SparkCharge, a US-based electric vehicle (EV) charging startup, has raised US$30 million funding. This includes US$15.5 million in a series A-1 funding round led by Monte’s Fam and a US$15 million venture loan from Horizon Technology Finance Corporation.

Other participants in the series A-1 funding round included Cleveland Avenue, Collab Capital, Elemental Impact, MarcyPen, and Non-sibi Ventures.

Founded in 2018, SparkCharge initially provided mobile EV charging for individual drivers. However, it has shifted its focus to “charging-as-a-service” for fleets.

The startup operates in all 50 US states, as well as Canada and Mexico. It primarily uses off-grid chargers powered by batteries or generators that can run on propane, natural gas, or hydrogen.

🔗 Source: TechCrunch

🧠 Food for thought

1️⃣ EV adoption has faced the same infrastructure challenge for over a century

The “chicken-and-egg” charging dilemma facing today’s fleet operators is a long-standing problem that has repeatedly limited electric vehicle adoption throughout history.

In the early 1900s, electric vehicles comprised nearly 40% of the American market, with electric taxis operating in major cities, but declined rapidly when gasoline infrastructure expanded while charging networks remained limited1.

This same issue arose in the 1990s with GM’s EV1 program, which, despite creating a practical electric vehicle with a 60-mile range, ultimately failed partly due to insufficient charging infrastructure2.

SparkCharge’s mobile charging approach addresses this historical challenge by decoupling vehicle deployment from fixed infrastructure timelines, allowing fleets to bypass the lengthy processes of “trenching, digging, tunneling, and construction” that have consistently delayed EV adoption.

This strategy mirrors how early gasoline vehicles overcame challenges through portable fueling solutions before permanent stations were widespread, suggesting flexible charging models may be crucial to EV adoption.

2️⃣ Mobile charging represents a transitional phase in electric fleet economics

SparkCharge’s pricing model of 35-60 cents per kilowatt-hour represents a strategic middle ground in the evolving economics of fleet electrification.

Fleet operators are increasingly transitioning to electric vehicles due to their demonstrably lower total cost of ownership, with drivers saving approximately $700 annually in gasoline expenses alone3.

By offering pay-per-use electricity without upfront infrastructure costs, SparkCharge addresses a critical market gap where fleet operators have committed to vehicles but face delays of months or years for permanent charging installation.