For Vaughn Crowe, the world of manufacturing and industrials isn’t theoretical. It’s innate. Now a VC, he grew up in Newark, historically an American industrial powerhouse.

“I was in the same neighborhood as the airport and the port,” said Crowe. “Before I knew what being a financier was, there was the thought that being a longshoreman wasn’t a bad idea. It’s a good living and I had friends who went down that path. When you’re from that environment, you can apply some critical thinking and understanding that there’s value to be created.”

Crowe, who cofounded VC firm NVP Capital with Dan Borok, has been investing in manufacturing and industrials since the firm’s beginnings in 2020. In the years since, “reindustrialization” has become something between buzzword and reality, with private capital and venture dollars flowing into the industrial base, from manufacturing to defense to energy. For a long time, those sectors weren’t seen as venture-ready. I asked Crowe: What changed?

“COVID put a spotlight on supply chain, travel, logistics, energy, power,” he said. “Healthcare is mission-critical for our country, but guess what else is? Manufacturing, shipping, and receiving. So, we were seeing where the U.S. economy was affected at scale, and that flashlight shined brightly on nursing and healthcare, of course, but also on the supply chain. Then, with geopolitical challenges around aerospace and defense, the government shifted to support mission-critical industries to help them be more self-reliant. It was a moment in time where we were recognizing these things as critical.”

AI has, of course, accelerated all of this, too. As Crowe told Fortune: “We’re at the intersection of where AI meets the physical world, and it’s impacting everything, including space, robotics, and manufacturing. We’re at the precipice of something truly revolutionary in the physical world.”

NVP has backed a wide range of companies, including Vulcan Elements, Reaxiomatic, Laborup, Outlast Power, Human Archive, Haptica Robotics, Class8, Optimal Dynamics, and Upwell. Exits, he said, will likely involve some combination of IPOs and M&A. 

“We’ll see how this plays out,” said Crowe. “For some of these legacy manufacturers, there could be a roll-up play… The options become real as you demonstrate how critical these industries are and how well they can perform. The public realm and commercial markets will also open up, and there will be enhanced chances for IPOs. There are multiple ways to create venture-like returns in this space.”

NVP closed its second fund of $80 million in 2025, and the firm is now competing in a space that’s gotten hot. (The firm was an early backer of rare earths startup Vulcan Elements, now valued at about $2 billion.) But Crowe’s gotten there early, in part because he’s been connected to it all along.

“Our firm today is in New York and San Francisco, but my experience of seeing all this live, this unique moment in time, and layering on some of my experiences growing up in an old industrial city, we know enough to be dangerous,” he said. “We can speak the language.”

A note… It’s the 25th anniversary of 9/11 today, and I’ve been thinking a lot about New York, reading stories like this with interest. I moved back in December of last year, and I’m always in our offices in Lower Manhattan. It is thriving, and I’m grateful to be here on this solemn day of commemoration—and every day. 

See you Monday,

Allie Garfinkle
X: @agarfinks
Email: alexandra.garfinkle@fortune.com

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This story was originally featured on Fortune.com