Last Week in ConTech - 30 June 2025
How AI Interfaces Are Evolving from Chat to Workflow Automation
Deep Insight: How AI Interfaces Are Evolving from Chat to Workflow Automation
Over the last few months, I’ve noticed that AI construction startups are shifting their product messaging.
Instead of emphasizing the value of chat-based interfaces and easier information access, they’re now increasingly framing their products as workflow or process automation tools. For example, here are some current taglines and descriptions:
Trunk Tools: Augment your team using construction-specific workflows trained for your job site.
Pelles AI: Empowering every worker. Automating every workflow.
CONXAI: construction-aware AI analyzes and interprets your data to provide actionable knowledge and automate workflows.
Joist AI: A pursuit enablement platform that uses AI to automate proposal workflows.
Using the Wayback Machine (an internet archive), I found how these startups described themselves 12 months ago:
Trunk Tools: Everything You Need to Know for Anything You Want to Build (July 2024)
Pelles AI: Boost confidence, save serious time, and win more projects. An AI platform tailored for MEP subs (June 2024)
CONXAI: construction-aware AI analyzes and interprets your data to give you the insight you need, when you need it (June 2024)
Joist AI: a content enablement platform that uses AI to automate revenue workflows (June 2024)
The shift in messaging (other than Joist) is a reflects what these teams have learned about:
What resonates with the market
Where the real value of AI in construction lies
It’s an interesting trend, marking a deliberate move away from chat-based, ChatGPT-style interfaces and is also enabled by advances in AI itself.
While being able to access project information easily is valuable, teams want to have AI seamlessly embedded into their workflows, handling tasks proactively rather than waiting for instructions or prompts.
Take the example of a bid generation workflow. Instead of prompting a Joist AI chatbot with what needs to be done, the system should proactively:
Monitor the inbox for new RFPs and digest the requirements
Notify relevant departments and request their input
Collate responses and draft a first version
Prompt the Bid Drafter for review and edits
Book a meeting in the Bid Team’s calendar for final review
Construction is a series of repeatable processes, customized to specific project needs.
Customer success teams at AI startups should be mapping these company-wide standard processes during onboarding, allowing AI to act as a collaborator, executing steps and prompting for input only when project specific customization is needed.
It a different experience from a chat interface, where the user has to direct the AI at every step.
In this issue there are:
5 Startup Fundings
12 Policy and Regulatory Changes
8 New National Infrastructure Projects & Priorities
1 New investment funds
1 Acquisitions
6 News articles
20 new jobs posted - view here
Reading time: 11 mins
Startup Funding
AI Agents
Klutch AI, a Seattle startup, raised $8m in Seed funding from investors including Brick & Mortar Ventures. They are developing a residential and commercial construction management platform powered by AI agents that pull information from disparate sources like photos, texts and calls to provide jobsite updates, proactively flag issues, deliver insights and develop a ‘knowledge vault’ of all your project data to query from one place. More here.
Notes:
One of the interesting observations with AI construction management tools is they often aim to solve multiple use cases out of the box.
For example Klutch AI provides 5 standard AI coworkers covering file management, permits, site management, procurement and customer experience.
Similarly, Trunk Tools, another AI construction management platform, supports at least 5 AI agents ranging from meeting preparation to project monitoring.
This contrasts to AI tools in other verticals like bid generation which tend to focus only on one workflow (e.g. Joist AI, Workorb and BidBlox)
I suspect the reason for this is that many construction management workflows rely on the same foundational data (emails, RFIs, text messages, site reports) so solving for one task enables adjacent use cases.
It would make onboarding a customer expensive (from a data ingestion and setup perspective), but once the core data layer is in place, spinning up new agents becomes relatively low-cost.
I’d be curious to understand which workflow (AI agent) is actually gaining adoption and use by workers.
It's also worth noting the potential shift toward usage-based or token-based pricing models for AI startups.
Construction companies are used to variable pricing that scales with project size or revenue as this is how they traditionally purchase services.
This pricing structure would also reveal valuable insights such as:
Which workflows are driving real-world use and adoption
Which AI agents are delivering the most value to teams
Energetic Renovations
Enter, a German startup, raised €20m in Series B funding from investors including Foundamental. They are developing an end-to-end energetic renovation platform starting from digitally recording property information (e.g material analysis, energy status) and providing this data to AI to develop renovation pathways considering pricing, subsidy programs and energy costs for homeowners to select and pass this to their vetted contractor network. More here.
nuuEnergy, a German startup, raised funding (undisclosed). They are a tech enabled contractor specialising in the installation of heat pumps. Customers complete online assessments and are placed through a flow which includes on site appointment, heat load calculation, quotation and installation over 5 working days. More here.
Notes:
It’s unclear whether nuuEnergy self-performs heat pump installations or operates as a marketplace.
From their website, they appear to run a partner network, capturing leads, managing the customer experience, and subcontracting installations to vetted contractors.
