Within just two years, Base Power has developed one of Texas’s largest battery storage facilities — and now aims to accelerate its growth even further.
This Austin-based company, which secured $200 million in funding this April, has now raised an additional $1 billion. The Series C investment was spearheaded by Addition, with involvement from CapitalG, Elad Gil, Lightspeed, Ribbit, Thrive Capital, and Valor Equity Partners.
According to The New York Times, this latest funding round puts the company’s pre-money valuation at $3 billion.
Since its founding in 2023, Base Power has sold over 100 megawatt-hours of residential storage batteries in Texas — an impressive achievement for such a young company.
Base Power offers its batteries to homeowners through a leasing model. Customers pay an initial fee between $695 and $995 to install either a 25 kilowatt-hour or 50 kilowatt-hour battery, both of which offer much greater capacity than most competitors. (For comparison, the 25-kilowatt-hour unit is twice the size of a single Tesla Powerwall.) The company says these batteries can supply power to a home for up to 48 hours.
In addition to the upfront payment, users pay a monthly charge ($19 or $29) and agree to purchase electricity from Base Power for three years at a rate of 8.5 cents per kilowatt-hour, plus delivery charges.
By providing batteries through leases, Base Power has made it easier for homeowners to access home storage solutions by reducing the initial investment required. Typically, batteries with less storage capacity cost several thousand dollars, not including installation.
Base Power has also leveraged Texas’s deregulated electricity market, which enables residents to switch power providers with ease.
The state’s utility commission offers substantial incentives to energy providers that can rapidly supply large amounts of electricity during peak demand — a task well-suited for grid-scale batteries. In return for the reduced upfront cost, Base Power customers permit the company to sell electricity back to the grid using their batteries when backup power isn’t needed.
Beyond expanding outside Texas, Base Power also intends to establish a second battery manufacturing facility in the U.S. Its first plant is currently being built near Austin, Texas.
