Base Power Raises $1 Billion at $13 Billion Valuation to Expand Home Battery Network

Base Power has raised another $1 billion in Series D funding, less than a year after its previous billion-dollar financing round, as the home battery startup expands its residential energy storage network. The investment values the company at $13 billion post-money and comes as electricity demand continues to rise because of electrification and the rapid construction of AI data centres.

Unlike many energy storage companies that build large battery projects connected directly to the grid, Base Power focuses on installing batteries at customers’ homes. The company said it has deployed more than 500 megawatt-hours of storage over the past several years and is currently installing about 100 batteries each day, according to The Wall Street Journal. It aims to double that installation pace by the end of the year.

New home battery unveiled

Alongside the funding announcement, Base Power introduced Base Core, the latest version of its home battery. Built at the company’s factory in Austin, Texas, the system stores 39.2 kilowatt-hours of electricity, giving it a larger capacity than many competing residential batteries. Customers can install either one or two battery units, and the company currently operates in Texas and Illinois.

The funding arrives as electricity demand places growing pressure on the U.S. power grid. Regions including PJM, which serves parts of Illinois and hosts a large concentration of data centres, have experienced increasing strain as power consumption rises.

Subscription model supports the grid

Rather than requiring homeowners to purchase batteries outright, Base Power offers the systems through a subscription model. In the Houston area, customers pay a $695 installation fee for a single battery, a monthly fee of $19, and 13.1 cents per kilowatt-hour for electricity. Because the company owns the batteries, it can sell stored electricity back to the grid during periods of high demand.

In regulated electricity markets, Base Power works with utilities to install batteries that help reduce local grid congestion. In both regulated and deregulated markets, the batteries also provide backup power for homeowners during outages. With nearly 40 kilowatt-hours of storage capacity, the systems can supply electricity for a home for a day or longer, depending on usage.

Investors back expansion

The Series D round was led by Ribbit, Addition, Valour Equity Partners, and JPMorgan Chase’s Strategic Investment Group. Additional investors included Altimeter, D1 Capital Partners, Sands Capital, Coatue, Layer Global, Energy Impact Partners, Thrive Capital, Andreessen Horowitz, Lightspeed, Trust Ventures, CapitalG and others.

Chief Executive Officer Zach Dell co-founded Base Power. His father, Dell Technologies CEO Michael Dell, did not participate in the financing round.