This model is well-suited to startups, as many energetic renovations are B2C sales.
Success in this market often depends more on optimizing customer acquisition costs than on installation expertise.
Most existing competitors (e.g. residential heat pump contractors) focus on execution, not marketing, creating an opportunity for these startups.
It’s also possible to dominate SEO for local cities (~100k population), generate inbound demand, and subcontract fulfilment to local contractors.
As you grow in scale, the cloud installer model (by Foundamental) can be followed to control costs and leverage flexible workforces.
Robotics
Civ Robotics, a San Francisco startup, raised $7.5m in Series A funding. They are developing robots to be used for construction layout tasks in sectors such as solar energy, road infrastructure and industrial parks and are able to mark up to 3,000 points per day. More here.
Notes:
The average age of a licensed land surveyor in the United States is 57.
Other
Aedifion, a German startup, raised €17M in Series B funding. They are developing a smart building control platform helping building owners to optimize HVAC systems and energy performance to reduce emissions. More here.
Policy and Regulatory Changes
US
The GOP’s Big Permitting Reform Idea Is Mostly Dead
The chamber’s parliamentarian has advised that several provisions of the new reconciliation bill text violates the “Byrd Rule.”
This means they are subject to a 60-vote threshold instead of simple majority rule.
The permitting reform plan essentially allowed project developers to prevent environmental reviews from being subject to litigation if they paid an upfront fee of 125% of the review’s expected cost.
Payment of the fee would also impose a one year timeline for an environmental impact statement and a six month timeline for an environmental assessment.
The House overwhelmingly passed the American Cargo for American Ships Act that would require 100% of transportation project materials to go on US ships, driving up infrastructure costs.
The US builds so few ships (and because the ones it does build are extremely expensive) that this could have a significant impact.
New York to Build One of First U.S. Nuclear-Power Plants in Generation
New York intends to build a large nuclear-power facility, the first major new U.S. plant undertaken in more than 15 years.
The Governor said she has directed the state’s public electric utility to add at least 1 gigawatt of new nuclear-power generation (enough to power ~1m homes).
The New York Power Authority will find a site in upstate New York and determine the reactor’s design.
Trump Administration to End Protections for 58 Million Acres of National Forests
The Trump administration said it would open up 58 million acres of back country in national forests to road construction and development.
The plan is to repeal the 2001 “roadless rule” that had preserved the wild nature of nearly a third of the land in national forests in the United States.
President Bill Clinton used executive authority to protect these forests before leaving office in 2001.
The $10 Billion Proposal to Speed Up U.S.-Mexico Trade
Trump issued a presidential permit to Austin, Texas-based Green Corridors to build an 165-mile elevated “guideway” for self-driving shuttles.
This would allow them to haul freight between Laredo, Texas, and Monterrey, Mexico.
Federal judge orders Trump administration to release EV charger funding in 14 states
A U.S. District Judge partially granted a preliminary injunction that sought to free up the money approved the Trump administration withheld earlier this year.
The program was set to allocate $5 billion over five years to various states, of which an estimated $3.3 billion had already been made available.
New Yorkers to stop paying for other people’s gas hookups under new bill
Legislators repealed a decades-old rule incentivizing new gas connections.
Building owners who are within 100 feet of an existing gas main line can get a new gas hookup at no out-of-pocket expense.
Instead, the costs of these new connections are spread across the entire utility customer base.
From 2017 to 2021, New Yorkers spent ~$200 million per year due to this rule.
Data centers present complicated zoning questions because of their unique mix of impacts and resource requirements.
Some municipalities across the country have addressed this by creating a separate zoning category for the facilities.
Commissioners voted to recommend changes to the city's zoning laws to allow data centers in areas zoned for light industrial use.
This is to allow the buildout of a hyperscale data centre.
Notes:
This decision is important as the meeting featured residents who were nearly universally opposed to the measure.
The data centre requires the cutting of more than 100 acres of forests and each of the 18 server farm buildings would be larger than the average Walmart Supercenter.
It would consume 10x the energy of the town and 5x the state’s residential consumption of water.
Data centre’s are increasingly becoming a flashpoint at the local level.
UK
UK to Invest £275 Million to Train Skilled British Workers
The funding will be used to overhaul technical training and apprenticeships.
It’s part of a new industrial strategy that includes a 10-year plan for national renewal the government plans to outline.
Officials say the initiative could train thousands of workers by 2029, including civil and mechanical engineers, programmers and systems designers.
India
Delhi govt to introduce policy for use of treated water in construction
The Delhi government is working on a policy mandating the use of treated water in construction projects.
This is to reduce groundwater extraction as well as extend the life of buildings since poor quality water can corrode iron and damage concrete.
India tightens rules on project lending amid big defaults
The Reserve Bank of India (RBI), has said it will require lenders to keep money in reserve equal to 1% of the value of loans given to infrastructure projects in order to cover losses.
