Climate Tech VC Funding Hits $26.1B in H1 2026 as Data Center Demand Drives Low-Carbon Power Investments
esgtoday.comVenture capital investment in climate technology surged 55% year-over-year to $26.1 billion in the first half of 2026, according to a new report from market intelligence firm Currence. The growth was largely driven by data center demand for low-carbon firm power, with data center-related technologies accounting for 34% of all climate tech funding, up from just 3% in the prior year. Major IPOs from geothermal developer Fervo and advanced nuclear company X-Energy helped push cleantech exits to a record high of 152 in the half. The report notes that investors are backing early-stage energy technologies years before they reach the grid, with advanced nuclear startups Inertia and Blue Energy raising $450 million and $380 million in Series A rounds. Climate risk and adaptation startups also saw strong fundraising, with earth observation companies like ICEYE and Tomorrow.io drawing growth-stage capital as physical climate risks become more acute. Deal concentration increased, with the top 10 deals accounting for over 40% of all funding, while total deal count fell 25%.