Moxion Bankruptcy: Founder Returns to Revive Battery Startup

A Second Attempt: Former Moxion Team Launches Anode Technology

Approximately one year prior, Moxion Power ceased operations, becoming another notable bankruptcy within the climate tech sector during 2024. Despite securing over $110 million in funding aimed at substituting diesel generators at locations like festivals and construction sites, the company was unable to overcome significant financial hurdles.

Moxion ultimately resulted in over 400 job losses and the liquidation of its assets.

Re-emerging with a New Vision

Now, Paul Huelskamp, a co-founder of the previous venture, alongside several former Moxion personnel, are initiating a new company, Anode Technology Company. Their objective remains consistent – to achieve the original goal, but with a focus on avoiding past errors.

“Anode was founded with the explicit intention of completing the work we began previously,” stated Huelskamp, who now serves as Anode’s CEO, in an interview with TechCrunch.

Seed Funding and Key Personnel

Anode has been operating discreetly until now, but is formally launching with $9 million in seed funding. This funding round was spearheaded by Eclipse, with partner Jiten Behl, formerly the chief growth officer at Rivian, leading the investment.

The Infrastructure Challenge

Behl’s involvement stems from his experiences at Rivian, where a deal to supply 100,000 electric delivery vans to Amazon highlighted a critical issue. The challenge wasn’t the vehicle cost itself, but rather the lack of adequate charging infrastructure.

“A substantial power source is needed to charge a fleet of 150 vans, and this infrastructure is currently unavailable at many depots,” Behl explained.

Consequently, many companies resort to using diesel generators as a temporary solution. Instances of Waymo utilizing them at their San Francisco depot demonstrate this reliance. “Businesses are seeking independent power solutions that offer operational flexibility,” Behl added.

Anode’s Differentiators

While companies like SparkCharge and Power Sonic offer mobile battery-based EV charging, Huelskamp asserts that Anode’s integrated hardware will provide a competitive advantage. The company has developed an inverter specifically tailored to its target markets, encompassing EV charging, construction, and live events.

Furthermore, Anode’s mobile battery unit is somewhat smaller than Moxion’s 600 kilowatt-hour model, facilitating easier loading onto standard flatbed trucks.

Optimizing for Cost-Effectiveness

“Our primary focus is on minimizing the overall cost of energy delivery. Key factors include the amount of energy that can be transported per truck, the number of trucks and drivers required, and the number of trips necessary,” Huelskamp clarified. “A reduced footprint and energy capacity can paradoxically translate to greater energy transport efficiency per flatbed.”

“These are crucial considerations that, in retrospect, were not fully appreciated at Moxion.”

A Shift in Manufacturing Strategy

The new venture will employ contract manufacturers for battery production, a significant departure from Moxion’s approach of handling manufacturing internally. “A key lesson learned was the difficulty for a startup to manage all aspects of manufacturing,” Huelskamp noted.

Behl views these prior experiences as a benefit to his investment. “As an investor, I’m gaining from lessons already learned, without incurring the associated costs,” he stated.

Targeting Established Markets

While EV charging depots represent a developing market, construction and live events are more established sectors. Currently, these industries frequently rely on renting fossil fuel-powered generators, which are both expensive and less efficient than large-scale power plants. Huelskamp believes this inefficiency presents an opportunity for Anode.

“We are able to charge our batteries at a cost of three to five cents per kilowatt-hour, while the industry typically pays several dollars per kilowatt-hour,” he said.

Leveraging AI for Optimization

Anode intends to utilize artificial intelligence to streamline its operations, including charging and delivery logistics. This optimization is expected to drive costs down, approaching parity with grid electricity, though likely remaining slightly higher than off-peak rates.

“As we expand our operations, enhance efficiencies, reduce energy delivery costs, and benefit from ongoing declines in battery prices, we anticipate reaching cost levels comparable to grid-supplied power,” Huelskamp concluded.