Modakbul Energy lands 800M KRW TIPS grant for AI heat pump platform
What's the deal? Modakbul EnergyDealroom has a profile for this one. Try Dealroom →, a South Korean climate tech startup offering heat pump subscriptions, has secured up to 800 million KRW (about $539,845) in R&D funding after being selected for the General Track of the Ministry of SMEs and Startups' TIPS program. The company was recommended by climate tech investor Sopung Ventures, a TIPS operator. It is also set to receive up to 300 million KRW in linked support for commercialisation and overseas marketing.
What's the endgame? Modakbul plans to build a Heat as a Service (HaaS) platform that uses AI to optimise the installation and operation of air source heat pumps. In year one, it will develop an algorithm to size equipment automatically and data infrastructure that collects operational readings every minute.
Year two targets an operation control algorithm factoring in energy efficiency and electricity rates, plus integration with power demand management and carbon emissions trading. The aim is to cut both upfront installation costs and heating bills for the same hardware, improving affordability.
Who's behind it? Founded by energy specialists from Seoul National University, Modakbul runs Korea's first 10-year heat pump subscription, targeting small businesses, social welfare facilities, and detached homes in areas without city gas supply.
Why now? The grant follows a 700 million KRW seed round raised in the first half of 2026, backed by SchmidtDealroom has a profile for this one. Try Dealroom →, Sopung Ventures, and SolidXDealroom has a profile for this one. Try Dealroom →. The company also won a Korea Electric Power CorporationDealroom has a profile for this one. Try Dealroom → president's award at a Ministry of Climate AX idea competition.
"Through this R&D, we will build a subscription service that optimises not only heat pump financing but also installation and operation, accelerating the decarbonisation of thermal energy," said chief executive officer Lee Chang-seop.
The signal: The award ranks among the larger support program rounds on record, sitting in the 97th percentile of all-time such rounds in the region across a sample of 3,161. That scale of non-dilutive backing reflects growing government interest in decarbonising heating — an area where AI-driven efficiency gains could reshape economics for consumers.
Read more: Venture Square
