The corporate venture capital and open innovation unit of construction materials giant CEMEX says the fourth annual edition of the list features the 50 most promising Contech startups that will redefine the industry this year.
The startup solutions included in the list are classified according to CEMEX Ventures’ four strategic focus areas: Green Construction, Enhanced Productivity, Construction Supply Chain, and Future of Construction.
Since 2018, increasing investment and upward projections have established construction technology startups as critical sources of innovation as the industry faces pressure to evolve. After an active year of investment in 2022 totaling US$5.38Bn and almost 230 deals, the startup ecosystem in 2023 continues to prove ripe for disruption. Accordingly, the TOP 50 2023 list is accompanied by a comprehensive industry report reviewing key investment trends and figures from 2022 and forecasting future venture capital activities in the year to come.
Last year, solutions related to enhancing productivity made up 53% of total deals, followed by new construction methods and advanced solutions such as offsite construction or construction robotics, 20.6%. Green construction, which was the strongest category in 2021, instead placed third, 14.9%, followed by construction supply chain with 11.4%. However, new pain points in 2023 can change the direction of investment in the upcoming year.
“Consistent investment activity in 2022 speaks to the sector’s resilience during a year that saw substantial decreases in investment across the board. Contech is incipient, meaning there’s more money flowing in and a less crowded marketplace with more opportunities for startups,” said Gonzalo Galindo, Head of CEMEX Ventures. “CEMEX Ventures will continue to follow its current investment strategy: investing in early-stage companies, with the same split of investment into Contech solutions (e.g., supply chain, enhanced productivity, future of construction) and Cleantech solutions (e.g., green construction).”
Most Contech investments in 2022 took place in North America and Europe, however, there was also substantial activity in the Asia-Pacific and Middle East regions. More specifically, Contech financing was concentrated in the United States, United Kingdom, Canada, Australia, and Israel. The selected startups in this year’s TOP 50 list come from all over the world, however, they all boast solutions with a unified objective: to revolutionize the construction industry.
There is more information on the Top 50 2023 Contech Startups list here