Tem just closed a $75 million funding round to bring AI-powered automation to electricity markets, a sector still running on decades-old infrastructure. Lightspeed Venture Partners led the Series B, with participation from Atomico, AlbionVC, Revent, Hitachi Ventures, Voyager Ventures, and Schroders Capital. The London-based startup plans to use the capital to expand into the U.S. and Australian markets, where aging grid infrastructure and renewable energy integration are creating massive opportunities for software-driven optimization.
Tem is betting that electricity markets are ripe for an AI revolution. The startup just secured $75 million to prove it, with Lightspeed Venture Partners leading a Series B that values the company's vision of replacing manual grid operations with intelligent automation.
The London-based company has built what it calls a transaction engine - software that uses AI to handle the complex, high-frequency trading decisions that keep power grids balanced. Right now, much of this work still relies on human traders and legacy systems that can't keep pace with the rapid changes happening across energy markets. As renewable sources like solar and wind create more volatility, and as distributed energy resources multiply, the old ways of managing electricity flows are breaking down.
"Electricity markets are some of the most complex financial systems in the world, but they're still operating on infrastructure built for a different era," the company explained in materials shared with investors. Tem's platform aims to change that by automating the bidding, forecasting, and transaction execution that currently requires teams of specialized traders.
The $75 million round attracted a diverse group of backers. Alongside lead investor Lightspeed, the round included Atomico, AlbionVC, Revent, Hitachi Ventures, Voyager Ventures, and Schroders Capital. That mix of traditional venture firms and corporate investors signals both the startup potential and the enterprise-grade credibility Tem has built.
