When Josh Silverman first tossed the idea for his startup, Windfall Bio, around in 2022, it didn’t gain much traction. At the time, methane wasn’t a major concern for companies, who were more focused on reducing carbon emissions. However, as the years passed, the market began to shift.
Windfall Bio, based in Menlo Park, recently announced a $28 million Series A round led by Prelude Ventures, along with investments from Amazon’s Climate Pledge Fund and other prominent venture firms. The company specializes in providing methane-eating microbes to industries such as agriculture, oil and gas, and landfills. These microbes absorb methane emissions and convert them into fertilizer, which can be used by the industries themselves or sold as a source of revenue.
“We see a huge opportunity in utilizing this natural ecosystem to create a cost-effective solution without requiring massive capital investments like other carbon capture technologies,” Silverman explained.
Although it took time for investors and companies to fully grasp the potential of Windfall’s technology, demand has been high since the company emerged from stealth mode in 2023.
“We’ve received a tremendous amount of interest from all over the world and from various industries,” Silverman added. “It’s a profitable solution for everyone, regardless of their sector. With the looming issue of climate change, companies are eager to reduce their carbon footprint while also making a profit, and we offer the perfect solution.”
Silverman believes that methane has been largely overlooked in favor of carbon capture efforts due to its relatively short lifespan of 10-12 years. In the past, when people thought about climate change, they focused on long-term solutions. However, with the impact of climate change becoming increasingly evident, there is a growing recognition of the need for both short-term and long-term strategies.
“Unfortunately, we’ve missed every climate target we’ve set,” Silverman lamented. “Not a single G20 country has the necessary policies in place to meet the emission-reduction goals outlined in the Paris Agreement. We need to address both short-term and long-term factors to truly make a difference.”
The lack of attention given to methane is surprising, especially considering its potential for a better return on investment compared to carbon reduction efforts. While carbon is seen as a waste and is often captured and discarded, methane has the potential to be captured and repurposed for greater profit. This is where Windfall’s technology comes in, providing companies with a way to not only reduce their methane emissions but also make money from them.
As someone in the industry, I find Windfall’s success to be encouraging. It’s not just another carbon credit startup, but a company that is actively working to tackle current climate issues instead of just future ones. This reminded me of Convective Capital, a venture fund dedicated to funding wildfire technology to help society adapt to the ongoing increase in wildfires.
“It’s great to have long-term solutions in place, but those don’t mean much if your home is in danger from wildfires this summer,” Silverman agreed.
He acknowledges that the market is still in the early stages of recognizing the potential benefits of methane-reduction technology, but he is pleased to see progress being made. In a field with few competitors, Windfall Bio stands out as the best option available.
Silverman concludes, “It’s been a long journey to get to this point, with years of no traction. But now with the demand and relatively few players in this area, we are the best in our field. As the saying goes, ‘in the land of the blind, the one-eyed man is king.'”
