Heron Power raises $140M to ramp production of grid-altering tech

Heron Power, a startup founded by former Tesla executive Drew Baglino, has raised $140 million in a Series B funding round to accelerate production of its solid-state transformers, branded as Heron Link. These transformers are designed to replace traditional iron-core transformers in data centers and the electrical grid, offering advantages such as smaller size, higher efficiency, and intelligent power management. The funding round was led by Andreessen Horowitz’s American Dynamism Fund and Breakthrough Energy Ventures, with participation from several other investors. The company plans to build a factory capable of producing 40 gigawatts of transformers annually, aiming to start pilot production in early 2027 and scale up over the next two years. Heron Power’s solid-state transformers address key challenges faced by data centers by converting medium voltage electricity to the 800-volt power required by modern server racks, handling up to 5 megawatts each. Their modular design allows for quick replacement of faulty components, reducing downtime compared to traditional transformers