Smart lighting startup Deako has raised US$2.1 million in a new round of funding. The Seattle-based company plans to use the fund to further expand its business across the United States.
The new round of funding came from existing investors that include Tandem Capital. Founded in 2015, Deako announced it raised US$3.5 million in June and that it has raised US$10 million to date.
Instead of selling products to the general public, Deako works mostly with home builders and electricians. They install either Deako’s base lighting model or smart lighting technology for new houses. Deako also sells smart switches and has designed its products modularly so that outdated technologies can be easily replaced with new models.
Some homebuilders look forward to integrating smart home technology to differentiate themselves in the market. To meet this demand, Deako offers less expensive smart lighting options than professional installations.
Deako co-founder Derek Richardson came up with the business idea after experiencing difficulties to install smart light switches himself.
Homeowners will be able to control lights across different rooms, set up different lighting atmosphere, and create timers and schedules without installing smart light bulbs. They just have to use Deako’s companion app or via smart assistants such as Amazon Alexa and Google Assistant.
These homes are required to have a Wi-Fi bridge device made by Deako, however, in order to enable remote access, over-the-air upgrade, and integrations with products like Google Home and Amazon Echo.
Deako said that its technology will be installed in 15% of new homes built in Seattle this year, while the company is also getting ready to enter other markets such as New York, Florida and Texas.