Power Player

Electricity startup puts its Houston customers on the grid

Sarah Hobson
Nov 21, 2018, 7:56 am
Griddy, lead by CEO Greg Craig, is making a surge in Texas by disrupting the state's outdated electricity plan. Courtesy of Griddy

In 2015, Greg Craig looked into Texas' wholesale energy industry and a light bulb went on over his head. He realized that the way consumers were delivered power was opaque and misleading. The electricity industry is one of the few areas that the tech boom hasn't yet infiltrated. That is, until Griddy came along, launching in Houston in the spring of 2017.

"Technology has changed and bettered everything in life," says Craig, Griddy CEO and co-founder, who compares Griddy to likes of Amazon, Uber, and Costco. "Our thesis was, 'what if we could build a tech platform that would connect the home directly to the grid?'"

Instead of profiting off hidden fees and fixed prices, Griddy provides customers wholesale electricity prices and promises to be open, honest, and transparent. Rather than charging inflated rates, the company only makes a profit from the $9.99 monthly membership fees. Everything else is at cost — no margins, hidden fees, or break fees. This all translates to savings of up to 30 percent, says Craig, who co-founded Griddy with executive chairman, Nick Bain.

Electricity of the future
Griddy customers are connected directly to their smart meter which records electricity use and communicates this information to the home owner's electricity supplier

Customers can download and use the Griddy app and get a by-the-second update of the wholesale price so that they know when the price spikes and it's time to turn off unnecessary energy suckers. The app also offers 36-hour forecast to give consumers an idea of what the wholesale price will be at a specific time.

The mobile aspect of Griddy is a large draw as consumers increasingly use their phones and do everything online or in-app. From the transparent prices to the mobile app, Griddy's features have been well received by millennials, a generation drawn to companies that stand out and are committed to strong corporate values that put the customer first and offer low prices.

This month, Griddy launched a new app, Griddy Guest, that allows non-members a chance to test the benefits of Griddy before becoming a member. "We understand people may be a little cautious of switching to a new type of energy provider so we created Griddy Guest to allow people to access the perks and track their potential savings before completely switching over to becoming a Griddy member," says Craig.

Consumers can use the app for free, view the current wholesale price of electricity and projected prices using your zip code, and receive an estimate of savings from using Griddy in comparison to the average rate for their location, house type, and weather zone.

"We're trying to be disruptive and innovative and do things no one's ever done," Craig tells InnovationMap. "No one's ever done 'we'll tell you exactly what we make,' no one's ever done 'here's real time wholesale,' no one's ever provided mobile app information like this by the second, and now no one's ever done 'be our guest, be our guest, put our service to the test', and now we've done it."

What's next?
Griddy, which is only in Texas, is continuing to spread into deregulated markets with sights set on the East Coast in the first half of 2019, to be closely followed by an international move to the United Kingdom, Australia, and Japan. The company is also pursuing machine-learning artificial intelligence to handle optimal time for power use, a technology that would automatically adjust power use for consumers during price spikes. This type of feature would be connected directly to households, closely monitoring the price of electricity to save consumers even more money.

Overall, Griddy has made a large footprint with its launch in Texas and is currently in 39 different cities within the state. The company hopes to continue to turn consumers to wholesale electricity over traditional overpriced fixed energy plans to disrupt the industry and save individuals money.

Feel the surge

Griddy users can enable push notifications that alert them of surge pricing so they can turn off any large appliances to avoid excess charges.

 
 

Med tech

Houston biotech company aims to enhance oncology treatment of highly resistant cancers

Houston-based Moleculin has three different oncology technologies currently in trials. Getty Images

Immunotherapy and personalized medicine get all the headlines lately, but in the fight against cancer, a natural compound created by bees could beat them in winning one battle.

In 2007, chairman and CEO Walter Klemp founded Moleculin Biotech Inc. as a private company. The former CPA had found success in life sciences with a company that sold devices for the treatment of acne. That introduction into the field of medical technology pushed him toward more profound issues than spotty skin.

"Coincidentally, the inventor of that technology had a brother who was a neuro-oncologist at MD Anderson," Klemp recalls.

The since-deceased Dr. Charles Conrad slowly lured Klemp into what he calls the "cancer ecosphere" of MD Anderson. In 2016, the company went public. And it looks like sooner rather than later, it could make major inroads against some of the toughest cancers to beat.

Klemp observed that while Houston has the world's largest medical center, "the tragic irony" is that other cities have far more biotech money ready to be invested.

"The Third Coast is really starved for capital," he says. "What drew me into this was I was one of the few entrepreneurs that lived here that knew the ropes in terms of tapping into East and West Coast capital structures and could make that connection for them."

The company has three core technologies currently being tested with some success, but the most promising is called WP1066, named for researcher Waldemar Priebe, "a rock star" in his native Poland, according to Klemp, who works at MD Anderson. Though Priebe came to the U.S. in the 1980s, he is still an adjunct professor at the University of Warsaw and conducts some of his trials in Poland because it's easier to get grant money there.

WP1066 uses propolis, a compound of beeswax, sap and saliva that bees produce to seal small areas of their hives, as a base. The molecular compound that Priebe discovered affects STAT3 (signal transducer and activator of transcription), a transcription factor that encourages tumor development. In short, the active compound in WP1066 both downregulates the STAT3, a long-time Holy Grail in the cancer research world, and directly attacking the tumor, but also quieting T Cells, which allows the body's own immune system to fight the cancer itself. Essentially, it works both as chemotherapy and immunotherapy.

WP1066 is demonstrating drug-like properties in trials at MD Anderson on glioblastoma, the aggressive brain cancer that recently took the life of the hospital's former president, John Mendelsohn, as well as John McCain and Beau Biden. It is also being tested against pancreatic cancer, one of the most virulent killers cancer doctors combat.

Priebe also created Annamycin, named for his oldest daughter, a first-line chemotherapy drug that fights Acute Myeloid Leukemia without the cardiotoxicity that can damage patients' hearts even as they beat their cancer.

WP1122 uses yet another mechanism to fight cancer.

"Most people don't know that morphine is essentially a modified version of heroin," Klemp explains.

The difference between the poppy-based drugs? Heroin can cross the blood-brain barrier. It's described as the dicetyl ester of morphine. WP1122 is the dicetyl ester of 2DG (2-Deoxyglucose), a glycolysis inhibitor, which works by overfilling tumor cells with fake glucose so that they can't consume the real glucose that makes them grow.

"The theory is, we could feed you so full of junk food that eventually you'd starve to death," Klemp elucidates. It can cross the blood-brain barrier and is metabolized slowly, meaning that it can be made into a drug in a way that 2DG cannot.

What's impressive about Moleculin is its diversity of drugs. Most companies have one drug that gets all or most of the attention. Moleculin has strong hopes for all three currently in trials.

"It's essentially multiple shots on the goal," says executive vice president and CFO Jonathan Foster.

Moleculin has 13 total employees, five of whom are based in Houston. An office in the Memorial Park area serves as a landing pad for employees and collaborators from around the world to get their work done when in Space City. The virtual office set-up works for the company because experts can stay in their home cities to get their work done. And that work is on its way to saving scores of lives.