ABSTRACT
This chapter explores the role of capital in cleantech, with a focus on the state of California. It discusses the lessons learned from cleantech Venture capital (VC) investing and the role of several other alternative funding sources. VC the primary driver of most early-stage company development works much better for software-centric cleantech, or the cleanweb, which includes less capital-intensive technologies occupying the intersection between information technologies and cleantech, reducing greenhouse gas (GHG) emissions. In California, all stages of the technology development lifecycle are present, from early-stage angel funding and VC to support the development of innovative new technologies. Cleantech is a term that has been defined by the Cleantech to Market program in the Energy Institute at Haas at UC Berkeley as any technology that has the potential to reduce GHG emissions. Technology begins with innovation and California is home to one the richest innovation ecosystems in the world, the San Francisco Bay Area, including Silicon Valley.
