A new venture capital firm called Leitmotif has been quietly making moves in the decarbonization space, funding around 20 startups over the past 16 months. While the firm initially stated its funding came from “European industrial interests,” it has now revealed its sole backer: Volkswagen Group.
Volkswagen’s $300 Million Bet on Innovation
Volkswagen has committed $300 million to Leitmotif’s first fund, and about one-third of it has already been deployed. During a recent conference, Volkswagen Group CEO Oliver Blume highlighted how Leitmotif’s investments could help the automaker lower its carbon footprint and build a circular economy.
Leitmotif, led by Matt Trevithick and Jens Wiese, has ambitious plans. The firm aims to expand beyond Volkswagen, attracting more European industrial investors while focusing on hardware-heavy startups—a sector that has struggled to secure funding in recent years.
A Focus on Decarbonization and Deep Tech
Leitmotif has a clear investment strategy:
70% of its capital will be invested in startups solving today’s known problems in billion-dollar markets.
30% will target “revolutionary innovation”, building new billion-dollar markets for the 2030s and beyond.
So far, Leitmotif’s publicly disclosed portfolio includes:
Redwood Materials (Battery recycling)
Stoke Space (Reusable rockets)
Syre (Circular polyester manufacturing)
Four nuclear fusion startups
EV startup Harbinger (Co-led its $100M Series B)
The firm’s investments are split 70% in the U.S. and 30% in the EU, with offices in Palo Alto and Munich.
Bridging European Industry with U.S. Innovation
Jens Wiese, formerly Volkswagen’s head of M&A and investment advisory, sees Leitmotif as a bridge between European industry and U.S. tech innovation. He expects about 25% of the firm’s portfolio to have direct collaborations with Volkswagen.
Despite economic uncertainties and a slowdown in hardware-focused venture funding, Trevithick believes now is the perfect time to invest. His experience at Venrock during the clean tech boom and bust of the 2010s gives him confidence in navigating market volatility.
What’s Next for Leitmotif?
While its first fund is still in progress, Leitmotif has long-term plans to launch additional funds, with a focus on robotics and AI. Volkswagen has the option to invest, but Leitmotif remains independent in its decision-making.
“We invest in companies that have the business case to succeed regardless of market trends,” says Wiese.
With Volkswagen’s backing and a strong pipeline of investments, Leitmotif is positioning itself as a major player in climate tech, advanced manufacturing, and deep tech innovations.