This case profiles Blue Frontier, a Florida-based climate startup taking on the entrenched air conditioning industry—one of the most saturated and emissions-heavy sectors in the world.

Founded by Dr. Daniel Betts, Blue Frontier developed a next-generation AC system using liquid desiccants and built-in energy storage to drastically cut electricity use and manage grid strain during peak demand.

As the world faced rising temperatures and grid stress, demand for cooling was soaring—creating a climate paradox. But the HVAC industry remained consolidated, price-sensitive, and slow to change. Scaling would require more than a better product.

Blue Frontier’s path from garage prototype to venture-backed breakout (with $47M from Breakthrough Energy, NextEra, and others) is a lesson in startup hustle. Early installations included Waffle House, the Department of Defense, and a zero-carbon hockey rink in Canada.

The company’s flagship product, a 15-ton DOAS unit, offered both precision humidity control and demand-side energy flexibility—winning praise but also buyer confusion. Betts weighed how to scale: direct sales, joint ventures, or a “cooling-as-a-service” model.

The case pairs with Get Cool: Air Conditioning Industry Background and explores how startups can reframe outdated categories, survive long sales cycles, and drive systems change in legacy-dominated markets.