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Why EnergyX raised $75M from small investors, even after taking VC money from GM and others

Nearly every founder has the same concern: how can they ensure their startup has enough cash to deliver on its promise.

For most, that means wooing venture capitalists early and often, trading equity in the company and board seats for cash to keep the lights on. For Teague Egan, it also means courting retail investors.

Egan’s company, EnergyX, has spent the last several years developing a way to extract lithium for EV batteries from briny water locked underground. To fund its operations, EnergyX has raised over $90 million from traditional investors including GM Ventures, Posco, and Eni Next, according to PitchBook. But it has also raised over $80 million from retail investors, according to Egan, including a $75 million offering that closed today.

The offering “democratizes investment,” Egan told TechCrunch. Plus, he added, “it takes some of the power away from traditional VCs that always want to beat you down for terms.”

EnergyX’s offering took advantage of SEC Regulation A, which allows companies to raise up to $75 million from retail investors every 12 months. In exchange for access to unaccredited investors, companies submit to some light SEC oversight, including the filing of semiannual reports. The company remains private — a Regulation A offering isn’t an IPO — meaning investors can’t sell their shares on an exchange.

Regulation A has been praised for allowing unaccredited investors, or those whose net worth is under $1 million, the opportunity to invest in private companies before they go public. That gives them the potential to profit handsomely should a promising startup go public.

But Regulation A has also been criticized for letting smaller investors to place bets on risky companies. For example, solar-powered EV startup Aptera has raised more than $120 million in recent years by selling shares through crowdfunding sites. But the company, which has been promising to ship vehicles for nearly 15 years, has yet to deliver a single car to customers.

In Aptera’s case, crowdfunding provided a lifeline when it couldn’t secure traditional venture investments. EnergyX has secured recent venture investments in addition to its Regulation A offerings.

The company has used that funding to develop its own approach to direct lithium extraction (DLE), which draws lithium from water. A number of startups, including Lilac Solutions and Aepnus, are pursuing their own flavors of DLE, though EnergyX takes a hybrid approach, running brines through a number of different processes depending on the water’s origin. “All these brines are very different, and there’s not a one size fits all technology,” Egan said.

Egan said he explored going public through a special purpose acquisition company, or SPAC, during the height of the craze, but ultimately decided against it. “We need to be getting substantial, positive EBITDA before we go public,” he said. Instead, EnergyX did a deal with investor Global Emerging Markets, which will provide $450 million in the form of a PIPE. In the event of an IPO, the firm will get warrants along with a fee from EnergyX; it’ll also get shares at a discount when the startup taps that equity.

Still, EnergyX’s IPO appears to be years in the future, if one ever materializes. “We’re at least going to do one more major institutional round, our Series C,” Egan said. “If that gives us enough capital to execute on our first commercial projects that will start generating revenue, then it’s a discussion with the board of directors if we feel like we should go public to raise more capital and get some liquidity for early investors. Or maybe we’re just crushing it so hard that we can start paying dividends. Or maybe those acquisition offers start flowing in from big oil and gas companies.”

Crowdfunding, which it raised through crowdfunding platform DealMaker, and the PIPE aren’t the only hedge Egan has built into the company. EnergyX is aiming to sell its DLE equipment to companies mining lithium like Posco and ExxonMobil. But, Egan said, “those are really long sales cycles because they’re multi-hundred [million] if not billion-dollar final investment decisions.” So in addition, it is also planning to pull lithium out of the ground itself and sell it to customers directly. “In order to control our own destiny, we needed to do it ourselves and go acquire our resources.”

Currently, EnergyX has a lease to explore 90,000 acres in Chile, and Egan said it has a submitted letter of intent to lease 15,000 acres in Texas. In the first half of next year, Egan said the company will be commissioning a demonstration plant at both sites, each capable of producing 50 tons of lithium per year. Egan hopes the first commercial-scale plants are up and running by 2027.

The Regulation A offering will keep EnergyX running for at least two more years, Egan said. And because the common stock offering removes some pressure to raise from VCs, who tend to require preferred stock in exchange for their investment, it should also allow Egan to retain control of his own destiny a bit longer. According to the company’s semiannual report filed in September, he retains 47% of the company’s shares on a fully diluted basis. 

