Berlin’s Cloover Secures Over $1.2 Billion in Energy Funding

Berlin-based startup Cloover recently announced securing over $1.2 billion in funding. This substantial Cloover energy funding aims to support its vision of building the “Shopify of Energy.” This significant investment reflects a growing trend towards deep tech and traditionally “hard” sectors.

What Happened

Cloover, headquartered in Berlin, has successfully secured more than $1.2 billion in funding. The company’s stated objective is to develop the “Shopify of Energy.” This initiative seeks to revolutionize how renewable energy projects are facilitated and managed, according to TheNextWeb.com.

Details From Sources: The “Uninvestable” Becomes Investable

Historically, venture capital largely avoided “hard” sectors such as government, defence, energy, manufacturing, and hardware. This was due to perceived limited scope for startups, slow procurement, strict regulation, and high capital requirements. However, capital is now increasingly flowing into these sectors, which were once considered bureaucratic or operationally complex.

This shift is driven by macro and geopolitical pressures, including supply-chain disruptions, energy insecurity, and infrastructure fragility. The transformative role of AI is also a key factor. AI significantly lowers the cost of building sophisticated software. It enables immediate performance gains and shortens adoption cycles, allowing startups to compete with incumbents from day one.

The concept of defensibility is also evolving. It is shifting toward operational depth, UI/UX improvements, speed to market, and seamless integration into complex real-world systems. Furthermore, regulation, once a deterrent, is now seen as a strategic moat. It provides advantages that are difficult for new entrants to replicate.

Why This Matters

This investment signifies a broader economic shift. Startups are expanding beyond narrow software categories into the physical economy. They are now targeting markets measured in trillions, rather than just billions.

This movement reflects a goal of rebuilding foundational sectors of the global economy. It moves beyond simply creating better software solutions. The investment signals changing investor priorities. It also shows a growing focus on industrial resilience and digitization across vital industries.

Background Context

Venture capitalists traditionally avoided ‘hard’ sectors for several reasons. These included slow procurement cycles, strict regulation, and heavy operational and capital requirements. Deep integration into physical systems also posed challenges. Buyers in these sectors, such as government and public-sector entities, prioritized reliability, compliance, track record, and legacy relationships over speed. This often favored established incumbents.

This historical lack of innovation funding frequently left end users with clunky, unintuitive solutions. The traditional focus of venture capital left these essential industries with limited technological advancement.

Related Data or Statistics

Government technology spending more than doubled between 2021 and 2025. Defence technology spending also more than doubled in 2025 alone. Similar investment trends are observed across robotics, industrial technology, and healthcare sectors. The scale of these ‘hard’ sectors is illustrated by established companies like SAP, which commands a $200 billion market capitalization.

Future Implications (SPECULATIVE)

The next wave of disruption is anticipated to significantly affect legacy companies. Startups are expected to demonstrate superior speed, flexibility, and focus in innovation. Investor playbooks are evolving, and this shift toward ‘hard’ sectors is expected to accelerate. There is an expectation for more $100 billion companies to emerge in this cycle as startups target vast markets.

Conclusion

Cloover’s significant funding exemplifies the ongoing shift in venture capital. This shift moves investment towards deep tech and traditionally ‘hard’ sectors. AI and new business models enable startups to innovate and compete effectively in these foundational industries. This reflects a long-term vision of rebuilding critical global economic sectors.

FAQ

Q1: What is Cloover’s recent funding achievement?

Berlin-based startup Cloover has secured over $1.2 billion in funding.

Q2: What is the “Shopify of Energy” that Cloover aims to build?

Cloover aims to build the “Shopify of Energy” to revolutionize how renewable energy projects are facilitated and managed.

Q3: Why have venture capitalists historically avoided “hard sectors” like energy?

Venture capitalists historically avoided ‘hard’ sectors due to perceived limited scope, slow procurement, strict regulation, high capital requirements, and deep integration into physical systems.

Q4: What factors are driving the recent shift in investor interest towards these “hard industries”?

This shift is driven by macro and geopolitical pressures (like supply-chain disruption and energy insecurity) and the transformative role of AI.

Q5: How does AI enable startups to compete with established companies in traditionally complex sectors?

AI lowers the cost of building sophisticated software, enables immediate performance gains, and shortens adoption cycles, allowing startups to compete from day one.