Why we’re watching these climate tech companies

Each year, MIT Technology Review publishes a list of climate technology companies worth watching. The 2026 edition highlights firms developing innovations to address climate change and energy challenges. The selection reflects current global trends, such as China's leadership in renewable energy and the growing demand for reliable power sources. The list includes companies from different regions, though China is prominently featured. These companies are chosen for their potential to advance clean energy solutions, improve energy storage, or reduce carbon emissions. The goal is to showcase technologies that could have a significant impact on the fight against climate change in the coming years.

China is a global leader in renewable energy and climate technology, a trend the article emphasizes repeatedly. The country hosts the world's largest electrical grid and is rapidly expanding its renewable energy capacity. Chinese companies like Envision Energy are at the forefront, having installed over 100 gigawatts (GW) of wind power and 50 gigawatt-hours (GWh) of battery storage worldwide. Envision is now expanding into markets such as Germany, Brazil, and Australia. Additionally, China is advancing next-generation battery technologies, including solid-state batteries, which promise to be safer and offer longer ranges than current lithium-ion batteries. WeLion New Energy is notable for achieving 824 watt-hours per kilogram in lab tests, more than three times the energy density of standard lithium-ion batteries. While scaling lab results to real-world use remains challenging, WeLion is also developing semi-solid-state batteries that could be deployed sooner.

Data centers, which power the internet and cloud services, are driving demand for new energy technologies. The article highlights two U.S.-based companies on the list that have attracted significant investment from Big Tech firms. Fervo Energy is developing next-generation geothermal power using horizontal drilling and hydraulic fracturing, making it viable in more locations. The company went public in May 2026, raising $2.2 billion, and aims to have 1 GW of geothermal plants operational by the end of 2030. X-energy is building small modular nuclear reactors cooled by helium, which are more flexible and scalable than traditional reactors. The company is collaborating with Amazon to deploy a 320-megawatt (MW) cluster of reactors in Richland, Washington, and has a deal with Dow to potentially use its technology at a chemical plant in the early 2030s. These innovations address the need for consistent, low-carbon power sources for data centers.