Octopus Energy US is looking to acquire more software startups that can help utilities manage the influx of data center power demand, its CEO told Semafor. In March, the company bought the technology firm Uplight, which utilities can use to free up more power in the grid by subtly modulating their customers’ consumption. The company also recently rolled out a battery for homeowners in Texas that can release power to the grid at moments of high demand.
“We’re just beginning to scratch the surface of how consumer flexibility can help solve the problem of data centers,” which have an economic disincentive to curb their own power demand, Octopus US CEO Nick Chaset said. Startups like Uplight “are batting above their weight in terms of solving the problem, but that value is not yet reflected in the companies themselves,” he said. “So we’re very much looking for interesting opportunities in that space.”