Climate Tech Booms: Investments to Hit $79.45B by 2029 with Jobs Soaring in Sustainability Sector
February 22, 2025
Within this domain, more than 720 companies are actively engaged, reflecting a growth rate of 3.94%, which underscores the increasing importance of sustainability efforts.
The climate tech investment landscape is thriving, backed by over 12,200 investors who have completed more than 19,900 funding rounds, with an average investment of USD 61.5 million per round.
This sector is projected to experience significant growth, with estimates suggesting an increase from USD 32.49 billion in 2025 to USD 79.45 billion by 2029, translating to a compound annual growth rate (CAGR) of 25.0%.
Innovation remains a key driver in the industry, with over 1.95 million patents filed and 6,900 grants awarded, showcasing a 2.58% annual growth rate in patent activity.
Major investors such as Societe Generale, BNP Paribas, and the European Investment Bank have collectively contributed around USD 28 billion to the climate tech sector.
The climate tech sector currently employs over 2.8 million people, having added 159,400 new jobs in the past year, indicating a robust job market.
The climate tech market has generated over 70,200 publications in the past year, highlighting significant media and public interest in sustainability technologies.
Key cities propelling this market forward include London, New York City, Washington, San Francisco, and Melbourne, alongside countries like the US, UK, India, Canada, and Australia.
Environmental monitoring and energy transition are critical trends within the sector, employing 147,600 and 889,900 people respectively, which illustrates the broad scope and rapid expansion of climate tech.
Notable startups making waves in the industry include The Surpluss, NaturAll Carbon, Sangti, DecarbAI, and Bluebird Climate, each focusing on various aspects of climate innovation.
Summary based on 1 source
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StartUs Insights • Feb 21, 2025
Climate Tech Market Report 2025 | StartUs Insights