Failed 2023

    AeroFarms

    Another vertical farming failure: $238M couldn't make indoor leafy greens cost-competitive with field farming.

    Founded → Closed

    2004 → 2023

    Funding Raised

    $238M

    Industry

    AgTech/Vertical Farming

    Country

    USA

    IdeaProof AI Failure Score

    68/100
    Market Fit RiskBurn Rate RiskFounder Risk
    Market Fit Risk
    40
    Burn Rate Risk
    80
    Founder Risk
    20

    Full Analysis

    AeroFarms was one of the largest vertical farming companies in the world, operating a massive facility in Newark, NJ. Despite nearly two decades of operation and $238M in funding, the company couldn't achieve cost parity with conventional agriculture. Energy costs for LED lighting and climate control made every head of lettuce unprofitable. AeroFarms filed for bankruptcy in June 2023.

    Could This Failure Have Been Prevented?

    IdeaProof's AI validates market demand, competitive positioning, and business model viability in minutes — catching the exact issues that sank AeroFarms.

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