“There’s an extremely high percentage of startups that the founding CEO gets booted because of venture capitalists,” Egan said. “That’s not where I want to be.”

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Gritt exits stealth with $32 million for robots to build solar plants — then, everything else

One of the most important things happening on Earth today is the solar energy build-out. Around the world, companies and countries are racing to deploy solar and batteries to achieve energy independence and limit the effects of climate change.

That build-out, though, is running into a labor market challenge, with a limited supply of workers to meet a growing demand for installation. Robots could be an answer, but industrial robots have historically struggled in unstructured environments, at least until now. The latest generation of AI models may have changed that equation.

That’s the driving idea behind Gritt, a startup founded by two Carnegie Mellon-trained roboticists, CEO Puneet Puri and CTO Vishal Dugar. The company exited stealth Tuesday morning with a $26 million Series A round of funding led by Obvious Ventures, with participation from Union Square Ventures and Active Impact Investment. That brings its total funding to $32 million, following an earlier seed round backed by First Round Capital, Climactic, Congruent Ventures, and VSC Ventures. The startup is building an intelligent system to “help civilization build infrastructure faster,” in Puri’s words.

“Our thesis is that if we truly want to speed up construction,” Puri tells TechCrunch, “you need an intelligence which can work in the outdoor, chaotic environments of these construction sites, and it has to be generalizable enough that it can work in these varied environments.”

Rather than building its own robots from scratch, Gritt uses off-the-shelf hardware — thus far, rented skidders and robotic arms built by companies like Kawasaki — to build platforms that are controlled by its AI models. The first job its systems handle is unloading large, glass solar panels, carrying them toward the metal frames where they need to be installed, and positioning them on the frames with sub-millimeter accuracy so workers can fasten them.

“There are people who used to build rockets that went into space and had infinite budget for the smallest little part, and then there are people who know what it means to get into dirty, dull, and dangerous jobs and scale them like mad,” said Andrew Beebe, the partner at Obvious Ventures who led Gritt’s Series A round. “These guys are in the second camp, and that’s a special kind of entrepreneur that has the technical chops, the AI, and the machine vision skills to make it work.”

Gritt has two systems currently deployed in the field, using the data they collect to improve their behavior. Puri says that a typical eight-person crew can install 800 panels a day, but the same crew working with Gritt’s systems can install 3,000 to 4,000 panels each day.

Now, the company says it is contracted to help install 2.8 gigawatts of solar panels in the next 18 months, and that its customers include three of the top 10 U.S. power construction companies. The company hopes to be operating 48 of its systems within the next six months.

TechCrunch spoke to one Gritt customer who declined to be identified for competitive reasons, but who was enthusiastic about the system’s ability to improve his work. He expects it to be easier to work at remote sites where it is difficult to attract workers, and anticipates a reduction in injuries since workers won’t have to repeatedly lift 100-pound panels overhead.

Gritt is competing against companies with their own panel-installing robots like Luminous Robotics, Cosmic, and China’s Trinabot. Those companies are building their own hardware, rather than focusing on off-the-shelf vehicles and arms like Gritt, a difference that could shape who grows faster and with a leaner cost structure as demand grows.

Gritt wants to add new manipulation tasks to its system so it can fasten the solar panels, drill posts, and even build the racks they sit on. Longer term, it also wants to move into other common, labor-intensive construction tasks, like tying rebar before concrete is poured over it.

What’s enabled the startup to pursue this vision? Mainly, the rise of new AI models, the founders say.

“Making a system for one solution was still possible to some extent five years ago, right?” Puri said, but AI is now making that work generalizable — the same underlying pipeline can be reused and improve across tasks. As an example, he noted that training the system to stack cinder blocks took weeks, while a similar demo with rebar tying took just a day using the same software.

But training new tasks is just the beginning of Gritt’s vision. The founders believe the suite of sensors and intelligence its systems bring to worksites can do more than install panels; it can boost management and decision-making. For instance, they imagine their system noticing a trench is open while a storm approaches, allowing it to alert workers to cover it before rain damages components, or flagging missing inventory.

“Gritt becomes now this layer of physical AI, which is doing this dextrous, labor-intensive task, plus it can help you take decisions on the site,” Puri said.

