Former Tesla executive Drew Baglino has embarked on a new venture, Heron Power, which aims to transform the electric grid with solid-state transformers. According to a report by Axios, the startup is raising between $30 million to $50 million in a Series A funding round, led by Capricorn Investment Group.

Baglino, a longtime Tesla employee who joined the company in 2006, brings a wealth of experience to his new endeavor. During his tenure at Tesla, he designed the powertrain for the first Model S and led engineering for the company's battery storage products before being named senior vice president of powertrain and energy. His departure from Tesla last April coincided with the company's 10% staff reduction.

Heron Power is tackling a critical component of the electrical grid that has seen little innovation in over a century – transformers. The majority of transformers are now manufactured overseas, and their design has remained largely unchanged. Solid-state transformers, on the other hand, offer significant advantages, including the ability to regulate voltage dips from solar panels and wind turbines, compact size, and rapid transition between power sources. These features can actively manage and boost grid stability.

The startup's mission is particularly timely, as the world transitions to renewable energy sources and grapples with the challenges of integrating intermittent power into the grid. Solid-state transformers can play a crucial role in ensuring a stable and efficient energy supply.

Heron Power is not alone in its pursuit to modernize the transformer market. Singapore-based Amperesand is also raising a Series A funding round, following a $12.5 million seed round in early 2024. Notably, Amperesand also counts Tesla alumni among its executive ranks, underscoring the talent and expertise that Tesla has nurtured in the energy technology space.

The emergence of startups like Heron Power and Amperesand highlights the growing interest in innovation within the energy sector. As the world continues to shift towards a more sustainable and decentralized energy landscape, companies like these are poised to play a critical role in shaping the future of the electric grid.

With its Series A funding, Heron Power is well-positioned to drive the development and commercialization of its solid-state transformers. As the company moves forward, it will be interesting to observe how its technology is adopted and integrated into the existing grid infrastructure. One thing is clear – the electric grid is on the cusp of a significant transformation, and Heron Power is at the forefront of this revolution.