Splight Raises $12.4 Million to Supercharge U.S. Expansion with Dynamic Grid Software

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In an era where maximizing the existing power grid is crucial, dynamic line rating (DLR) technologies have seen a significant surge. These systems use real-time temperature and weather data to safely increase electricity flow on transmission lines by up to 30%, avoiding the need for costly new infrastructure.

Enter Splight, a San Francisco-based startup that's taking this concept further with its dynamic congestion management (DCM) software. Unlike traditional DLR solutions that rely on hardware sensors, Splight's approach leverages machine learning algorithms to dynamically manage grid congestion, promising to double the capacity of existing power lines without additional hardware.

Exclusively, Splight has secured a $12.4 million investment to fund its commercial expansion into the U.S. and Europe. This funding, provided through a simple agreement for future equity, will support the growth of their North American and European offices.

Fernando Llaver, CEO of Splight, explains that their technology tests the grid every millisecond, ingesting real-time data to turn fast-responding assets like batteries or data centers into sources of grid robustness. "DLR could be a feature of DCM, but it's not a finished product," Llaver told Latitude Media. "To deliver more transmission, you need control capabilities."

Since its launch four years ago, Splight has experienced rapid growth, with its order book doubling or tripling annually. Initially focused on Latin America, Spain, and Portugal, the company has also deployed its technology on a small scale in Texas and the Midwestern U.S. grids.

Carolin Funk, a partner at Blue Bear Capital, which led the investment round, highlighted Splight's impressive real-life experience and software-only approach. "A lot of DLR solutions need sensors and more hardware installed," Funk said. "Splight shows how to do more with less."

This trend away from hardware-intensive solutions is gaining momentum. For instance, Gridraven, another startup, uses AI and weather forecasting to enhance grid capacity without sensors, as noted in a recent opinion piece by its CEO.

However, Splight's DCM system operates differently, functioning more as a control mechanism than a monitoring tool. With this new funding, Splight aims to scale its unique offering commercially. "We're still alone in this market," Llaver added, emphasizing their pioneering position.