Alphabet co-leads $16M round into geothermal energy spinout Dandelion
A handful of households in upstate New York is helping to pioneer what Dandelion Energy Inc. hopes will be the next big source of clean residential power. The startup, which spun out from Alphabet Inc. two years ago, makes geothermal systems that draw heat from the ground to keep homes warm in the winter and cool during the summer.
Dandelion today announced that it has raised $16 million in new funding to support its efforts. The round was co-led by Alphabet’s GV venture capital arm and Comcast Corp. with participation from several others.
Residential geothermal systems like Dandelion’s work by tapping the naturally occurring heat in the ground. Even at fairly shallow depths of a few hundred feet, soil maintains temperatures of 50 to 60 degrees Fahrenheit all year round, energy that is relatively simple to harvest with modern technology. But this technology has so far been too expensive to be a viable option for homeowners.
Dandelion’s Dandelion Air system (pictured) promises to bring down the cost significantly. It uses a time-tested heat pump design that is cheaper than the newer, more powerful technologies on the market and eschews the pricey custom components normally used in residential installations. For added measure, the startup ships units in a mostly preassembled form to reduce setup expenses.
The Dandelion Air uses pipes to pump an antifreeze-based fluid into the ground that absorbs subterranean heat and transports it to the surface. In summer, the system brings temperatures down by dispersing hot air from a user’s home into the soil.
The system is intended as a replacement for traditional heating and cooling systems that burn fossil fuels. Beyond cutting carbon emissions, the Alphabet spinout claims that the Dandelion Air has the potential to help households save on their utility bills in certain scenarios.
Dandelion boasts a small but growing installed base throughout upstate New York. The startup will use the new capital to expand its operations to more parts of the state, as well as boost research and development.
Dandelion is one of the several bets that Alphabet has made in the energy sector as part of its efforts to gain a head-start on emerging technologies. Earlier today, the search giant announced plans to turn an internal project focused on developing electricity-generating kites into a standalone subsidiary. It earlier launched an energy storage venture that is harnessing molten salt technology to reduce power waste.
Photo: Dandelion Energy
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