sort of unmatched in that.

You can find a full transcript of the episode here.

Mentioned:

Previously on Shift Key: What J.P. Morgan’s Chief Climate Advisor Is Telling Energy Startups

This episode of Shift Key is sponsored by ...

Heatmap Pro brings all of our research, reporting, and insights down to the local level. The software platform tracks all local opposition to clean energy and data centers, forecasts community sentiment, and guides data-driven engagement campaigns. Book a demo today to see the premier intelligence platform for project permitting and community engagement.

Music for Shift Key is by Adam Kromelow.

Blue

You’re out of free articles.

Use code: CWNYC30 to save 30%.
Subscribe to access Heatmap’s exclusive polling and expert analysis of energy, climate change, and sustainability, now just $99/year $69.30/year.
To continue reading
Create a free account or sign in to unlock more free articles.
or
Please enter an email address
By continuing, you agree to the Terms of Service and acknowledge our Privacy Policy
Daily Briefing

How AI Split Climate Tech in Two

Plus more venture capital musings on Day 4 of New York Climate Week.

Gabriel Kra, Katie Rae, Dawn Lippert
Heatmap Illustration/Luke Liu

It’s another hectic and productive Climate Week in New York City, full of discussions on topics ranging from electrification, to permitting reform (the latest: it’s going to wait until after the midterms), to energy security amid soaring oil and gas prices, to, inevitably, the ways the data center buildout is both helping and hurting climate tech companies and emissions targets alike.

As usual, cadres of venture capitalists descended on Midtown Manhattan, bringing with them the particular brand of optimism that venture inherently requires. They touted the potential synergies between cleantech and the artificial intelligence boom, bemoaned the persistent “missing middle” funding gap, and debated ways to talk about climate without actually saying the word climate. Through it all, a few core themes emerged.

Keep reading...Show less
Blue
Energy

House Science Leaders Introduce a $10 Billion Fusion Bill

The bipartisan proposal from the House Science Committee comes with the backing of the Fusion Industry Association.

The capitol and a tokamok.
Heatmap Illustration/Getty Images

The nuclear fusion industry has been asking for a $10 billion investment from the U.S. government. Now, there’s a bipartisan coalition in Congress ready to give it to them.

On Thursday, Californians Zoe Lofgren, ranking member of the House Science Committee, and Jay Obernolte, chair of the body’s Subcommittee on Research and Technology, introduced the American Leadership in Fusion Act, which would pump some $10 billion into the industry to commercialize the frontier nuclear energy technology.

Keep reading...Show less
Ideas

The Energy Trust Gap Is Crashing Our Grid

Third Way’s head of climate and energy argues that both sides have lost voters’ trust, with serious consequences for our infrastructure.

Fingers crossed.
Heatmap Illustration/Getty Images

In September 2024, then-presidential candidate Donald Trump told a crowd in Wilmington: “We will cut your energy prices in half … Mark it down, and you can get very angry at me if we don't do it.” He gave himself one year from when he’d take office.

Two years later, rates are up. And we’re angry.

Keep reading...Show less
Blue