California continued to invest substantial amounts of money into Clean Technology in 2020, with $7.8 billion in venture capital spent in the state. Despite making up only around 15 percent of the United States’ GDP, California accounted for over 76 percent of the $10.2 billion in venture capital in Clean Technology in the United States in 2020. The United States as a whole invested roughly the same amount of venture capital in 2019 as California did in 2020 ($7.8 billion). This represents a 29 percent increase from 2019 to 2020 in Clean Tech venture capital investment in the United States.
Nine of the top 10 2020 Clean Tech venture capital deals occurred in California, with the other taking place in Massachusetts. These nine deals account for $5.7 billion of California’s $7.8 billion venture capital in 2020. Rivian completed the largest deal in 2020, when they brought in $2.5 billion in funding for electric vehicles.113 This is not the first time they have secured major funding—they have raised around $10.5 billion to date, with funding being led by Amazon, Ford Motor, and T. Rowe Price.
113 Palmer, A. “Rivian raises $2.5 billion in new funding round led by Amazon, Ford.” CNBC. July 23, 2021. Available at: https://www.cnbc.com/2021/07/23/rivian-raises-2point5-billion-in-new-funding-round-led-by-amazon-ford.html