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Executive Summary: Energy Report [2026]

  • Industry Growth Overview: The energy market grows to USD 6474.40 billion by 2032, registering a CAGR of 15.34%. On a micro level, the Discovery Platform data indicates the energy industry records a yearly growth rate of 0.26%.
  • Industry Scale & Innovation Base: The energy industry comprises approximately 278 000 companies, including 36 838 active startups.
  • Patent Activity: The segment is supported by around 6 million patents filed by nearly 1.4 million applicants, with a yearly patent growth rate of 3.93%. Patent activity is led by China and Japan.
  • Manpower & Workforce Dynamics: Globally, the energy sector employs more than 33.1 million professionals. Over the last year, the industry added more than 5400 new employees.
  • Global Footprint: The top country hubs include the US, the UK, India, Germany, and Australia, while London, New York City, Houston, San Francisco, and Singapore serve as leading city hubs.
  • Investment Landscape: The database records an average investment value of USD 97.3 million per funding round. It tracks over 67 900 funding rounds, backed by more than 40 600 investors, with over 21 600 companies receiving investment.
  • Top Investors: Leading investors collectively deployed more than USD 116.0 billion into the energy industry. Major contributors include the European Investment Bank, Bank of America, the U.S. Department of Energy, and more.
  • Startup Ecosystem: Innovators such as Sthyr Energy (zinc-air long-duration storage), Ingrid Capacity (large-scale battery energy storage and grid services), Zendo Technologies (energy optimization software for data centers), Redoxblox (thermochemical energy storage for industrial heat), and Planeto (AI-based district energy planning software) illustrate the sector’s scope across storage, grid intelligence, energy optimization, and thermal network planning.

 

 

Methodology: How we created this Energy Market Outlook

This report is based on proprietary data from our AI-powered StartUs Insights Discovery Platform, which tracks 9 million global companies, 25K+ technologies and trends, as well as 150M patents, news articles, and market reports.

This data includes detailed firmographic insights into approximately 9 million startups, scaleups, and tech companies. Leveraging this exhaustive database, we provide actionable insights for startup scouting, trend discovery, and technology landscaping.

For this report, we focused on the evolution of the energy industry over the past 5 years, utilizing our platform’s trend intelligence feature. Key data points analyzed include:

  • Total Companies working in the sector
  • News Coverage and Annual Growth
  • Market Maturity and Patents
  • Global Search Volume & Growth
  • Funding Activity and Top Countries
  • Subtrends within the energy industry

Our data is refreshed regularly, enabling trend comparisons for deeper insights into their relative impact and importance.

Additionally, we reviewed trusted external resources to supplement our findings with broader market data and predictions, ensuring a reliable and comprehensive overview of the energy market.

What Data is used to create this Energy Market Report?

Based on data provided by the StartUs Insights Discovery Platform, we observe that the energy market stands out in the following categories relative to the 25K+ technologies and trends we track.

These categories provide a comprehensive overview of the market’s key metrics and inform the future direction of the market.

  • News Coverage & Publications: The database records more than 17 620+ energy industry publications in the last year.
  • Funding Rounds: The sector is supported by 67 900 documented funding rounds, which shows continuous capital deployment across energy generation, infrastructure, and digital energy solutions.
  • Manpower: The energy industry employs more than 33.1 million professionals worldwide and added over 5400 new employees in the last year.
  • Patents: The database records approximately 6 million patents within the energy industry.
  • Yearly Global Search Growth: The energy sector shows a 660% yearly global search growth.

Explore the Data-driven Energy Industry Report for 2026

According to Fortune Business Insights, the global energy transition market size is projected to grow from USD 2384.50 billion in 2025 to USD 6474.40 billion by 2032. It exhibits a CAGR of 15.34% during the forecast period.

 

 

Our platform data reveals that the energy industry is supported by 278 000 companies operating across generation, transmission, storage, and energy technology domains.

Within this segment, 36 838 startups remain active, indicating continued entrepreneurial growth. The yearly growth rate of 0.26% reflects consolidation and portfolio optimization rather than rapid market expansion.

The industry holds approximately 6 million patents. It shows sustained research and development across power systems, materials science, grid optimization, and digital energy platforms. This extensive intellectual property base highlights long-term investment in technological advancement even as overall market growth stabilizes.

From a workforce perspective, the energy sector employs around 33.1 million professionals globally. In the last year alone, the energy industry added more than 5400 employees.

