Exclusive: Applied Carbon's farm robot turns plant waste into biochar to capture CO2

A tractor is hooked up to Applied Carbon's mobile pyrolyzer.

Image Credits: Applied Carbon

It’s incredibly easy to dump carbon into the atmosphere and accelerate climate change. It’s a lot harder to take it out. Startups are experimenting with massive industrial systems to draw the pollutant out of the air, with facilities costing hundreds of millions of dollars to construct.

That has some other founders thinking, why not use plants to do the hard work?

To Jason Aramburu and Morgan Williams, the answer was obvious. But where some founders burn plant waste to fuel power plants and then capture the carbon, Aramburu and Williams have turned to a centuries-old practice that transforms waste biomass into charcoal-like substance known as biochar that can store carbon for decades, even centuries. Done right, it has the potential to lock away up to 2 billion metric tons of carbon every year, all while helping to boost crop yields on farms.

“We’re both believers in biochar as a carbon dioxide removal solution,” Aramburu told TechCrunch. But as Aramburu and Williams worked through the problem over beers at a bar in Oakland, California, they quickly hit a roadblock. “How do we actually scale it?”

Biochar has a long history. For over 2,000 years, people in South America produced it to improve soils in the Amazon basin. Today, some 10% of soils in the region still show evidence of biochar amendments. But production was laborious, and it was performed essentially on-site.

Logistics remain one of biochar’s biggest challenges. Finding enough plant waste, getting it to a biochar facility, and then transporting the biochar back to farm fields, where it’s often applied as a soil amendment, is both expensive and energy intensive, so much so that it can negate much of biochar’s carbon benefits.

“It just becomes really challenging to move that material around,” Aramburu said.

So Aramburu and Williams decided to turn the process on its head. Rather than bring agricultural waste from the farm field to a biochar facility, they would bring the facility to the farm. “Identifying that problem set was the first step in forming the company,” Aramburu said. That company would become Applied Carbon, formerly known as Climate Robotics, where Aramburu serves as CEO and Williams as COO.

“The ag industry has evolved over more than a century to build these big kind of grazers that drive through a field and harvest material,” Aramburu said. “It just kind of dawned on me, the best way to do anything with ag residue was to emulate that model of operation.”

The result is a farm implement that would make any steampunk fan grin. The machine is pulled by a tractor and fed by a harvester, which throws the crop residue into a hopper where it’s chopped up. Then it’s dried using hot gas recycled from the pyrolysis reactor, which is the next step in the process. In the pyrolyzer, it’s converted to biochar and syngas, which is used to power the machine. The biochar is then quenched with water, spread on the soil, and mixed in using a disc harrow.

Though the machine sounds relatively complex, Aramburu said that it simplifies biochar production and logistics to the point where it is both cheaper and has better carbon accounting.

Applied Carbon has produced five prototypes in the four years it has been in existence. The current implement is designed primarily for corn residue, but Aramburu said it can also work on a range of other crops, including rice, wheat, straw, sorghum, and sugarcane. It requires a heavy tractor and can cover about an acre per hour, though Aramburu said that increasing the speed is one thing the team is working to improve.

The $21.5 million the company raised for a recent Series A round should help. 

“We raised this funding really to go from prototype to early production of our pyrolyzer,” Aramburu said. The company is currently building machines in Houston and plans to deploy them in Texas, Oklahoma, Arkansas, and Louisiana, where the biochar that’s created will store carbon for offsets Applied Carbon has already sold to companies, including Microsoft.

For now, the startup is driving the tractors that pull the machines. But in the future, the plan is to lease or sell the equipment to farmers and help them sell the carbon credits they generate with their fields. 

“To get to gigaton scale, we would need thousands of tractor operators in the field doing this, and that’s just not really scalable,” Aramburu said. “We don’t want to be a fleet. We want to be more like a John Deere.”

Applied Carbon exclusively told TechCrunch that the round was led by TO VC, with participation from Anglo American, Autodesk Foundation, Congruent Ventures, Elemental Excelerator, the Grantham Foundation, Microsoft Climate Innovation Fund, Overture.vc, S2G Ventures, Susquehanna Foundation, Telus Pollinator Fund for Good, the U.S. Endowment for Forestry and Communities, and Wireframe Ventures.

Exclusive: Applied Carbon's farm robot turns plant waste into biochar to capture CO2

A tractor is hooked up to Applied Carbon's mobile pyrolyzer.

Image Credits: Applied Carbon

It’s incredibly easy to dump carbon into the atmosphere and accelerate climate change. It’s a lot harder to take it out. Startups are experimenting with massive industrial systems to draw the pollutant out of the air, with facilities costing hundreds of millions of dollars to construct.

