Drew Baglino, a former senior executive at Tesla, has launched a new startup, Heron Power, focused on developing solid-state transformers for the electric grid. The company is currently raising a Series A funding round between $30 million and $50 million, with Capricorn Investment Group expected to lead the round, according to a report by Axios.

Baglino joined Tesla in 2006 and played a key role in developing the Model S powertrain and leading battery storage engineering before being named Senior Vice President of Powertrain and Energy. He departed Tesla in April 2024, coinciding with the company’s workforce reduction.

Heron Power is targeting one of the least modernized elements of grid infrastructure—transformers. Traditional grid transformers have remained largely unchanged for over a century and are primarily manufactured overseas.

Solid-state transformers offer several advantages over conventional models: they’re smaller, more adaptive to renewable energy fluctuations, capable of dynamic load management, and can improve grid reliability. These capabilities make them well-suited for managing the complexities introduced by solar and wind energy sources.

Heron Power is not alone in the space. Amperesand, a Singapore-based startup also led by former Tesla employees, recently closed a $12.5 million seed round and is preparing its own Series A to develop similar next-generation transformer solutions.

Source: techcrunch.com