$10 M investment for Gridco Systems to develop new Internet-like power grid
Gridco Systems, a company that builds power grid networking gear and software, has closed a $10 million deal with the investors including General Catalyst, North Bridge venture partners, Lux Capital, and RockPort Capital.
Gridco Systems was founded almost four years ago by Naimish Patel who co-founded optical networking company Sycamore Networks. He had an idea to use digital solid state transformers and software that processes data in real time to create a new type of smart power grid product for utilities that resembles an internet network product rather than a traditional utility tool.
Traditional transformers are electrical devices that change the voltage of electricity on the power grid. Solid state transformers are made up of semiconductors, transformers and control circuits that provide more digital computing-based control over the distribution.
The utility could benefit from their grids being self-healing and smarter in case one part of a grid goes down, other areas of the grid can route around that part. Traditional electromechanical grid equipment does not usually have built-in smart digital systems and software.
According to the Boston Business Journal, Gridco Systems plan to launch their new equipment more widely in January at the power grid conference Distributech.