Switched Source Raises $17M for Grid Automation

Switched Source has raised more than $17 million to help utilities unlock additional capacity from existing electricity networks instead of relying only on expensive grid expansion.

What happened

The Chicago-based company announced financing led by Cubit Capital, with participation from ABB, Southern States, Southwire, Emerald Technology Ventures and Red Cedar Ventures. Switched Source develops distribution-grid equipment including Phase-EQ, a system that dynamically balances electrical loads across the three phases of a distribution circuit. The goal is to reduce imbalances that can leave parts of the network underused even when others are constrained. The company reports more than 150,000 operating hours across 12 utility service areas and says some deployments have increased load-serving capacity by 10% to 25%. Those performance figures are company-reported and will vary by network.

Why it matters

Electricity demand is rising from AI data centres, electric vehicles, heat pumps and broader electrification, while grid upgrades can take years. Technologies that improve utilisation of existing wires and transformers can provide faster capacity gains without waiting for full infrastructure replacement.

The bigger picture

Grid-enhancing technologies are becoming more important as power bottlenecks shift from generation alone to local distribution. Switched Source's opportunity depends on utility procurement, reliability and whether the economics of targeted upgrades consistently beat conventional reinforcement.