Switched Source secured more than $17 million in funding to scale deployment of its Phase-EQ grid technology and expand manufacturing and production capacity. Cubit Capital led the round, with participation from ABB, Emerald Technology Ventures, Red Cedar Ventures, Southern States, Southwire Company, and additional strategic investors.
The financing will support a broader pipeline of Phase-EQ deployments across North America, while also funding manufacturing, testing, quality, and supply chain expansion.
Switched Source is adding manufacturing, quality, and supply chain roles at its Chicago headquarters.
The company also plans to continue developing additional solutions for utility distribution systems.
Switched Source’s flagship Phase-EQ product is an automated power-flow control device designed for distribution grids.
The system dynamically balances power across the three phases on distribution circuits, helping utilities improve reliability, power quality, and available load-serving capacity.
The technology is designed to address uneven and volatile electricity demand created by trends such as electric vehicle charging and heat pump adoption.
Switched Source said each Phase-EQ deployment can enable service for approximately 100 to 200 additional homes without requiring construction of new infrastructure.
The company’s technology has surpassed 150,000 operating hours across 12 utility service areas.
Field data from active deployments has shown increases of 10% to 25% in load-serving capacity.
Switched Source said Phase-EQ deployments typically require 14 to 20 weeks from purchase order to site activation, compared with one to three years for many conventional distribution infrastructure upgrades.
The funding follows the launch of a five-year, $99 million project under the U.S. Department of Energy’s Grid Resilience and Innovation Partnerships Program.
That project will deploy Phase-EQ units in the Southeast to support storm restoration and help utilities rebalance power when distribution feeders are reconfigured.
The system is also intended to help utilities restore service faster and reduce the risk of overloading constrained power lines.
Switched Source has been developing grid-enhancing power-flow control technologies since 2016, with a focus on helping utilities unlock existing infrastructure capacity and improve grid flexibility.
KEY QUOTES:
“Utilities are planning for a grid that is changing faster than it ever has before, but many of the tools they have at their disposal take years to implement and are 40+ year commitments. We need to give utilities more options: tools that can be deployed quickly, improve the performance of the grid they already have, and preserve flexibility as demand evolves. This investment allows us to put more of those tools in utilities’ hands at a time when speed to power, affordability, and reliability all matter.”
Charles Murray, Co-Founder and CEO of Switched Source
“At Cubit Capital, we partner with courageous leaders confronting foundational problems. Grid capacity is one of these growing challenges, with consequences for utilities, businesses, and the communities they serve. Switched Source combines leadership that understands the utility market with technology that has demonstrated its value in operating environments. With major utility rollouts already underway, they have built a strong foundation for continued growth and a pragmatic pathway for modernizing our electric infrastructure at scale.”
Philip Carson, Partner at Cubit Capital
“Utilities need technologies that integrate with existing electrical systems while improving the flexibility and performance of the distribution grid. Switched Source has developed a field-tested approach to a real operational challenge. We see an opportunity for its technology to support utilities as they add capacity, improve efficiency, and prepare their networks for continued load growth.”
Deni Miller, U.S. Electrification Business Lead at ABB
“As utilities face mounting pressure to improve reliability while keeping customer costs affordable, interest in non-wires solutions has never been greater. Switched Source stands out because the team understands how utilities make decisions. They have translated that insight into a practical technology that unlocks existing grid capacity today, helping utilities meet growing demand faster and more cost-effectively.”
Frank Balas, Senior Investment Director at Emerald Technology Ventures
“The distribution grid will require solid-state solutions to support rising electricity demand and increasing grid complexity. We see Switched Source as a proven leader with deployed equipment that provides tangible benefits to utilities and their customers.”
John Paserba, President and CEO of Southern States
