Heat pumps have become increasingly popular as consumers seek to reduce their reliance on fossil fuels and lower their energy bills. Despite their benefits, heat pumps were previously limited by their performance in cold climates, but recent advancements have opened up new markets for the technology.
In 2025, a group of legacy manufacturers participated in a federally funded program aimed at improving the performance of heat pumps in cold climates, leading to significant increases in sales and adoption rates.
The Biden administration's efforts have been instrumental in driving the growth of the heat pump industry, with the technology now outselling gas furnaces for the fourth year in a row.
According to recent data, heat pumps have become the preferred choice for cooling systems as well, racking up more sales than traditional air conditioners in September 2025.
Quilt is leading the charge with its innovative room-by-room system, which boasts impressive energy efficiency gains over traditional heating and cooling systems.
The company's success has attracted a significant amount of investment, with a Series A round of funding securing $64 million in additional capital.
Quilt's business model has also been praised for its ability to leverage installation partners with certification and workforce training, allowing the startup to expand rapidly across North America.
As the heat pump industry continues to grow, it is clear that Quilt is playing a significant role in shaping the future of sustainable energy solutions.
The shift towards heat pumps marks a significant step towards reducing carbon emissions and promoting sustainable living.