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Bluecore Energy raises $10M to build portable nuclear reactors on barges

Maritime nuclear energy startup Bluecore Energy on Tuesday said it had raised $10 million in a pre-seed funding round that was led by Slauson & Co.

Founded seven months ago by Kofi Asante, who previously worked with Uber Freight, Bluecore is building small nuclear reactors (SMRs) on floating barges with an aim to provide clean power to ports and nearby infrastructure. The reactors heat water and transfer the resulting steam into a generator, which then spins a turbine to generate electricity, Asante explained. The system is water-cooled in a closed-loop.

The energy expected to be produced on Bluecore’s barges can be moved by ship to its next location, reducing the emission involved in its transport to zero, Asante claims. Plus, he said the entire system behind the nuclear power plant only needs to be refueled once every few years.

Bluecore’s barges can also be docked near communities, and can connect to the power grid via subsea cables. The goal is to try to power the “equivalent of approximately 15,000 homes or scale to meet the power needs of a major port,” he told TechCrunch. 

“We are able to utilize existing water-cooled nuclear technology that has been operating for over 70 years,” he said. “With a production line of small modular reactors that can be rapidly deployed on water, there is a pathway to provide clean energy to the majority of the country.”

Bluecore will be using the fresh capital to deploy its product. It has already secured a port terminal, barge, and test reactor pressure vessel, Asante said. “The test vessel allows us to simulate flow with water, which is the cooling source of the system. We are combining hardware with software testing to validate and verify the foundation of our design,” he added.

The startup is working with regulatory agencies to “embed the safest design decision” into its first product. Asante said the startup is building many layers of “safety and redundancy,” like having the uranium clad and protected in a thick steel pressure vessel and then padded with concrete shielding and steel lining. 

Asante is hoping Bluecore may be able to help with the increasing power demand sparked by the ongoing data center buildout. “AI data center execs have shared with me that they would not need to pull water or energy from communities around them if they are able to receive their own source of electricity and have access to water that is provided at sea,” he said. 

Other investors in the round include Harlem Capital, Precursor Ventures, Ripple co-founder Chris Larsen, and actor Kevin Hart’s HartBeat Ventures, as well as a few angel investors.

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Music streamer Deezer says more than 50% of daily uploads are AI-generated

Music streaming company Deezer has been tracking the number of AI-generated tracks uploaded on the platform since last year, and the number has constantly gone up. Today, the company said that AI music now represents more than 50% of downloads.

Deezer said that AI-generated track uploads were at a peak in June 2026, representing a monthly average of 90,000 tracks per day.

The rapid rise of AI-generated music has forced streaming services to decide how much of it they want on their own platforms. There is no single consensus yet on that front. Some take strict steps, like Bandcamp banning such tracks or Tidal cutting off monetization. Meanwhile, Apple Music has a voluntary AI-tagging system, and Spotify developed its own policy about how much AI was used in music-making.

Deezer’s latest move on this front will involve taking down AI-generated tracks that haven’t been streamed in the past six months or are involved in fraudulent streams to drive up revenue.

“Deezer has been at the frontline of fighting fraud and reducing payment dilution related to AI music for almost two years. Now that half of all daily uploads are AI-generated tracks, we are taking additional steps to safeguard the rights of artists and songwriters, while maintaining focus on music that fans actually love,” Deezer CEO Alexis Lanternier said in a statement.

The streamer first released stats around AI music uploads in January 2025, when the daily upload volume was around 10,000 tracks, or 10% of daily uploads. The number grew to 20,000 tracks, or 18% of daily uploads, in April 2025. It then climbed to 30,000 tracks, representing 28% of daily uploads in September 2025, followed by 50,000 daily uploads, or 34% of daily uploads, in November 2025.

This year, it grew again to 60,000 tracks, or 39% of daily uploads, in January 2026. As of April 2026, the figure reached 75,000 tracks, or 44% of daily uploads.

Deezer started labeling AI music on its platform last year, and said that its detection tech can also identify tracks generated with models from Suno and Udio, AI-music startups that are embroiled in copyright lawsuits. Earlier this year, Deezer made its detection tech available to other platforms, but it’s not clear if any of the major platforms are using the tool just yet. Last month, it also released a tool that can sift through Apple Music and Spotify playlists for AI-generated tracks.

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