That has some other founders thinking, why not use plants to do the hard work?

To Jason Aramburu and Morgan Williams, the answer was obvious. But where some founders burn plant waste to fuel power plants and then capture the carbon, Aramburu and Williams instead have turned to a centuries-old practice that transforms waste biomass into charcoal-like substance known as biochar that can store carbon for decades, even centuries. Done right, it has the potential to lock away up to 2 billion metric tons of carbon every year, all while helping to boost crop yields on farms.

“We’re both believers in biochar as a carbon dioxide removal solution,” Aramburu told TechCrunch. But as Aramburu and Williams worked through the problem over beers at a bar in Oakland, Calif., they quickly hit a roadblock. “How do we actually scale it?”

Biochar has a long history. For over 2,000 years, people in South America produced it to improve soils in the Amazon basin. Today, some 10% of soils in the region still show evidence of biochar amendments. But production was laborious, and it was performed essentially on site.

Logistics remain one of biochar’s biggest challenges. Finding enough plant waste, getting it to a biochar facility, and then transporting the biochar back to farm fields, where it’s often applied as a soil amendment, is both expensive and energy intensive, so much so that it can negate much of biochar’s carbon benefits.

“It just becomes really challenging to move that material around,” Aramburu said.

So Aramburu and Williams decided to turn the process on its head. Rather than bring agricultural waste from the farm field to a biochar facility, they would bring the facility to the farm. “Identifying that problem set was the first step in forming the company,” Aramburu said. That company would become Applied Carbon, formerly known as Climate Robotics, where Aramburu serves as CEO and Williams as COO.

“The ag industry has evolved over more than a century to build these big kind of grazers that drive through a field and harvest material,” Aramburu said. “It just kind of dawned on me, the best way to do anything with ag residue was to emulate that model of operation.”

The result is a farm implement that would make any steampunk fan grin. The machine is pulled by a tractor and fed by a harvester, which throws the crop residue into a hopper where it’s chopped up. Then, it’s dried using hot gas recycled from the pyrolysis reactor, which is the next step in the process. In the pyrolyzer, it’s converted to biochar and syngas, which is used to power the machine. The biochar is then quenched with water, spread on the soil, and mixed in using a disc harrow.

Though the machine sounds relatively complex, Aramburu said that it simplifies biochar production and logistics to the point where it is both cheaper and has better carbon accounting.

Applied Carbon has produced five prototypes in the four years it has been in existence. The current implement is designed primarily for corn residue, but Aramburu said it can also work on a range of other crops, including rice, wheat, straw, sorghum, and sugarcane. It requires a heavy tractor and can cover about an acre per hour, though Aramburu said that increasing the speed is one thing the team is working to improve.

The $21.5 million the company raised for a recent Series A round should help. 

“We raised this funding really to go from prototype to early production of our pyrolyzer,” Aramburu said. The company is currently building machines in Houston and plans to deploy them in Texas, Oklahoma, Arkansas, and Louisiana, where the biochar that’s created will store carbon for offsets Applied Carbon has already sold to companies, including Microsoft.

For now, the startup is driving the tractors that pull the machines. But in the future, the plan is to lease or sell the equipment to farmers and help them sell the carbon credits they generate with their fields. 

“To get to gigaton scale, we would need thousands of tractor operators in the field doing this, and that’s just not really scalable,” Aramburu said. “We don’t want to be a fleet. We want to be more like a John Deere.”

Applied Carbon exclusively told TechCrunch that the round was led by was led by TO VC, with participation from Anglo American, Autodesk Foundation, Congruent Ventures, the Grantham Foundation, Microsoft Climate Innovation Fund, Overture.vc, S2G Ventures, Susquehanna Foundation, Telus Pollinator Fund for Good, the U.S. Endowment for Forestry and Communities, and Wireframe Ventures.

Orchard Robotics' AI-powered data collector

Orchard vision system turns farm equipment into AI-powered data collectors

Orchard Robotics' AI-powered data collector

Image Credits: Orchard Robotics

Agricultural robotics are not a new phenomenon. We’ve seen systems that pick apples and berries, kill weeds, plant trees, transport produce and more. But while these functions are understood to be the core features of automated systems, the same thing is true here as it is across technology: It’s all about the data. A huge piece of any of these products’ value prop is the amount of actionable information their on-board sensors collect.

In a sense, Orchard Robotics’ system is cutting out the middle man. That’s not to say that there isn’t still a ton of potential value in automating these tasks during labor shortages, but the young startup’s system is lowering the barrier of entry with a sensing module that attaches to existing hardware like tractors and other farm vehicles.

