Bay Area companies are leading the charge in sustainable tech: Nokia expands its semiconductor hub to San Jose; Lightmatter unveils an energy-efficient AI processor; Savor Foods introduces carbon-based butter; and Longshot Space develops a low-cost, cargo space launch system.
Nokia is expanding in the semiconductor market with a new photonic chip production hub in San Jose, creating up to 200 tech jobs. The facility, which is part of Nokia's strategy after acquiring Infinera, aims to meet the growing demands of AI while reducing environmental impact.
Photonic chips use light instead of electrical signals, producing less heat than traditional chips. This improves energy efficiency and reduces the need for expensive cooling systems, lowering data center carbon footprints. By advancing photonic semiconductors, Nokia is driving innovation in sustainable, high-performance computing.
The expansion is supported by $40 million in federal funding from the CHIPS and Science legislation. The project will also create construction jobs as the building gets renovated.
On a related note, Silicon Valley startup Lightmatter has unveiled a new AI processor that uses light, rather than electricity, to perform computations — a promising step toward energy-efficient processing. The chip, called Passage M1000, was developed in partnership with GlobalFoundries and is designed to reduce the energy demands of complex machine learning tasks by generating less heat and requiring less cooling.
While early results suggest potential efficiency gains, widespread impact could take years as the technology matures and scales. Still, Lightmatter’s approach reflects growing momentum toward more sustainable AI infrastructure.
San Jose-based startup Savor Foods, backed by Bill Gates’ Breakthrough Energy Ventures, has launched a sustainable butter made entirely from carbon — no animal or plant-based oils included. Using captured carbon dioxide and hydrogen from water, Savor produces fat molecules chemically identical to those found in milk, meat, and vegetable oils.
The butter alternative is already turning heads in top bakeries and Michelin-starred restaurants and aims to replace high-impact fats like palm oil in packaged foods. With FDA self-affirmation in place, Savor plans to scale production at its new Illinois facility and is working with major food companies to co-develop customizable ingredients.
The process uses a fraction of the water and land of traditional agriculture and releases no greenhouse gases—marking a major step toward a more sustainable global food system.
Longshot Space is rethinking how we send cargo to space — not with rockets, but with a giant gas-powered launch system. The startup recently raised over $5 million to build a 500-meter prototype in the Nevada desert.
Designed for rugged, non-fragile payloads that can withstand extreme acceleration, the system isn’t suitable for people or sensitive equipment. But for the right use cases, it could offer a lower-cost, lower-emissions alternative to traditional launches.
Instead of burning rocket fuel, Longshot uses compressed gas to push payloads to hypersonic speeds. If successful at scale, the company says it could reduce launch costs to $10 per kilogram — a major drop from the $6,000 charged by SpaceX’s Falcon 9.
Longshot isn’t aiming to replace rockets but to carve out a niche in fast, cost-effective, and potentially more sustainable cargo launches. Backed by the U.S. Department of Defense, the team is awaiting FAA approval to begin construction.
Image: US Department of Energy/Raw Pixel
