Tibber Raises $65M Series B Funding

Tibber, an innovative energy provider utilizing artificial intelligence to optimize power distribution for homes based on anticipated usage patterns, has successfully completed a $65 million Series B funding round. This investment was spearheaded by Eight Roads Ventures and Balderton Capital, and included contributions from current investors, notably Founders Fund, which participated in a previous funding round last year. In addition to equity financing, Tibber has also secured working capital from Nordea to facilitate its rapid expansion.

Typically, homeowners rely on a single electricity supplier. However, many households could potentially benefit from choosing from multiple providers, if they had convenient access to a broader energy marketplace. Tibber addresses this by offering an AI-powered solution that intelligently purchases energy from various producers, including those operating within the local power grid, securing the most favorable rates at optimal times. This process occurs within a three-hour window of predicted energy demand.

The newly acquired funds will be allocated to further development of Tibber’s advanced technology, expansion of its team, and entry into new geographic markets, with the Netherlands being the next target in 2021.

According to Tibber CEO Edgeir Vårdal Aksnes, this funding will accelerate the company’s mission to revolutionize energy management. He stated that their application has gained significant traction, promoting both intelligent and environmentally friendly energy solutions at reduced costs. The company’s ultimate goal is to empower consumers to eventually achieve energy independence and lessen reliance on conventional, slow-to-adapt utility companies.

Since its launch in 2016, Tibber has experienced substantial organic growth, reaching 100,000 paying customers across Norway, Sweden, and Germany. The company was established in 2016 by Edgeir Vårdal Aksnes of Norway and Daniel Lindén of Sweden, who were motivated by their dissatisfaction with the customer service offered by traditional energy providers.

Alston Zecha of Eight Roads Ventures commented: “Our firm has closely monitored the energy sector for years, and we quickly identified Tibber as a disruptive force. Its leading-edge technology, inventive business approach, and overwhelmingly positive customer feedback demonstrate Tibber’s ability to deliver sustainable energy at competitive prices.”

James Wise, a partner at Balderton Capital, explained: “Modifying our habits, particularly concerning energy consumption within our homes, is a critical step in addressing climate change. Tibber enhances transparency regarding household energy usage, providing users with a straightforward method to transition to renewable energy sources and manage their smart home appliances. It functions similarly to a fitness tracker for your home, but focuses on optimizing energy efficiency.”

Tibber distinguishes itself from conventional utilities by integrating smart technology to deliver renewable energy at clear and accessible prices. Furthermore, its application offers detailed, real-time insights into energy consumption and integrates seamlessly with a range of smart home devices to minimize electricity usage. Tibber aims to decrease residential electricity consumption across European households by 20%.