With the expected increase in electric vehicles we expect to see in the next decade, shared EV charging is key to keeping drivers on the road and free from “range anxiety.”
The Growing Need for Shared Charging Infrastructure
Shared electric vehicle (EV) charging infrastructure includes charging units at retail and destination locations, at workplaces and fleet depots, at multi-family buildings, as well as those for ‘on-the-go’ charging such as at existing gas stations and highway supercharger stations. It is also critical for supporting fleet EV conversion because it mitigates the perceived risk of an inability to complete work. The market for shared charging infrastructure is expected to grow 9x between now and 2030 in the United States alone.
The Current Situation
While the benefits of this technology are clear, there are significant problems with shared EV charging infrastructure today. It is becoming clearer that far too many shared EV chargers do not actually work, which is starting to reduce the confidence of both consumers and fleets. The most common reason for non-functioning shared chargers is related to connectivity / IT issues and external dependence on a central server, which are required to authenticate users, initiate a charging session, process payments and all other smart functions. Studies quantifying these reliability challenges are popping up globally. There was a recent study by a Berkeley Professor that measured 23% of the 657 SF Bay Area shared chargers tested were broken. Chargers within the study produced by one of the larger market incumbents had a whopping 39% broken rate. A much larger study of 26,000 shared chargers in the UK found that over 10% were broken.
Solving this Internet connectivity issue is not easy. Shared EV chargers are effectively Internet of Things (IoT) end devices, requiring real-time access to the Internet by way of cellular or Wi-Fi to exchange data to work. In many areas, Internet access can be down or weak, causing data exchange to be unreliable. We’ve all experienced how spotty our cellular service is when around large buildings. Further, bandwidth issues can cause time-outs as our growing appetite for connected devices and higher-load bearing activities dominate internet bandwidth capacity. Of course, wired ethernet access can be provided, but this costs money, and every gateway, router or other piece of hardware is another Internet connectivity failure point.. Even with ethernet, data needs to travel from the EV charger to a gateway to a cellular antenna outside the building that then communicates with a cellular tower to reach the cloud. That’s multiple failure points assuming zero line-of-sight issues, and all of which are out of the control of both the EV charger operator and the property owner.
Enter Xeal, the EV Charging Solution that Provides 100% Reliability
We have seen many potential solutions to this problem for different use cases. Mesh networking chargers to add some resilience or adding redundant connectivity radios are popular approaches. There are also service-oriented solutions that aim to improve shared EV charger maintenance programs to reduce downtime, but these come at an added cost. None, however, seemed to solve the problem for the customer in a compelling and definitive way. That is until we meet with Xeal.
Xeal has created an EV charging system with its proprietary software that enables 100% uptime, 50x faster processing speed, and a frictionless user experience. The proprietary software and new IoT category took 2+ years to develop and uses a time-bound token and distributed ledger technology to unlock all smart functions of connected devices (authentication, payments, etc.) with zero IT infrastructure and 100% reliability by eliminating dependence on a central server.
The result is quite compelling and offers a premium, lower all-in cost solution to real estate groups (to start) that want to provide reliable EV charging to residents or visitors. Users get the best experience and simply tap a charger with their phone to start and then end a charging session. The experience is 100% reliable compared to today’s far too common ‘hit or miss’ solutions. Real estate groups get to offer this premium service to their customers for a lower cost compared to traditional EV charging solutions. Xeal’s architecture allows for meaningful installation savings in both IT and electric infrastructure while also placing chargers where EV users want them instead of where Internet receptivity is the strongest (often away from buildings and not where drivers want to park).
We are excited to announce that WIND Ventures has participated in Xeal’s $40M Series B financing alongside top investors, including Keyframe Capital and returning investor Moderne Ventures. Xeal’s quicker, better, cheaper, greener value proposition is resonating well with the market. WIND Ventures is excited to support’s continued growth Xeal in the United States and work with them to enter Latin America.