Electric vehicle (EV) charging infrastructure pioneer Kazam is making strategic moves to extend its footprint outside of its dominant Indian market and venture into Southeast Asian territories, a move exclusively revealed to TechCrunch.
Originating from Bengaluru and boasting a presence in Delhi and Pune, along with localized management covering over 4,000 postal codes throughout India, Kazam is poised to make its mark in Malaysia, Thailand, and Indonesia.
This geographical expansion is a key milestone in Kazam’s strategic plan, spurred by the successful closure of an $8 million Series A3 funding round spearheaded by Vertex Ventures Southeast Asia and India. A significant focus for Kazam is to penetrate deeper into the Indian market, introducing fast charging solutions tailored for the widespread electric two and three-wheeler vehicles, as Akshay Shekhar, Kazam’s CEO and co-founder, shared in an interview.
Initially, Kazam aims to leverage its relationship with existing clients to facilitate its Southeast Asian entry. The collaboration with Petroliam Nasional Berhad (Petronas) in India, for example, is set to be a keystone for entering Malaysia. Furthermore, discussions are underway with vehicle manufacturers for potential expansion into Sri Lanka, Nepal, Indonesia, and several African countries including Kenya and Uganda, as revealed by the co-founder to TechCrunch.
The funding round also enjoyed contributions from ongoing investors Avaana Capital and Alteria Capital, pushing Kazam’s total funding to $13 million.
With around 160 employees, Kazam is now looking to enhance its team with product and development specialists to advance the creation of fast-charging solutions and promote market interoperability. While Kazam conducts its charger solution research and design in-house, including PCB design, it outsources hardware production to minimize capital expenditures.
The Genesis of Kazam
The inception of Kazam was during the COVID-lockdown of 2020 when Shekhar and co-founder Vaibhav Tyagi (CTO), recognizing the inadequate EV charging infrastructure in India, chose to initially focus on two and three-wheelers. Since commencing operations in April 2021, Kazam quickly incorporated fleet companies into its clientele for EV charging products and services.
“The paramount concern for fleet operators was guaranteeing their vehicles were charged and ready each morning. Hurdles such as unpredictable power outages, misuse of chargers by drivers, and verification issues regarding drivers and their vehicles were formidable. Kazam addressed these issues, paving the way for its rapid success,” Shekhar remarked to TechCrunch.
Kazam’s success with fleet operators soon attracted logistics companies, e-commerce entities, and automobile manufacturers to its EV charging solutions. The firm developed chargers catered to various vehicles and software providing metrics, insights on charging station availability, dashboard connectivity, and payment functionalities.
Today, top vehicle manufacturers and leading oil and gas corporations, alongside about 30 fleet companies, incorporate Kazam’s solutions. The startup boasts over 25,000 charging points, enabling 15 million kilometers traveled monthly, and hosts 2.5 million charging sessions annually.
Echoing the model of U.S. based EV charging network provider ChargePoint, Kazam partners with prominent names such as BigBasket, Flipkart, Ather Energy, Bajaj, Hero MotoCorp, and TVS, plus logistics firms like Lets Transport and Mahindra Logistics. Its innovative charging stations and management software cater to a broad spectrum of players within the industry.
Significantly, Kazam claims leadership in India’s EV charging space for three-wheelers with a 75% to 80% market share, and a substantial 40% in the two-wheeler segment through its mix of brand and white-labeled chargers.
Kazam played a pivotal role with the Indian government to establish IS17017 as the national EV charging standard for light vehicles. It also collaborates with automakers on developing fast-charging technology promising vehicle charges within 15–20 minutes.
Shekhar emphasized the initiative to digitalize the charging infrastructure starting from the power grid, facilitated by their solid rapport with vehicle OEMs, simplifying technology integration onto the platform.
In recent developments, Google listed Kazam among Indian EV charging service providers on Google Maps, specifically highlighting two-wheeler charging stations – a feature previously initiated in the U.S and now adapted for India. Kazam has also joined forces with 19 other companies under the open energy network Unified Energy Interface, aiming to foster interoperable EV charging since April.
With an annual recurring revenue (ARR) standing at $3.2 million in July, Kazam anticipates achieving an ARR of $4.5–$5 million by year’s end, on its way to reaching EBITDA positivity, as per Shekhar’s projection.
Compiled by Techarena.au.
Fanpage: TechArena.au
Watch more about AI – Artificial Intelligence