Geographically, the top country hubs include the US, the UK, India, Germany, and Australia. At the city level, London, New York City, Houston, San Francisco, and Singapore serve as centers for finance, energy operations, digital innovation, and international market access.

A Snapshot of the Global Energy Market

The database shows an annual growth rate of 0.26% and reflects a mature global energy industry undergoing steady consolidation rather than rapid expansion. Despite this moderate growth pace, entrepreneurial activity remains strong, with 36 838 startups actively operating across generation, storage, grid technologies, energy software, and emerging clean energy solutions.

The energy sector holds approximately 6 million patents filed by around 1.4 million applicants. It shows the scale and diversity of research activity across hardware, materials science, power electronics, grid optimization, and digital energy systems. With a yearly patent growth rate of 3.93%, the data signals sustained, incremental innovation rather than disruptive surges.

Patent issuance concentrates heavily in Asia, with China leading at over 3.05 million patents, followed by Japan with 703 768 patents. This dominance reflects long-term national investments in energy technologies, manufacturing capabilities, and applied research infrastructure.

Explore the Funding Landscape of the Energy Market

Investment activity across the energy industry reflects sustained capital deployment and broad investor participation. The sector records an average investment value of USD 97.3 million per funding round. It indicates major ticket sizes that support capital-intensive technologies, infrastructure deployment, and long development cycles common in energy markets.

More than 40 600 investors actively participate in the energy segment. It highlights deep institutional, corporate, and strategic interest across renewables, grid technologies, energy storage, and digital energy platforms.

This broad investor base has driven the closure of over 67 900 funding rounds and indicates consistent deal flow and long-term confidence in the sector’s growth trajectory. Capital deployment spans a wide innovation base, with more than 21 600 companies receiving investment.

Who is Investing in the Energy Market?

The top investors in the energy industry collectively invested more than USD 116.0 billion. Here is a breakdown of their contributions:

 

 

  • European Investment Bank invested USD 29.60 billion in 121 companies. The EIB and Commerzbank committed EUR 1.2 billion to support energy transition projects in Germany.
  • Bank of America allocated USD 11.10 billion across 52 companies. It provided a USD 305 million senior credit facility to Summit Ridge Energy to support a 158 MW community solar portfolio across Illinois and Maryland.
  • U.S. Department of Energy committed USD 10.90 billion across 29 companies.
  • BNP Paribas provided USD 9.80 billion across 96 companies. BNP Paribas Leasing Solutions partnered with Segen to launch Segen Finance for commercial and industrial solar and energy storage projects.
  • CPP Investments committed USD 9.80 billion across 34 companies. CPP Investments partnered with Power2X and planned to invest an initial EUR 130 million to fund green hydrogen and other green molecule projects.
  • KKR deployed USD 8.80 billion across 43 companies. KKR and Energy Capital Partners formed a USD 50 billion partnership to invest in data centers and power generation supporting AI growth.
  • Rabobank allocated USD 8.10 billion across 64 companies. Rabobank provided USD 200 million in credit financing to CleanCapital to scale distributed solar and energy storage assets.
  • GIC committed USD 7.10 billion across 29 companies. TagEnergy issued a dual-currency green bond of up to EUR 570 million, with CIP and GIC participating as investors.
  • Natixis provided USD 6.70 billion across 26 companies.
  • Deutsche Bank allocated USD 6.10 billion across 47 companies. The EIB provided a EUR 500 million counter-guarantee to Deutsche Bank to support a EUR 1 billion guarantee portfolio for wind generation and grid connection projects.

Top Energy Innovations & Trends

Discover the emerging trends in the energy market along with their firmographic details:

 

 

Green Hydrogen

This segment comprises 3800 companies and reflects a focused but expanding industrial base spanning electrolyzer manufacturing, project development, and hydrogen infrastructure.

These companies employ approximately 542 200 professionals, with 130+ new employees added in the last year. Recording an annual growth rate of 6.03%, green hydrogen advances through industrial integration, grid balancing, and renewable energy storage use cases.

Vehicle-to-Grid (V2G)

This domain spans 1100 companies and highlights a focused but specialized ecosystem that connects automotive manufacturers, charging infrastructure providers, and utilities. These companies employ approximately 92 000 workers, with 30 new employees added over the last year.

