London-based startup Tem closed an oversubscribed $75 million Series B round, according to an exclusive from TechCrunch. Tem believes that AI can solve the same issue that it creates when it drives up electricity prices.
The raise was led by Lightspeed Venture Partners with participation from AlbionVC, Allianz, Atomico, Hitachi Ventures, Revent, Schroders Capital and Voyager Ventures. This round values Tem at more than $300 million.
The company’s energy transaction engine relies on AI to achieve lower electricity bills. Tem has previously signed up more than 2,600 business customers throughout the U.K. and plans to use the funding to expand to Australia and the U.S., starting with Texas.
Tem matches electricity generators with consumers through two businesses. Rosso is the transaction engine that matches suppliers with buyers, while RED is a “neo-utility” experience.
“Long term, we really don’t mind who owns the customer, who owns the generation as long as our infrastructure is being used. This is just an infrastructure play in the same way AWS was, or Stripe was,” Joe McDonald, co-founder and CEO of Tem, told TechCrunch.