Lenders will also have to set aside 1.25% of the value of loans for commercial real estate projects.
The rules also limit the project deadline extensions lenders can approve to three years for infrastructure projects and two years for other projects.
Canada
Canada passes law fast-tracking 'nation building' projects to counter Trump
Canada's parliament has passed a landmark bill giving the government new powers to fast-track major national projects.
It allows the cabinet to streamline approvals processes and bypass certain provisions of federal laws for projects that could boost the economy.
The legislation does not determine what will be built.
The prime minister has previously signalled that it could be used to construct energy corridors, such as pipelines and electricity grids, and expand mines and ports.
National Infrastructure Projects & Priorities
Global
Renewables Global Status Report
The world added 741 gigawatts of renewable energy capacity last year.
China accounted for 60% of the new renewables capacity.
Solar made up 81% of new renewables capacity, but its annual growth rate fell to 32%, down from 82% in 2023.
Global renewables investment grew 8% in 2024, down from the 19% increase seen in 2023.
According to the report the main reason for the decline is a drop in wind power investment.
US
US Spending on Climate Damage Nears $1 Trillion Per Year
The US has spent nearly $1 trillion on disaster recovery and other climate-related needs over the 12 months ending May 1.
That’s 3% of GDP that people likely would have spent on goods and services they’d prefer to have.
Risks are rising both from climate change, as it increases the severity and frequency of extreme weather, and from development that is insufficiently focused on resilience.
Data Centers Added $9.4 Billion in Costs on Biggest US Grid
The rapid development of data centers connected to the largest US electric grid raised costs by $9.4 billion.
Overall costs rose by 180%.
The cost for procuring supplies on the eastern US grid jumped to a record $14.7 billion.
China
China on track to exceed 2030 pumped storage hydro target by 8%, industry body says
China is set to exceed its 2030 pumped storage hydropower target by more than 8% and potentially reach 130 gigawatts (GW).
China added 7.75 GW of pumped hydro in 2024, bringing its total installed pumped hydro capacity to 58.69 GW.
More than 200 GW of such projects are under construction.
Europe
Europe’s €14 Trillion Defense Tab Needs Private Capital, Carlyle Says
Europe could spend as much as €14 trillion ($16 trillion) on defense and related infrastructure over the next decade.
Defense investments could soar from current projections of €4 trillion if European countries agree to proposed NATO spending targets of 5% of GDP.
Carlyle, a global investment firm, suggests that Europe needs to coordinate its supply chain to provide standardized designs for basic system components like chips and drones.
Notes:
If this increase is enacted, this will result in construction spending to develop local manufacturing facilities and related supply chain and transportation infrastructure.
EIB backs Spain-France power link with 1.6 billion euros
The European Investment Bank will back a planned power interconnector between Spain and France with an investment of 1.6 billion euros ($1.84 billion).
The subsea link would increase the amount of power that France and Spain can exchange, from 2.8 gigawatts to 5 gigawatts.
UK
Amazon to invest $54 billion in Britain over next three years
Amazon plans to build a number of new state-of-the-art fulfilment centres.
They also plan new delivery stations, upgrades and expansions to its existing network of over 100 operations buildings, enhancing its transport infrastructure, two new buildings at its corporate headquarters in London and the redevelopment of its Film Studios.
Angola
Angola, US Firm to Sign Pact to Build $1.5 Billion Power Line
Symbion Power unit Hydro-Link will sign a pact with Angola’s government.
This is to build a $1.5 billion private transmission line connecting hydropower sites with mines producing critical minerals in neighboring Democratic Republic of Congo.
The 1,150-kilometer (715-mile) connection will have the potential to deliver as much as 1.2 gigawatts of power.
Acquisitions
Unanet, a Dulles company that provides ERP and CRM software for government contractors, AEC and professional service firms, acquired GovPro AI, a Washington startup that uses AI to help government contractors draft compliant RFP proposals. More here.
Notes:
Unanet plans to release GovPro AI’s platform throughout the architecture, engineering and construction markets in 2025.
News
Inside the Secret Factory Building Homes to End the Housing Crisis
Bricks and Bytes just released a documentary diving into Cuby's revolutionary mobile micro factories for homebuilding.
Palantir partners to develop AI software for nuclear construction
Palantir will partner with The Nuclear Company to develop and deploy AI software built for construction of nuclear reactors.
Microsoft Fabric Debuts Enterprise-Ready Digital Twin Builder Amidst XR Strategy Shift
Giga-projects power 6.4% jump in Saudi Arabia’s Q1 cement sales to 13.4m tonnes
India Is Using AI and Satellites to Map Urban Heat Vulnerability Down to the Building Level
At Amazon’s Biggest Data Center, Everything Is Supersized for A.I.
If I missed anything this week, please reply and let me know! I’ll make sure to include it next week.