HULO raises €2.3 mln for AI leak detection to combat water waste

HULO is a Frisian water tech startup that uses artificial intelligence to detect leaks in water infrastructures worldwide. To this end, the company has raised €2.3 million in seed funding to accelerate its international growth. In December 2023, the startup successfully completed a €800,000 pre-seed round led by LUMO Labs. The new investment round is led by VP Capital, with LUMO Labs as co-lead, and participation from Vanagon, Rabobank, the Fries Ontwikkelingsfonds (FOM), and the NEW-TTT program.

Water scarcity: a global, urgent environmental problem

HULO's SaaS platform uses pressure and flow data from existing utility networks to detect, locate, and prioritize leaks and anomalies. By combining AI with physical models, the system understands the dynamic behavior of each unique network. The solution integrates into existing operational processes of water companies, without the need for new hardware or district metered areas (DMAs).

“Water scarcity is one of the most pressing environmental issues in the world, with approximately 30% of treated drinking water lost globally — often due to outdated infrastructure,” says Erica van Eeghen, Senior Manager Ventures at VP Capital. “HULO’s ability to detect leaks early with advanced AI, rather than expensive sensors, is exactly the type of scalable innovation we are looking for. Here, measurable environmental impact and efficiency go hand in hand. We are delighted to be working with such strong co-investors and a technically astute founding team.”

HULO is already active in Europe and has taken its first steps toward Latin America. The new funding will be used to accelerate rollout in core markets and further expand capabilities in AI, network analysis, cybersecurity, and customer support—all with the aim of increasing global impact. Based on the demonstrable environmental impact the startup is already achieving, HULO is on track to save the equivalent of more than 4 million Olympic swimming pools of water annually by 2030.

Rapid leak detection

HULO's hardware-independent approach uses data that water companies already collect, eliminating the need for expensive hardware or network segmentation. This enables rapid, scalable, and cost-efficient leak detection in a wide range of environments.

“The future of water infrastructure requires digital innovation to align with the operational reality of today's networks,” says Robbert Lodewijks, co-founder of HULO. “We build solutions that are both powerful and practical — so water companies can take action without having to completely overhaul their systems.”

Where traditional methods rely on physical inspections or general hydraulic models, HULO's approach is based directly on operational data. By continuously learning from real-time pressure and flow signals, the platform delivers actionable insights exactly where and when they are needed. This marks a fundamental shift: from reactive leak detection to proactive, data-driven water management.

Although the Netherlands is known worldwide for its water expertise, HULO's international expansion — and the participation of German venture capital fund Vanagon — underscores that the need for innovative water management solutions is universal.