Switched Source Secures $17 Million in Funding
Switched Source, a company based in Chicago, Illinois, has announced a $17 million funding round to scale up its power-electronics solutions. These solutions aim to increase reliability and efficiency in legacy grid infrastructure and distributed energy systems. The round was led by Cubit Capital, with participation from notable investors including ABB, Emerald Technology Ventures, Red Cedar Ventures, Southern States, and Southwire Company.
What Switched Source Does
Switched Source focuses on developing grid-enhancing technologies that help utilities improve the reliability and efficiency of their existing infrastructure. Their flagship product, Phase-EQ, is an automated power-flow control device that dynamically balances power across the three phases on distribution circuits. This technology assists utilities in managing the challenges posed by increasing electric vehicle charging and heat pump adoption. Each deployment of Phase-EQ can potentially serve an additional 100 to 200 homes without requiring new infrastructure.
Use of Funds
The newly secured funds will be directed towards scaling the deployment of Switched Source's Phase-EQ technology across North America. The company plans to expand its manufacturing and production capacities, enhancing its ability to meet growing demand. Additionally, Switched Source will invest in expanding its testing, quality, and supply chain capabilities. This expansion will also involve adding roles in manufacturing, quality, and supply chain management at its Chicago headquarters.
Strategic Developments
Switched Source's Phase-EQ technology has already accumulated over 150,000 operating hours across 12 utility service areas. The device reportedly improves load-serving capacity by 10% to 25% in active deployments. Deployment of Phase-EQ units typically takes 14 to 20 weeks, significantly faster than the one to three years required for conventional infrastructure upgrades.
The funding round follows the launch of a significant $99 million project under the U.S. Department of Energy’s Grid Resilience and Innovation Partnerships Program. This project will see Phase-EQ units deployed in the Southeast to aid in storm restoration and power rebalancing efforts.
Leadership Perspective
Charles Murray, Founder and President of Switched Source, has been instrumental in guiding the company's focus on unlocking infrastructure capacity and enhancing grid flexibility. He stated that utilities are increasingly seeking innovative solutions to address the evolving demands on the grid.