Why big financial firms are scooping up climate modeling companies

Earlier this morning Axios published an analysis on the ongoing consolidation in the climate modeling arena.

You can find the article here.

Energize made an investment in the space in early 2019 when we led the Series B in Jupiter Intelligence. Our belief then was that new climate modeling techniques, enabled by the newest data sources and latest machine learning models would outperform older systems.

As evidenced by this article, the incumbents: mega firms like S&P, Moody’s, McKinsey… they are all scrambling to keep up with the changing expectations of their own customers. Most of the incumbents have now acquired a newer generation technology start-up. The prices for these M&A events range from undisclosed to $2 billion.

We still believe Jupiter is the best of this generation and that they will be a big, standalone company. Here is a snippet from the article on Jupiter.