With the plug-and-play light switches from Deako, builders and homeowners can easily exchange remote-controlled high-tech lighting. (Deako photo)
New financing: Seattle-based startup Deako Lighting raised $ 12.5 million in a Series B round to help grow the company’s smart light switch technology.
The business: With the plug-and-play light switches from Deako, builders and homeowners can easily exchange remote-controlled high-tech lighting. Its technology works with the existing wiring of a house and enables builders to market their projects as smart homes without major upfront costs. “Our key value proposition is that we make it very easy for homeowners to personalize their home lighting in really cool and powerful ways,” said COO Wes Nicol.
Traction: Deako said his product would become the “industry standard” in new residential construction. The company has committed to installing the light switch in 1 of 8 new single-family homes in the US and signed a major deal in December with DR Horton, the largest US home builder by volume.
The startup is adding two new markets every week and is seeing double-digit monthly sales growth. The number of 25 employees is expected to double this year.
Tailwind: The housing boom is helping to boost Deako’s business, and home personalization caused by the pandemic is increasing as people spend more time at home. The smart home market is also growing and is projected to reach $ 46.6 billion by 2025, up from $ 28.8 billion this year.
Guide: CEO and founder Derek Richardson was an early employee at BlackBerry and spent 12 years at Cypress Semiconductor. He runs Deako with Nicol, who also worked at BlackBerry and was an executive at SAP.
“We believe the world has spent far too long with light switches that are physically solidly attached to our walls, high-voltage electricity, complex wiring, and the need to change specialty tools,” Nicol told GeekWire.
Investors: Investors participating in Series B were not disclosed. Total funding for the 6-year company is $ 36 million. Past supporters include Columbia Pacific Advisors; Promus Ventures; Alumni Ventures Group; Partech; Innolinks Ventures; and angels.