Exowatt, a provider of thermal energy storage solutions, secured $70 million in a Series A funding round led by Felicis, a venture capital firm in Silicon Valley.
Among the $70 million raised, $35 million comes from debt provided by HSBC Innovation Banking and other lending partners, while the remaining $35 million is from equity. Additional investors include Andreessen Horowitz, 8090 Industries, Starwood Capital, Thrive Capital, MCJ Collective, MVP Ventures, GOAT VC, and StepStone Group. Atomic and a16z returned to make additional investments.
Last year, the company secured $20 million in a seed funding round from a16z, Atomic, and OpenAI’s Sam Altman. Both rounds bring the company’s total funding to date to $90 million.
The company recently launched the Exowatt P3, a modular, dispatchable solar solution that captures solar energy as heat in a long-duration battery and converts it into electricity on demand. It claims to deliver up to 24 hours of power daily and is targeting the rising energy demand from data centers and other commercial and industrial (C&I) applications.
“With power consumption from AI data centers growing fast, we urgently need an alternative American energy supply chain that’s sustainable and accessible,” said Aydin Senkut, founder and managing partner of Felicis.
With a stated demand backlog of over 90 GWh from data centers, energy developers, and hyperscalers across the U.S., the funding is expected to help meet demand by supporting the domestic production and deployment of the Exowatt P3.
According to Mercom’s recently released Q1 2025 Funding and M&A Report for Energy Storage, VC funding in the sector fell 8% YoY, with $1.1 billion raised in 18 deals, down from $1.2 billion in 23 deals during the same quarter last year.
In February, Epyr, a thermal energy storage company, raised €3 million (~$3.1 million) in an oversubscribed pre-seed funding round. AENU and Daphni co-led this round, which also included OVNI Capital, WEPA Ventures, and several other European angel investors.
