Tibber, a “digital electricity” supplier that uses AI to switch around power for houses based on their predicted levels of consumption, has closed a $65 million Series B round led by Eight Roads Ventures and Balderton Capital, with participation from existing investors, including San Francisco-based Founders Fund, which invested last year. Alongside equity, Tibber secured working capital funding by Nordea to support the high pace of growth.
You probably have one electricity supplier for your house. But these days the average household could probably buy from several such companies; it just can’t easily access the marketplace of possible suppliers. Wouldn’t it be smarter if you had an AI in your house that could purchase energy from these producers, including those within the local grid, at the best prices and at the best time of day? This is what Tibber does. It also does it to within three hours of your predicted usage.
The funding will support further investments into Tibber’s pioneering technology, scaling up the team and expanding into new markets, the next one being the Netherlands in 2021.
Tibber CEO Edgeir Vårdal Aksnes said in a statement: “For us, this means that we can continue our mission of making energy smarter at an even faster pace. Our app has quickly become popular, and it has contributed to smart and green energy at lower prices. Our idea is to empower consumers to one day become independent from the electric grid and slow-moving monopolies.”
Since Tibber launched in 2016, it has seen organic growth to 100,000 paying households in Norway, Sweden and Germany. The company was founded in 2016 by Norwegian Edgeir Vårdal Aksnes and Swede Daniel Lindén, who were frustrated by the poor customer experience provided by traditional energy companies.
Alston Zecha from Eight Roads Ventures said: “Our team has been following the energy industry for years, and immediately recognized that Tibber is a game-changer. With market-leading technological capabilities, an innovative business model, and extremely positive customer reviews, Tibber delivers green energy at the fairest price.”
James Wise, partner at Balderton Capital, said: “Changing our behavior, and in particular, the way we consume energy at home, is one of the biggest challenges we face in combating climate change. Tibber brings greater transparency to home energy usage while giving users a simple way to switch to renewable energy providers and control their home devices. It’s like a Fitbit for your home, but one which can put it on a healthy energy diet too.”
Tibber replaces traditional utilities with smart technology, supplying its customers with renewable energy at transparent prices. In addition, its app provides real-time analytics into energy usage, and pairs with a variety of smart home devices to reduce electricity consumption at home. Tibber has set a target to reduce the residential electricity consumption for European households by 20%.