# Heron Power Secures $140M for Grid-Tech Scale-Up
Heron Power, the advanced transformer startup founded by former Tesla executive Drew Baglino, is raising between $100 million and $200 million in a major funding round to accelerate the commercialization of its revolutionary solid-state transformer technology[8]. This significant capital injection represents a major milestone for the company as it scales production and deployment of its Heron Link solution across the U.S. electrical grid.
The Vision Behind Heron Power's Grid Transformation
Heron Power is addressing a critical infrastructure bottleneck: while renewable energy technologies like solar and batteries have scaled from a few gigawatts in 2014 to more than 500 GW in 2024, the equipment connecting these sources to the grid hasn't fundamentally changed in over a century[3]. The company's solid-state transformer technology promises to modernize this aging infrastructure by delivering faster, more compact, and more reliable solutions than traditional analog transformers[4].
Founded by Drew Baglino, a longtime Tesla executive who previously served as Senior Vice President of Powertrain Engineering, Heron Power brings deep technical expertise to the challenge[2]. The team has collectively designed and deployed over 80 gigawatts of grid-connected power electronics over the past decade[1]. With electrification projected to triple electricity demand and artificial intelligence's exponential power requirements, the timing for grid modernization has become critical[3].
Strategic Funding and Investor Confidence
Heron Power's initial $38 million Series A funding round in May 2025 was led by Capricorn Investment Group's Technology Impact Fund, with participation from prominent investors including Breakthrough Energy Ventures (backed by Bill Gates), Energy Impact Partners, Gigascale Capital, Powerhouse Ventures, and Valor Equity Partners[1][7]. The round also included investments from Tesla co-founder JB Straubel and former Tesla CFO Zach Kirkhorn, bringing total funding to $43 million at that time[1].
The company's latest funding round, announced in early February 2026, demonstrates continued investor confidence in Heron Power's mission to transform power grid infrastructure[8]. This capital will accelerate team expansion and support the manufacturing scale-up of the Heron Link across U.S. facilities[1].
Commercialization Timeline and Real-World Deployment
Heron Power is executing an aggressive commercialization strategy with clear milestones. The company targeted an internal pilot in 2026, with partner installations beginning in early 2027[1][3]. The company has already established partnerships with major energy and datacenter developers, positioning itself at the forefront of the grid modernization movement[1].
The Heron Link solid-state transformer is designed to replace legacy transformers and power converters that have dominated the electrical grid for generations[6]. By focusing on medium-voltage transformers—which cover applications ranging from large substations to the green metal boxes found in residential neighborhoods—Heron Power addresses a broad spectrum of grid infrastructure needs[4]. Manufacturing will take place in the U.S., supporting domestic energy infrastructure development[1].
The Broader Impact on Energy Infrastructure and AI
As artificial intelligence data centers demand increasingly massive amounts of power, grid modernization has become essential for supporting the next generation of computing infrastructure[5]. Heron Power's technology enables faster and more reliable connections for renewable energy sources and data centers to the grid, addressing what the company identifies as a critical constraint on the electric economy[1][3].
The investment in Heron Power reflects broader market recognition that power electronics innovation can bring exponential improvements to energy infrastructure, similar to Moore's Law in semiconductors[1]. This technological advancement is crucial for meeting surging energy demand while maintaining grid reliability and supporting the transition to clean energy[1].
Frequently Asked Questions
What is Heron Power's core technology?
Heron Power develops solid-state transformers called the Heron Link, which are designed to replace century-old analog transformers and power converters[4]. These solid-state devices are faster, more compact, and more responsive than traditional transformers, enabling more efficient power flow across the electrical grid[4].
Who founded Heron Power and what is his background?
Heron Power was founded by Drew Baglino, a former Tesla executive who served as Senior Vice President of Powertrain Engineering[2]. Baglino brings extensive experience in power electronics and grid-connected systems, and his team has collectively designed and deployed over 80 gigawatts of grid-connected power electronics[1].
When will Heron Power's products be available for deployment?
Heron Power targeted an internal pilot in 2026, with partner installations beginning in early 2027[1][3]. The company is currently collaborating with major energy and data center developers to prepare for these initial real-world deployments[6].
How much total funding has Heron Power raised?
As of May 2025, Heron Power had raised $43 million total, including its $38 million Series A funding round[1]. The company is currently raising between $100 million and $200 million in additional funding announced in February 2026[8].
Why is grid modernization important right now?
Current electricity infrastructure cannot meet surging energy demand, which holds back the electric economy and drives energy bills higher[1]. Additionally, renewable energy technologies and data centers have scaled dramatically, but the grid infrastructure connecting them hasn't been updated in a century, creating a critical bottleneck[3].
What makes Heron Power's investors particularly noteworthy?
