Less than a year after emerging from stealth mode, Base Power has rapidly scaled into one of Texas’s largest residential battery providers and now has secured $200 million in a major funding round led by Addition, Andreessen Horowitz, Lightspeed Venture Partners, and Valor Equity Partners. Participating investors also included Altimeter, Terrain, Thrive Ventures, and Trust Ventures.
The significant infusion of capital will fuel the company’s ambitious growth plans, which involve greatly expanding battery storage capacity and establishing its own domestic battery manufacturing facility in the United States. This approach marks a strategic move aimed at reducing vulnerability to potential tariff disruptions, although it carries distinct manufacturing risks—an area where others in the industry have previously stumbled.
Residential home backup batteries aren’t new; Tesla’s Powerwall has been a market standard for nearly a decade. However, Base Power distinguishes itself through scale and affordability. Its battery offerings come in sizeable 25 or 50 kilowatt-hour configurations, providing up to four times the capacity of Tesla’s Powerwall option. Additionally, customers benefit from dramatically lower upfront price points of $595 or $995, respectively, compared to over $15,000 for Tesla’s equivalent before incentives.
This competitive pricing structure does come with a catch. Customers must commit to purchasing their electricity directly from Base Power at 9 cents per kilowatt-hour plus local utility delivery charges for a contract period of three years. There is also an annual maintenance fee ranging from $225 to $345, effectively adding roughly two cents per kilowatt-hour for average Texas households.
Base Power’s business model notably leans into lucrative grid-balancing services. Thanks to Texas’s unique energy market dynamics, the company can monetize its network of distributed residential batteries as a virtual power plant, being reimbursed—often substantially—for sending stored power back into the electric grid during times of high demand.
Residential battery installations offer a clear advantage for rapid scaling compared to large, grid-level battery projects. While massive centralized battery storage sites often require years of planning and construction, smaller residential installations can be permitted and completed within weeks. Illustrating this agility, Base Power installed around 10 megawatt-hours of residential batteries in March alone and expects to cross the 100 megawatt-hour threshold in storage by this coming summer.
The new investment round is set to accelerate Base Power’s deployment velocity, facilitate geographical expansion beyond Texas, and lay the groundwork for the company’s direct entry into domestic battery production—an essential next step in their strategic growth trajectory.
