Advancing the Electric Mobility Ecosystem in Emerging Markets: Our Investment in Zeno
Electric mobility has been a transformative force for many major cities worldwide, helping address the intertwined issues of congestion and pollution. In growth markets such as Africa and India, in particular, electric two-wheelers offer tremendous opportunities for expanding mobility, driven by the potential to improve air quality, reduce consumer costs over time, and meet the rising demand for sustainable transport.
For example, in Kenya where two-wheel motorbike taxis known as “boda-bodas” are a common way to move people and goods through crowded city streets, the move from gas to electric motorbikes can significantly cut down on emissions and vehicle operating costs. However, unlocking the full potential of electric two-wheelers in these regions requires designing a robust and rugged vehicle, and overcoming the challenge of higher upfront EV costs for consumers while ensuring sufficient range through accessible and reliable charging infrastructure.
That’s why we are excited to announce Toyota Ventures’ investment in Zeno, which is building an innovative solution that combines a high-performance two-wheeler with a flexible-use battery offered via a battery-as-a-service model that includes multiple charging solutions such as battery swapping, public fast charging, and home charging. With an estimated 80% to 90% of the motorcycles in Africa being used for commercial purposes including taxis, delivery, and other applications, Zeno’s electric two-wheelers could help drivers reap long-term financial benefits.
Founded in 2021, Zeno operates across locations in Oakland, California; Nairobi, Kenya; and Bangalore, India. The company’s founder and CEO Michael Spencer previously spent a decade building several businesses in East Africa and India. More recently, he worked on the senior management team at Tesla, leading large teams in automotive manufacturing, supply chain, supercharger deployment, and Tesla Energy. The rest of the Zeno team brings equally impressive experience in product development and operations, having worked at companies such as Lucid, Apple, Bolt, and Ola Electric.
“Zeno has a distinct vision for electric mobility in emerging markets, with a deep understanding of its challenges and opportunities. The team is building a comprehensive, high-quality electric two-wheeler ecosystem from the ground up, which will ultimately provide an essential edge in a rapidly growing market. We are excited to partner with Zeno’s team as they move forward with an innovative, climate-friendly, and cost-effective solution for modern mobility in a rapidly growing market.”
-Chris Abshire, Frontier Fund principal, Toyota Ventures
Addressing the infrastructure gap, Zeno plans to deploy its own automated battery-swapping and public fast charging stations across major cities wherever its vehicles are sold. These services allow a customer to quickly replace a depleted battery with a fully charged one from a battery-swapping station, or to quickly top up a charge in 40–50 minutes. Over a lifetime of ownership, these electric two-wheeled vehicles could yield substantial savings to individual owners, enabling them to flexibly power their vehicles, homes, and a variety of other items.
Toyota Ventures is proud to support Zeno in its $9.5 million seed funding round, led by Lowercarbon Capital, with participation from RedBlue Capital, AdvantEdge Founders, 4DX Ventures, and other investors. Toyota Ventures’ Frontier Fund principal Chris Abshire and Climate Fund principal Ethan Sohn drove participation in the investment.
Visit Zeno’s website or Toyota Ventures’ portfolio page to learn more.
