SoftBank Group Corp. invests $7 million in a Boston-based weather startup ClimaCell Inc. The 2015-established weather service uses cellular signals in making detailed weather forecasting.
Tokyo, Boston: ClimaCell Inc. secures investment of $7 million from SoftBanks Group. The investment was done through wholly owned unit SB Energy, and SoftBank could decide to boost its stake down the road. SB Energy is a Japanese wholly owned subsidiary of SoftBank Groups Co.
ClimaCell: One of its kind
ClimaCell was founded in 2015 by former members of the Israeli air force. Its technology uses AI to forecast the weather in proximity, every 10 minutes. It is based on data gathered from devices like mobile signals.
SoftBank plans to establish regional joint ventures with the startup to improve these new weather forecasting services.
Shimon Elkabetz, CEO of ClimaCell, served 11 years in the Israeli Air Force for. Multiple near-death weather-related experiences during his service encouraged a fascination with the weather, that little thing that affects us all. That is when he came up with the idea and the startup, in 2015.
The investment comes as mounting wind and solar power. Both resources are among the cheapest sources of electricity available, but vulnerable to changes in the weather. That’s a problem when weather forecasts are wrong.
The reason that we have troubling weather forecasts is that we’re using old technology
The startup closed in at $45 million Series B funding round last year, led by Clearvision Ventures.
Need for ClimaCell in India
The company’s forecasts can also be used in developing and other countries that have an insufficient infrastructure. In countries like India, ClimaCell can really help the agriculture sector with it’s working algorithm. This will not only provide a safety net to the farmers but also give India an estimate of the crop productions. This may very well come in handy as the Agriculture sector contributes to 3% of Indian GDP.