Daikin Applied Announces Investment in Poppy to Advance Energy Efficient and Healthy Buildings

The partnership affirms Daikin's commitment to optimizing efficiency and reducing carbon emissions tied to heating and cooling commercial spaces

MINNEAPOLIS, March 25, 2025 /PRNewswire/ -- Daikin Applied today announced that Daikin has invested in advanced -air-technologies-leader Poppy to accelerate the transition to smart and adaptive HVAC systems and buildings that help improve energy efficiency and occupant health, and support decarbonization. The investment aligns with Daikin's mission to deliver healthy, comfortable and sustainable spaces through innovative heating, cooling and indoor air quality (IAQ) solutions. Poppy is a key partner in equipping building owners and engineers with the tools and technology to visualize air performance, reduce energy waste and lower carbon emissions while maintaining superior air quality.

Poppy is at the forefront of clean airflow and energy management technologies, delivering insights that drive operational savings. The company's patented real-time air-tracing and ventilation optimization solutions comply with ASHRAE Standard 241 through a new test method recently introduced to the industry, helping commercial building owners reduce energy costs while complying with key standards for safe and sustainable indoor air management.

"Many facility owners and operators know there are opportunities to improve efficiencies and the occupant experience, but aren't sure what will deliver the best return on investment," said Yu Nishiwaki, Chief Operating Officer for Daikin Applied Americas. "Poppy's trailblazing air-tracer technology helps uncover those opportunities, allowing Daikin to use our specialized expertise to implement the changes needed to realize the savings and other benefits."

The partnership will enhance Daikin's portfolio of equipment and services that support customers' decarbonization goals. Poppy's technology enables building owners, facility managers and HVAC professionals to pinpoint inefficiencies, such as over- and under-ventilation, and provide actionable insights that improve energy savings while maintaining optimal IAQ.

Prior to the investment, Daikin and Poppy conducted field trials to validate real-time tracer technology in a wide range of building types. The companies tested 70 sites in 10 geographies from diverse sectors such as commercial offices, healthcare, education and hospitality. The trials demonstrated that 65% of the sites were over-ventilated, presenting significant opportunities for energy savings, while 25% were under-ventilated, highlighting the need for ventilation enhancements. Further, Poppy's technology was able to quantify the impact of a wide range of HVAC and filtration updates that could be used by customers to meet relevant standards.

"Daikin is known as a pioneer in the buildings industry, always pushing the boundaries of HVAC efficiency and sustainability," said Sam Molyneux, Co-Chief Executive Officer and Co-Founder of Poppy. "This shared focus on innovation is why we're so excited that Daikin is bringing Poppy's technology to its broad customer base. Together, we'll scale the reach and impact of our combined capabilities, and help organizations attain optimal air quality, and reduce utility bills and carbon emissions." 

Poppy's efficient implementation and rapid results will streamline on-site testing, allowing customers to assess ventilation rates and air quality within minutes. With the integration of Poppy's technology into Daikin's existing portfolio of solutions, customers will benefit from advanced tools that can support both occupant health and energy efficiency. By leveraging Poppy's real-time air tracing and Daikin's HVAC expertise, buildings can achieve a new level of sustainability and operational performance, paving the way for a healthier, low-carbon future.

About Poppy
Poppy is transforming building ventilation from a costly black box into a powerful tool for energy savings and occupant health. Started in Silicon Valley in 2019 by the founding team from Meta, with leaders formerly from Microsoft, Stanford and MIT, as well as New York real estate veterans and one of the world's foremost HVAC engineers, the company has pioneered real-time air tracing technology to optimize ventilation in commercial buildings. With 75% of Class A buildings over-ventilated, Poppy's solutions can reduce annual energy use by 10% or more while ensuring gold-standard indoor health. Having measured more than 50 million square feet, Poppy supports owners and operators throughout North America, from Fortune 500 companies to school districts, and works with real-estate firms such as JLL, CBRE, Colliers and BGIS. Visit www.poppy.com for more information.

About Daikin Applied Americas
Daikin Applied, a member of Daikin Industries, Ltd., designs and manufactures advanced commercial and industrial HVAC systems for customers around the world. The company's technology and services play a vital role in creating comfortable, efficient and sustainable spaces to work and live — and in delivering quality air to workers, tenants and building owners. Daikin Applied solutions are sold through a global network of dedicated sales, service and parts offices. For more information or to locate a Daikin Applied representative, visit www.daikinapplied.com or call 800-432-1342. Also, follow the company on LinkedIn for the latest on HVAC technology, services and trends.

Media Contact:
Aaron Parker
Communications Director
Daikin Applied
612-202-8774
[email protected]

SOURCE Daikin Applied