RICHMOND, Calif.--(BUSINESS WIRE)--Moxion Power, a Y Combinator backed, vertically integrated manufacturer of mobile energy storage systems, announced today it has raised a $10 million Series A financing led by Energy Impact Partners (EIP). The round was completed with the support of several of Moxion’s existing investors, including Tamarack Global and Liquid 2 Ventures.
Moxion is replacing inefficient, heavily-polluting, fossil-fuel-burning generators with its proprietary mobile energy storage technology and all-electric equipment rental solutions, helping customers reduce the costs of temporary power and decarbonize their operations. Moxion’s initial products are designed and engineered to meet the demands of the construction industry, which relies on renting generators and other equipment that traditionally runs on diesel fuel.
Generators are loud, expensive to operate and maintain, and most importantly, come at significant costs to society and the environment. The average diesel generator used in the construction industry emits almost 70% more carbon dioxide per kWh than a coal-fired power plant. The emissions and noise from these machines pollute job sites, neighborhoods, and communities across the US, causing serious health issues for millions of people — including construction workers who are in close proximity to this equipment on a daily basis.
Moxion Power is pioneering temporary power-as-a-service through its electrified equipment rental platform. The company’s vertically integrated business model is powered by AI and software, not clipboards and telephones, allowing the company to manage large fleets of electric equipment and deliver an unmatched rental service and customer experience to companies in industries such as construction, electrified transportation, events and entertainment, film production, and telecommunications.
"Electrifying industries such as construction, which rely heavily on generators for temporary power, presents an enormous, unaddressed market opportunity," said Paul Huelskamp, co-founder and CEO of Moxion Power. "Demand for Moxion Power’s technology and services grow almost exponentially as more and more vehicles and equipment transition away from internal combustion engines to electric power."
"We’re embarking on an era of unprecedented electrification globally, which is going to dramatically increase the need for clean, portable, and on-demand power. Moxion’s combination of proprietary storage systems and software-powered services is a unique approach to tackling the multi-billion-dollar temporary power and equipment rental industries, which have seen very little innovation over the past several decades," said Sameer Reddy, Partner at EIP.
This new funding follows a Seed round that was led by Tamarack Global late last year. Moxion will use the proceeds to scale its manufacturing operations, launch its first rental location in the San Francisco Bay Area in partnership with some of the nation’s largest construction firms, and execute on its significant backlog of customer orders.
"Moxion Power is reimagining equipment and technology that haven’t changed materially since the invention of the combustion engine. The Moxion team is bringing first-class products to market with strong secular tailwinds behind them. We are thrilled to be on board,” said Jamie Lee, Managing Partner of Tamarack Global.
Construction firms are making a big push to clean up their industry, which accounts for 10% of carbon emissions globally.1 In the United States in 2018, 6.3 billion gallons of diesel fuel were used by the construction industry, resulting in almost 70 million metric tons of CO22 - equal to the emissions produced by 25 million passenger vehicles. Moxion believes the benefits of electrification and the construction industry’s desire to decarbonize will ultimately drive the adoption of its technology and services, but the company plans to work closely with construction equipment manufacturers in order to accelerate this adoption.
“Manufacturing battery systems at near-automotive scale allows us to sell our core battery technology to construction OEMs at a competitive price per kWh,” said Alex Meek, President and co-founder of Moxion Power. “And by building the first and largest all-electric equipment rental company, we’re creating a viable go-to-market strategy and scalable sales channel for our OEM partners.”
Moxion Power believes that the rapidly declining costs of battery technology combined with the federal government’s support for clean technologies and domestic manufacturing, as laid out in the $2 trillion American Jobs Plan, creates a perfect storm for its products and business model. In fact, rebuilding the nation’s highways, bridges, and transit systems should make several federal and state government agencies some of Moxion’s largest end customers.
“Rebuilding and modernizing our nation’s infrastructure will result in significant private and public-sector demand for Moxion’s technology and services and create entirely new addressable markets for our products, such as EV fleet charging within the transportation and e-commerce industries. We look forward to playing an integral role as the Biden Administration executes on its vision for strengthening our infrastructure and economy and creating the jobs of the future,” said Paul Huelskamp, CEO of Moxion.
In addition to this latest Series A financing, Moxion Power is excited to announce pilot rental programs with some of the largest general contractors in California, including Turner, Swinerton, Webcor, and DPR. These companies represent some of the most innovative and environmentally conscious firms in the construction industry, and Moxion is encouraged to see their commitment to the environment and the decarbonization of their operations.
About Moxion Power
Moxion Power manufactures mobile energy storage technology and operates an all-electric equipment rental business, providing clean, temporary-power-as-a-service to customers in industries such as construction, electrified transportation, events and entertainment, and telecommunications. Moxion’s technology and vertically integrated business model offer the first viable alternative to fossil fuel-burning generators. Moxion has signed letters-of-intent with some of the largest construction firms and EV fleet operators in the US and plans to open its first rental location in the San Francisco Bay Area in Q3 2022. Moxion’s founders have backgrounds in battery engineering, vehicle electrification, renewable energy project finance, and construction. Visit moxionpower.com for more information and follow us on LinkedIn for future updates. HQ: Richmond, CA.