With an annual growth rate of 5.9%, V2G adoption progresses steadily as grid operators test bidirectional charging for peak shaving, frequency regulation, and renewable energy balancing. The firmographic footprint reflects a transition phase from demonstration projects toward scalable commercial integration.

Distributed Energy Resource Management (DERM)

This segment includes 829 companies, yet it supports a comparatively large workforce of 156 800 employees. Over the last year, the domain added 35 new employees and supported stable workforce demand tied to system integration and grid operations.

With a 6.11% annual growth rate, the DERM segment reflects utilities’ increasing reliance on software platforms that support solar assets, batteries, electric vehicles, and demand-response resources. Also, DERM platforms are becoming foundational for maintaining grid reliability, visibility, and control in distributed energy networks.

5 Top Examples from 36 838+ Innovative Energy Startups

The five innovative energy startups showcased below are picked based on data, including the trend they operate within and their relevance, founding year, funding status, and more. Book a demo to find promising startups, emerging trends, or industry data specific to your company’s needs and objectives.

Sthyr Energy manufactures Zinc-Air Battery Systems

Indian startup Sthyr Energy designs zinc-air battery systems for long-duration energy storage.

The startup employs a closed-loop electrochemical process in which surplus electricity converts zinc oxide into metallic zinc using a zinc regeneration unit, and the regenerated zinc is stored on solid plates as an energy carrier.

 

Credit: Sthyr Energy

 

It operates zinc-air batteries, where the stored zinc reacts with ambient air and water-based electrolytes to release electricity on demand.

Moreover, zinc-air energy storage architecture provides dense and stable energy storage over extended durations without degradation.

Ingrid Capacity operates Energy Storage Systems

Swedish startup Ingrid Capacity develops large-scale energy storage systems and grid services for the energy industry. It builds and manages battery energy storage assets and also integrates physical infrastructure with digital intelligence that performs real-time system balancing, forecasting, and asset dispatch optimization.

The startup deploys energy storage and grid optimization technology to manage two-way power flows, ease grid bottlenecks, and coordinate storage and renewable assets across constrained networks.

Moreover, its model combines long-term infrastructure operation with software-driven optimization and structured energy supply and offtake arrangements that align storage performance with grid needs.

Zendo Technologies develops Energy Optimization Software for Data Centers

UK-based startup Zendo Technologies designs an energy operating system for data centers. It deploys a software platform that connects real-time energy consumption, procurement contracts, and capacity data into a unified control layer.

 

 

The startup employs data-driven analytics to analyze loads, forecast demand, and align energy sourcing with operational needs while identifying stranded capacity and optimizing contract structures.

Its software platform provides continuous visibility and operational control, tracks cost and carbon performance, and supports the integration of renewable energy sources such as wind and solar.

Redoxblox builds Thermochemical Energy Storage (TCES) Units

US-based startup Redoxblox offers thermochemical energy storage (TCES) units that deliver high-temperature energy storage. It stores energy through reversible thermochemical reactions that capture electricity or heat as chemical energy and release it as continuous or on-demand high-temperature heat.

 

Credit: Redoxblox

 

The TCES units charge using low-cost or surplus power and discharge heat directly to industrial processes or grid-scale applications without fossil fuel combustion. Its units provide high energy density, long-duration storage, and cost-efficient operation compared with conventional battery technologies.

Planeto specializes in District Energy Planning Software

Swiss startup Planeto provides an AI-based software solution, TESSA, that uses data-driven analytics to design and plan district thermal energy networks. It deploys an integrated digital platform that analyzes building data, energy demand, local heat sources, and network layouts.

 

Credit: Planeto

 

The startup employs data-driven modelling to create and compare scenarios, automate pipe sizing, and calculate capacity, costs, and emissions while integrating renewable and excess heat sources.

TESSA operates across project phases and provides visualization, reporting, and financial analysis to support consistent decision-making.

Gain Comprehensive Insights into Energy Trends, Startups, and Technologies

The energy industry evolves as digitalization, distributed infrastructure, and advanced storage technologies reshape how power systems generate, manage, and deliver energy at scale.

The sector moves beyond centralized and predictable grids toward flexible, data-driven energy networks that integrate renewables, storage, and intelligent control layers. These systems enable real-time balancing, improved system visibility, and coordinated asset operation across increasingly complex energy environments.

Get in touch to explore 36 838+ startups and scaleups, as well as all market trends impacting energy companies.