DG Matrix, Which Builds Solid-State Transformers to Handle up to 2.4 MW and Boost Data Center Power Efficiency, Raised a $60M Series A Led by Engine Ventures (Tim De Chant/TechCrunch)

Why It Matters

The funding enables faster deployment of high‑efficiency power conversion, lowering operating costs and carbon footprints for data centers—a critical lever for the industry’s sustainability and scalability goals.

Key Takeaways

• DG Matrix raised $60M Series A funding.
• Solid-state transformers support up to 2.4 MW capacity.
• SSTs improve data center power efficiency and density.
• Engine Ventures leads investment, backing power‑tech innovation.
• Legacy transformers limit scaling; SSTs offer digital control.

Pulse Analysis

Data centers today consume more electricity than many countries, yet they still rely on transformer designs that haven’t fundamentally changed in a century. Conventional transformers suffer from size, weight, and limited controllability, creating bottlenecks as server racks become denser and power‑intensive workloads grow. This legacy infrastructure also contributes to higher losses and complicates integration of renewable energy sources, prompting operators to seek smarter, more adaptable power solutions.

DG Matrix’s solid‑state transformer technology replaces bulky iron cores with silicon‑based power electronics, delivering up to 2.4 MW per unit while achieving efficiency gains of 5‑10 percent over traditional models. The digital architecture allows real‑time monitoring, rapid response to load fluctuations, and seamless integration with energy‑management software. By shrinking the physical footprint and improving power quality, SSTs enable data‑center designers to pack more compute power per square foot without sacrificing reliability, a decisive advantage for hyperscale operators facing ever‑tightening space constraints.

The $60 million Series A, spearheaded by Engine Ventures, signals strong investor confidence in power‑electronics innovation as a growth frontier. The capital will fund scaling of manufacturing, expand the engineering team, and accelerate field trials with early‑adopter customers. As sustainability mandates tighten and edge‑computing proliferates, the market for high‑efficiency, modular power conversion is set to expand dramatically, positioning DG Matrix to become a pivotal supplier in the next generation of data‑center infrastructure.