The Role of Hardware in the Climate Tech Revolution (ft. Yair Reem - Partner at Extantia Capital)

Yair Reem is a Partner at Extantia Capital, a climate-first venture capital firm accelerating the path to a decarbonized world by backing daring entrepreneurs with breakthrough ventures. He co-founded BeyondBlack, a fund for investments in technologies reducing greenhouse gas emissions, and advises European startup CEOs on strategic narratives. Formerly Managing Director at Hasso Plattner Ventures, Yair was also a cyber technology leader at Israel’s Unit 8200. He holds a B.Sc. in Electrical Engineering from Technion, an Executive MPA from Hertie, and an AMP from Wharton.

This episode delves into:

First-of-a-Kind (FOAK) Explained

Strategic Partnerships

Cap Table Management

VC Risk-Taking

Brand Building in VC

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(00:00) - Episode Trailer

(01:04) – Intro

(01:34) – What is The Foaking Awesome?

(04:09) – What does Foak mean?

(06:20) - Are VCs Ready to Embrace First-of-a-Kind Opportunities?

(08:10) – Which are the Sectors full of Possibilities?

(10:25) - Can Nvidia’s Success Be Replicated in Future Industries?

(11:12) - Is Investing in Nuclear Fusion the Next Big Challenge for VCs?

(11:51) – Where are we in terms of TRL?

(12:50) - Does the Stage of Funding Determine When to Build the First Factory?

(13:46) - Is Partnering with Corporates Essential for Startup Success in Climate Tech?

(16:37) - When Should Startups Add Strategic Investors to the Cap Table?

(17:54) - Do Startups Need Corporate Connections, or Can VCs Bridge the Gap?

(18:45) - Are Corporate Partnership Managers the New Must-Have in Climate Tech?

(21:11) – Deep Tech Engineer vs Software Engineer – What is the Difference?

(23:14) - What Makes Climate Hardware Sexy to Big Financial Players?

(24:40) - What Common Cap Table Errors Scare Away Investors?

(26:28) - Should Founders Fight or Fold? Navigating Long-Term Potential vs. Short-Term Survival

(30:12) - Are Ego-Driven Valuations Hurting Startup Founders?

(32:08) - Why 20% Matters: Balancing Venture Builder Impact on Cap Tables

(33:31) - Choosing Between Co-Leads or a Dominant Lead Investor: What’s Best?

(36:34) - Is Risk Aversion Stifling Innovation in VC?

(39:50) - First Principles of VC: Balancing Risk in Turbulent Markets

(41:43) - Conscious Choices: Team Effort vs. Individual Initiative

(42:05) - Authenticity vs. Quantity: The Struggle in Digital Engagement

(44:39) - Team Dynamics: Internal vs. External Strategies for Time Management

(47:26) - Risk and Reward: Inviting Others to Innovate in VC

(49:29) - Expanding Reach: Should VC Messaging Extend Beyond LinkedIn?

(50:56) – Role Models in VC

(53:14)- YouTube as a Knowledge Foundation: Do VCs Trust Video Learning?

(57:52) - Differentiation Strategy: From Tech to Brand, Creating a Category of One

(01:01:23) - Breaking the Exit Taboo: IPOs and Strategic Acquisitions in Impact Business

(01:03:41) - Exchange of Goods and Society: The Role of Money in Innovation

(01:05:04) – Outro