GreenTech startup tado° has just secured additional funding to bring its total amount raised this year to €55 million. The Munich-based team are growing fast, driven by a mission to make home energy management greener, easier and cheaper.
Across Europe, households are going green. Inspired by movements to make more sustainable and eco-friendly energy choices as well as the cost savings from smarter energy management, we are becoming more aware of our energy use and more proactive when it comes to making cuts.
Munich-based tado° has been empowering smart home energy management since 2011. In the past couple of years, it’s ramped up a notch and in 2022 the company doubled its smart thermostats and service sales. Now, tado° has secured a follow-on investment from a €43 million raise in January, taking its total funding in 2023 to €55 million.
Christian Deilmann, co-founder and chief product officer at tado°: “2023 marks an important year for tado°, and now is the right time to scale a unique energy management offering that will double down on reducing home’s heating costs and CO2 emissions. We’re pleased to welcome S2G Ventures on board who share the same vision for tado° and is dedicated to supporting our growth.”
The €12 million cash boost was led by S2G Ventures. They join January’s investors, Trill Impact Ventures, Bayern Kapital, Kiko Ventures, and Swisscanto, as well as Noventic, Target Partners and other existing shareholders.
tado° envisions a world where energy wastage is a thing of the past. To achieve this, the startup has built energy-efficient smart thermostats and services, compatible with over 95% of all homes in Europe, that only heat when and where it is necessary.
The user-friendly devices are easy to self-install and can reduce heating costs by 22% on average. Tado°’s product stands out as one of the few cross-manufacturer platforms, meaning that the smart thermostats and services can connect with any kind of heating or cooling system. Customers right across Europe can therefore benefit from energy-saving technology such as Geofencing and Open Window Detection as well as time-of-use energy offerings.
The company has now reached the exciting milestone of over 3 million sold smart thermostats and is on track to reach profitability in 2023.
This year, the greentech innovators plan to scale things up, expanding its offering of in-home energy management by combining its Smart Thermostats with Time-of-Use energy tariffs. bundles like this enable a shift of a home’s energy use towards times of lower-priced energy, further cutting costs for the user.
To help fuel this, tado° acquired aWATTar GmbH, the pioneer of energy load shifting and Time-of-Use energy tariffs. The combined business now plans to drastically scale its bundled offering and enable warm homes at the lowest possible cost and CO2 emissions.
The firm has also started to work with real estate companies that manage large numbers of rental homes to reach even more households.
Stephen Feilhauer, managing director at S2G: “We’re excited by tado°’s impact toward helping homes across Europe reduce their energy consumption. tado° is now primed to become the market leader for home energy management and S2G looks forward to helping the company scale up to deliver its ambitions, and become a key part of the renewable energy transition of Europe.”