Heron Power's investors include prominent venture capital firms, but notably also include Tesla co-founder JB Straubel and former Tesla CFO Zach Kirkhorn, as well as Breakthrough Energy Ventures, which is backed by Bill Gates[1][7]. This combination of experienced energy entrepreneurs and climate-focused investors demonstrates strong confidence in the company's mission and execution capability.
🔄 Updated: 2/18/2026, 1:11:08 PM
**LIVE NEWS UPDATE: Heron Power's $140M Grid-Tech Boost Sparks Global Grid Modernization Race**
Heron Power's $140M Series B funding, led by Andreessen Horowitz’s American Dynamism Fund and Breakthrough Energy Ventures, will fund a U.S. factory producing **40 gigawatts** of solid-state transformers annually—equivalent to **10-15% of non-China global production** and half of Texas's peak power demand—directly addressing surging worldwide needs from data centers, solar, and batteries that have scaled to over **500 GW** since 2014.[2][3] Customers have already signaled demand exceeding **40 GW**, positioning the tech to ease grid interconnection bottlenecks ami
🔄 Updated: 2/18/2026, 1:21:11 PM
Heron Power's $140 million Series B funding positions the startup to capture 10-15% of annual transformer production outside China as it scales manufacturing, intensifying competition in a market where many aging grid transformers are approaching replacement age.[1] The company plans to produce 40 gigawatts of Heron Link transformers annually by ramping production over the next two years, equivalent to half of Texas's peak power demand, putting pressure on competitors as the industry race to modernize century-old grid infrastructure accelerates.[1] Founder Drew Baglino emphasized the company's execution advantage, stating "We will push as hard as we can," backed by investor confidence from Andreessen Horowitz's
🔄 Updated: 2/18/2026, 1:31:15 PM
I cannot provide a news update on consumer and public reaction to Heron Power's funding announcement, as the search results contain no information about public or consumer responses to this development[1][2][3]. The available sources focus exclusively on the company's $140 million Series B funding, its production plans, and technical capabilities, but do not include any quotes, statements, or data regarding how consumers, the public, or market observers have reacted to the announcement.
To write an accurate news update on this angle, reporting on actual consumer sentiment, social media reactions, or public commentary would be needed.
🔄 Updated: 2/18/2026, 1:41:12 PM
**Heron Power's $140M Funding Intensifies Competition in Solid-State Transformer Market**
Former Tesla executive Drew Baglino's Heron Power closed a **$140 million Series B round** on Wednesday to manufacture solid-state transformers at scale, positioning itself against multiple competitors as aging grid infrastructure requires replacement.[2] The funding—led by Andreessen Horowitz's American Dynamism Fund and Breakthrough Energy Ventures—enables Heron Power to build a factory capable of producing **40 gigawatts annually**, equivalent to roughly **10% to 15% of annual production outside China**, though Baglino acknowledged that "competition will be stiff"
🔄 Updated: 2/18/2026, 1:51:12 PM
I cannot provide the consumer and public reaction you've requested because the search results do not contain information about how consumers or the public have responded to Heron Power's $140 million funding announcement[1][3]. The available sources focus exclusively on the company's funding details, production plans, and technology capabilities, with no coverage of public sentiment, social media reactions, or consumer commentary on the news.
To deliver an accurate breaking news update on this angle, I would need search results that include public statements, social media discussion, industry analyst reactions, or consumer surveys related to this announcement.
🔄 Updated: 2/18/2026, 2:01:18 PM
**Heron Power Competitive Edge Update:** Heron Power's $140M Series B, following a $38M Series A in May, positions it to capture 10-15% of annual global solid-state transformer production outside China via a new factory targeting 40 gigawatts output, equivalent to half Texas's peak power demand[2][4]. Amid stiff competition as grid transformers age, founder Drew Baglino's Tesla-scaling expertise and customer demand for over 40 gigawatts give Heron a production speed advantage, with pilot lines starting early 2027[2]. "We will push as hard as we can," Baglino stated, as data centers—now a third of its business—drive the grid-tech race
🔄 Updated: 2/18/2026, 2:11:19 PM
**Heron Power's $140 million Series B funding marks a significant competitive acceleration in the solid-state transformer market, with the startup planning to capture 10-15% of annual production outside China—positioning it against established competitors as legacy transformers reach replacement age.[2]** Drew Baglino's company is leveraging his Tesla manufacturing expertise to move faster than rivals; the startup will begin pilot production in early 2027 and ramp full-scale output over two years, while competitors like DG Matrix have only just raised $60 million for their Series A and are rolling out initial units in June.[2][7] The funding surge reflects intensifying competition as data center operators and AI companies scramble for
🔄 Updated: 2/18/2026, 2:21:17 PM
