Presto: Stripe for EV Charging - Simplified Payments

The Challenges of Public EV Charging and a New Solution

Public electric vehicle (EV) charging can be remarkably efficient, allowing drivers to replenish their batteries and resume travel within approximately 20 minutes. However, it can also be a source of significant frustration due to issues like malfunctioning chargers, unresponsive touchscreens, and occupied charging stalls.

These inconveniences represent a simple annoyance for individual EV owners. However, for commercial fleets and rideshare operators, a non-operational charger directly translates to lost revenue.

Presto: A Platform for Optimized Fleet Charging

Recognizing these pain points, Ashwin Dias and J.J. Raynor departed from their roles at Uber – where they spearheaded EV adoption initiatives for rideshare drivers – to establish Presto. This new application is designed to connect fleet drivers with the most suitable charging options.

“Leveraging our experience from Uber, we envision a dynamic marketplace capable of streamlining the charging process by effectively aligning varying demands with diverse charging availability,” explained Raynor. This includes directing cost-conscious drivers towards more affordable chargers with slightly longer wait times, while simultaneously guiding time-sensitive drivers to quicker, albeit more expensive, and dependable stations.

Presto has recently secured $15 million in seed funding, led by Union Square Ventures, with additional investment from Congruent Ventures, Jetstream, and Powerhouse Ventures. This information was shared exclusively with TechCrunch.

Focus on Fleets for Maximum Impact

The company is initially concentrating on fleets due to their substantial mileage accumulation.

“Drivers working for companies like Uber, logging 40 hours weekly, are crucial to rapid EV adoption and achieving a significant impact,” stated Dias, the startup’s CEO, in an interview with TechCrunch.

The founders previously advocated for improvements within the Uber driver application, but ultimately determined that a comprehensive solution required broader industry collaboration.

A Fragmented Charging Landscape

The increasing number of companies involved in installing and managing EV charging infrastructure contributes to the complexity of the situation.

“The charging sector in the U.S. is becoming increasingly fragmented,” Raynor noted. Nearly 60% of all new DC fast chargers deployed in the U.S. last year originated from over 40 distinct networks. “The market has shifted from a handful of major players to a multitude of lesser-known entities,” she added.

This fragmentation impacts both fleet operators and charging networks.

Fleets would benefit from direct software connections to charging networks, but networks are hesitant to develop and maintain APIs for numerous individual customers. Conversely, fleets are unwilling to manage integrations with an ever-expanding list of charging providers.

Presto as a Centralized Solution

Presto’s software serves as a unifying platform, providing a single point of contact for both fleets and charging networks, and expanding access to a wider customer base – a classic platform business model.

“We see ourselves as a transaction layer for charging, similar to Stripe,” Dias explained.

The startup provides both a dedicated application and an API for integration, and also facilitates payment processing.

Data-Driven Recommendations and Maintenance

This combination generates valuable data that powers Presto’s machine learning algorithms, offering drivers optimized charger recommendations and enabling networks to prioritize maintenance efforts. For instance, if a network reports a charger as operational, but a charging session initiated through Presto fails, the system can redirect drivers and alert the network to the issue.

Early adopters of Presto’s platform include rental car companies such as Hertz, Avis, and ZipCar, according to Dias. Uber drivers are also utilizing the app to identify networks offering discounted charging rates.

Delivery companies are also beginning to adopt the application, even those with on-site charging facilities. “Depot chargers sometimes experience malfunctions or are insufficient to accommodate the entire fleet,” Dias pointed out.

Prioritizing API Integration and Fleet Focus

Presto’s primary objective is to encourage API integration, allowing fleets to incorporate the startup’s recommendations directly into their existing applications and dashboards. “We aim to avoid adding another app to consumers’ devices,” Dias stated.

While the company has received inquiries from major automotive manufacturers, Raynor confirmed that their current focus remains on serving fleets. As a frequent user experiencing the difficulties of public charging, I anticipate a broader rollout in the future.