No One Pays for Green Anymore - Yair Reem (Extantia)

No One Pays for Green Anymore - Yair Reem (Extantia)

Author: Hugo Rauch March 13, 2025 Duration: 45:45

Listen now on Apple, Spotify, and YouTube.

***

This week, we’re joined by Yair Reem, Partner at Extantia Capital, to break down why the green premium is dead, and what’s next for climate-tech startups.

In this episode, we explore:

* The death of the green premium & rise of the green discount

* How climate startups should price & pitch their solutions

* What VCs really look for in climate investments

* The future of climate tech & the biggest investment opportunities

* … and more!

***

⌛TIMESTAMPS

* 00:00 – Introduction

* 02:15 – What is the green premium, and why did it fail?

* 06:42 – Why customers won’t pay more for green solutions

* 11:30 – The rise of the green discount & new pricing strategies

* 17:05 – Why startups must focus on industry problems, not sustainability

* 28:45 – Case study: How Magnotherm found the right value proposition

* 35:00 – The biggest investment opportunities in climate tech today

* 42:15 – AI’s role in climate startups & competitive pricing

* 48:10 – Rapid-fire questions

* 54:20 – Final thoughts

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▶️ CONNECT WITH YAIR

* Yair Reem – https://www.linkedin.com/in/yairreem/

* Extantia Capital - https://www.extantia.com/

***

🔗 CONNECT WITH ME

* Newsletter - https://climateventuresvco2.substack.com/

* LinkedIn - https://www.linkedin.com/in/hugorauch/

* Email - climateventuresvco2@substack.com

* YouTube - https://www.youtube.com/@VCo2_HugoRauch

***

📚 REFERENCES AND MENTIONS

* Extantia Capital – Climate VC firm

* Magnotherm – Reinventing refrigeration

* Vamo – Heat pump company focusing on cost efficiency

* Northvolt – European battery manufacturer

***

🎙️PAST EPISODES YOU’LL LOVE

* Dr Benedikt Buchspies - How to Use LCAs for VC Investments (Planet A)

* Tina Dreimann on Community Investing in Climate Tech (better ventures)

* Tim Schumacher on selling to climate deniers (World Fund)

***

💚 LEAVE A REVIEW

* Apple Podcasts - https://shorturl.at/HIDcg

* Spotify - https://shorturl.at/yDTfR



This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit newwavenewsletter.substack.com

Hugo Rauch hosts New Wave, a podcast that lives at the intersection of business ambition and scientific reality. This isn't about distant predictions or abstract science; it's a grounded exploration of the technologies and companies being built right now to address our environmental future. Each episode focuses on the practical journey, dissecting the models, the breakthroughs, and the hard decisions that define the climate tech landscape. You'll hear from founders, researchers, and investors who are actively shaping this space, getting into the specifics of what works, what doesn't, and why. The conversations move beyond hype to examine the tangible mechanics of creating viable solutions, from energy storage and sustainable materials to carbon removal and regenerative agriculture. It’s for anyone who thinks about the climate challenge not just as a crisis, but as a complex and urgent field of innovation. By tuning into this podcast, you gain a clearer understanding of the economic forces and scientific principles driving the next generation of environmental solutions. New Wave connects the dots between the lab, the boardroom, and the impact we need to see in the world, offering a sober yet optimistic look at where substantive progress is truly being made.
Author: Language: English Episodes: 89

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