**Heron Power Secures $140M for Grid-Tech Scale-Up**
Heron Power, founded by former Tesla executive Drew Baglino, closed a $140 million Series B round led by Andreessen Horowitz's American Dynamism Fund and Breakthrough Energy Ventures to manufacture solid-state transformers at gigawatt scale[2]. The company plans to build a factory capable of producing 40 gigawatts of Heron Link transformers annually—representing 10-15% of global production outside China and equivalent to half the peak power demand of Texas—with pilot production beginning in early 2027[2]. The funding reflects surging global demand from hypersc
🔄 Updated: 2/18/2026, 2:31:28 PM
**Heron Power Secures $140M for Grid-Tech Scale-Up**
Former Tesla executive Drew Baglino's startup Heron Power closed a $140 million Series B round on Wednesday led by Andreessen Horowitz's American Dynamism Fund and Breakthrough Energy Ventures to manufacture solid-state transformers at unprecedented scale.[2] The company plans to build a factory producing 40 gigawatts annually—equivalent to 10-15% of global transformer production outside China and roughly half of Texas's peak power demand—positioning it to address a critical bottleneck as AI data centers and renewable energy systems worldwide race to modernize aging electrical infrastructure.[2] Customer demand has already
🔄 Updated: 2/18/2026, 2:41:17 PM
**Heron Power Funding Update: Shifting Solid-State Transformer Race**
Heron Power's $140M Series B, following a $38M Series A in May, positions it to capture 10-15% of annual global solid-state transformer production outside China via a new factory targeting 40 gigawatts output starting pilots in early 2027—equivalent to half Texas's peak power demand.[1][4] This cash infusion, led by Andreessen Horowitz and Breakthrough Energy Ventures, intensifies competition as grid transformers age, with founder Drew Baglino's Tesla-scaling expertise providing a key edge: "We will push as hard as we can."[1] Customers have already signaled demand exceeding 40 gigawatts, pres
🔄 Updated: 2/18/2026, 2:51:17 PM
**Heron Power Funding Update: Experts Weigh In on Grid-Tech Pivot**
Industry analysts highlight Heron Power's $140M Series B—led by Andreessen Horowitz’s American Dynamism fund and Breakthrough Energy Ventures—as a pivotal bet on solid-state transformers amid surging AI data center power demands projected to double globally per the International Energy Agency[3]. Founder Drew Baglino, ex-Tesla VP, emphasized the tech's edge, stating “We can remove 70% of the gear involved” and deliver “savings of an order of magnitude” for data centers by integrating lithium-ion batteries for 30-second power bridging[1]. Experts note the planned 40-gigawatt factory, equating to
🔄 Updated: 2/18/2026, 3:01:35 PM
**Heron Power Secures $140M for Grid-Tech Scale-Up**
Heron Power, founded by ex-Tesla executive Drew Baglino, closed a $140 million Series B funding round led by Andreessen Horowitz's American Dynamism Fund and Breakthrough Energy Ventures to accelerate manufacturing of solid-state transformers for data centers and electrical grids[1]. The company plans to build a factory capable of producing 40 gigawatts of transformers annually—equivalent to 10-15% of global production outside China and roughly half the peak power demand of Texas—with pilot production beginning in early 2027[1]. The funding reflects surging international deman
🔄 Updated: 2/18/2026, 3:11:28 PM
I cannot provide the requested news update because the search results contain no information about regulatory or government response to Heron Power's $140 million funding announcement. The available sources focus on the funding itself, the company's technology, customer demand, and investor participation, but do not address any statements, actions, or positions from government agencies or regulatory bodies regarding this development.
To fulfill this request accurately, additional sources covering official responses from entities such as the U.S. Department of Energy, Federal Energy Regulatory Commission (FERC), or relevant state regulators would be needed.
🔄 Updated: 2/18/2026, 3:21:48 PM
**LIVE NEWS UPDATE: Heron Power's $140M Boost Reshapes Solid-State Transformer Race**
Heron Power's $140M Series B, following a $38M Series A in May, positions it to capture 10-15% of annual global solid-state transformer production outside China via a new factory targeting 40 gigawatts yearly—equivalent to half Texas's peak power demand—after customers signaled demand exceeding 40 gigawatts.[2][5] This cash infusion, led by Andreessen Horowitz and Breakthrough Energy Ventures, intensifies competition in a maturing market where old grid transformers face replacement, with founder Drew Baglino's Tesla-scaling expertise providing a key edge: "We will push as har
🔄 Updated: 2/18/2026, 3:31:33 PM
Heron Power, founded by former Tesla VP Drew Baglino, announced a **$140 million Series B funding round** to build a manufacturing facility capable of producing 40 gigawatts of solid-state transformers annually—equivalent to roughly 10-15% of non-Chinese global annual production.[1][3] The funding surge reflects urgency among tech giants: customer demand already exceeds 40 gigawatts, and data center operators are scrambling to secure reliable power infrastructure as AI expansion collides with grid capacity bottlenecks.[1][3] Industry observers note the investor coalition—led by Andreessen Horowitz's American Dynamism fund and Breakthrough Energy Ventures