Munich Startup: What does your startup do? What problem do you solve?
Gianluca Pauletto, CEO and co-founder of Sypox: Sypox develops electrically heated reactors for high-temperature chemical processes, an area that was previously considered particularly difficult to electrify. With our reactor, natural gas or biogas can be converted to synthesis gas much more efficiently, without fossil combustion and with up to 40 percent less methane consumption.
The underlying process is steam reforming, which traditionally requires process heat from a gas-fired furnace with very high CO2 emissions. We replace this furnace with a compact, electrically heated reactor that works directly with renewable electricity and reaches temperatures of over 900 degrees Celsius. This not only reduces emissions, but also makes systems more efficient, smaller, faster, and more flexible.
In addition to central users, biogas plants also benefit: they can produce green hydrogen or renewable methanol on-site instead of converting biogas into electricity with low value creation. And because our reactors respond to electricity prices in seconds, production can be ramped up or down at any time, which brings advantages for both profitability and grid stability.
Munich Startup: But that already exists!
Gianluca Pauletto: Electric process heaters have been used in chemistry for years, but only up to around 600 degrees Celsius. For high-temperature processes like steam reforming, there has been no electric solution so far because conventional heaters cannot reach the required 900 degrees Celsius (and more). However, processes in exactly this temperature range cause a large portion of industrial CO2 emissions because they are currently heated exclusively with fossil combustion.
Sypox closes this gap: we have developed an electrically heated high-temperature reactor that meets the extreme conditions of steam reforming without a flame, without burners, without fossil heat. This makes it possible for the first time what was previously considered non-electrifiable.
TUM spin-off grows beyond pilot plants
Munich Startup: What’s your founding story?
Gianluca Pauletto: In 2021, Martin Baumgärtl and I founded Sypox as a spin-off of the TU München. The first laboratory reactors successfully demonstrated the potential of electrification. In 2022, the first pilot plant was integrated into a biogas plant and tested under real conditions together with Bayerngas. As part of the Eretech project, in 2024 a pilot plant at commercial scale for the production of 400 kilograms of hydrogen per day was installed at the same biogas plant, and the flexible operation of the reactor was successfully demonstrated.
Munich Startup: What have been your biggest challenges so far?
Gianluca Pauletto: Scaling from laboratory to industrial scale was a major challenge that required a lot of time, resources, practical work, and specialized expertise. Currently, complex regulatory hurdles and bureaucratic processes are being added. Our approach must not only be efficient and climate-friendly, but also remain economically competitive. It’s often difficult to keep track of applicable regulations and the resulting financial incentives, especially given rapidly changing political framework conditions.
Organic growth instead of venture capital
Munich Startup: Where do you want to be in one year, and where in five years?
Gianluca Pauletto: In one year, we want to be known as an established Munich startup that has successfully brought electrified steam reforming to the industrial market. We have actually already made the transition from the classic startup phase to commerciality, completely without private investor capital. We grow organically, finance ourselves, and this approach has clearly paid off so far. In five years, we see ourselves as an established company in the biogas and chemical industry that contributes significantly to decarbonization.
Munich Startup: How have you experienced Munich as a startup location so far?
Gianluca Pauletto: Munich is a vibrant center full of diversity and innovation for us. The city is open to future-oriented technologies and offers a strong network of science, industry, and research. This creates ideal conditions to advance new ideas quickly and grow in a dynamic environment.
Sypox focuses on impact instead of hype
Munich Startup: Hidden champion or shooting star?
Gianluca Pauletto: Definitely a hidden champion. We work purposefully and long-term to create real change in industry, rather than being briefly in the spotlight. In the classic startup or investor environment, we are hardly known and have not yet won any pitch prizes or competitions. Instead, many established technology providers and companies in the chemical and petrochemical industry know us very well. Sustainable impact is more important to us than fast hype.