While plenty of farmers are happy to embrace technologies that can potentially increase their yield and fill in roles that have been difficult to keep staffed, fully automated robotic systems can be too cost prohibitive to warrant taking the first step.

As the name suggests, Orchard is starting with a focus on apple crops. The system’s cameras can capture up to 100 images a second, recording information about every tree they pass. Then the Orchard OS software utilizes AI to build maps with the data collected. That includes every bud/fruit spotted on every tree, their distribution and even the hue of the apple.

“Our cameras image trees from bud to bloom to harvest, and use advanced computer vision and machine learning models we’ve developed to collect precise data about hundreds of millions of fruit,” says founder and CEO Charlie Wu. “This is a monumental step forward from traditional methods, which rely on manually collected samples of maybe 100 fruits.”

Mapped out courtesy of on-board GPS, farmers get a fuller picture of their crops’ success rate, down to the location and size of the tree, within a couple of inches. The firm was founded at Cornell University in 2022. Despite its young age, it has already begun testing the technology with farmers. Last season’s field testing has apparently been successful enough to drum up real investor interest.

This week, the Seattle-based firm is announcing a $3.2 million seed round, led by General Catalyst. Humba Ventures, Soma Capital, Correlation Ventures, VU Venture Partners and Genius Ventures also participated in the raise, which follows a previously unannounced pre-seed of $600,000.

Funding will go toward increasing headcount, R&D and accelerating Orchard’s go-to-market efforts.

Seso, agtech, venture capital, startups

Seso is building software to fix farm workforces and solve agriculture's HR woes

Seso, agtech, venture capital, startups

Image Credits: David S. Holloway / Contributor / Getty Images

Migrant workers are a critical labor force for U.S. farms, but getting them here on proper H-2A visas can be complicated, and the compliance surrounding these employees is taxing for farms. Seso was founded five years ago to help streamline that process and now looks to expand into a one-stop-shop HR platform for the agriculture industry.

Michael Guirguis co-founded the startup after his cousin asked for his advice on whether her organic farm should expand. Despite demand for her harvests, Guirguis, whose entire career has involved job creation and the labor market, told her expanding wouldn’t be smart because the industry’s labor shortage would make hiring enough workers hard. That inspired Guirguis to found Seso to automate the H-2A visa process to help fix that issue and help farms stay compliant. Once he started talking to potential farm customers, he realized that farms could use a lot more help with their HR beyond just finding workers.

“When it comes to the back office, every farm we visited had thousands of filing cabinets,” Guirguis said. “It’s one of the most laggard industries in the U.S. That was the eye-opening moment. We can address the labor shortage and build an end-to-end modern operating system starting with HR and modernize a lot of these really complex tasks.”

The startup just raised $26 million to expand its platform’s capabilities. The Series B round was led by Bond’s Mary Meeker with participation from Index Ventures, NFX, SV Angel, several Seso customers, and others. The company doubled its customer base in 2023 and works with 27 of the largest 100 agriculture employers in the U.S.

While agriculture is a massive industry ripe for disruption, it’s been relatively reticent to adopt new technology, he said. Guirguis thinks Seso has been successful in selling to farms so far, when many other startups haven’t been, because Seso isn’t trying to change the actual farming process, something farmers made clear to him that they weren’t ready for yet. Adopting back office tech is an easier sell.

“Your HR team is in the back office doing traditional HR work,” Guirguis said. “That is who we are trying to change behavior for, which is easier than for someone 50 years in the field still using pen and paper. They can still keep doing their process we have built products to adapt. You can take a picture of a [handwritten] time sheet and then use AI to make sure that is accurate.”

Guirguis’s focus on getting feedback from farmers directly is what pushed Nina Achadjian, a partner at Index Ventures, to invest. Achadjian initially passed on Seso when it first tried to raise from Index, but how the company sells and interacts with farmers changed her mind.

“I remember this one customer call, I got chills,” Achadjian told TechCrunch. “[He said], ‘I get pitched by these Silicon Valley entrepreneurs all the time and they show up at your farm and they are like, ‘Here is how you should run their business.’ I always ask each of them to come and spend a day and work alongside me so they can understand what is a day in the life of the end customer and they never show up. Michael was the only one who showed up at 4 a.m. in the freezing cold, in the dark, to pick artichokes.’”

That feedback from farmers is why the company is expanding into automating payroll next. Guirguis said due to various agriculture employment laws, farm payroll is incredibly complicated. Workers are paid for how much crop they pick, Guirguis said, and the rate for each crop picked is different for a migrant worker versus a domestic worker and different again if migrant workers and domestic workers are picking from the same field. Guirguis sees numerous ways to expand after that.