DG Matrix Secures $60M to Optimize Data Center Power System

DG Matrix has recently raised US$60M in a Series A round, according to an exclusive report cited by TechCrunch. Engine Ventures led the capital commitment. The round was further enhanced by ABB and a group of climate-conscious investors.

The company develops solid-state transformers intended to replace large, cumbersome power devices once used in data-center settings. Its flagship product, Interport, is designed to optimize electrical management as server density and power load both increase.

Why this technology matters

Modern data-center designs are based on mass-produced hardware designs that were developed many decades ago. Such legacy systems can be described as poorly utilised in terms of space, having a larger thermal output, and a concentration of individual devices charged with energy transmission and protection.

Subhashish Bhattacharya, chief technology officer and co-founder, argues that Interport works like a power router; it pools electricity from photovoltaic arrays, batteries, and the municipal grid and then sends it straight to high-power server racks. Replacing uninterruptible power supplies and ancillary equipment, a single small module can now be used to replace large power-conversion skids.

Economy and dependability increase

The chief executive officer, Haroon Inam, reports that the new configuration has efficiencies of about 98%, in comparison with the traditional systems that are reported to work at a range of 82-90%.

The decrease in the quantity of discrete components simultaneously reduces the failure sites, thus reducing the threat of having operations disruptions and long-term maintenance processes- a factor of paramount significance to the data-center operators.

The company has already won a supply deal with Exowatt, a company that deals with photovoltaic and storage systems that provides continuous power supply to data-center operations.

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An expanded market outside data centers

The technology is also tested to charge an electric vehicle fleet, but approximately 90% of all the current sales pipeline of the company is associated with data centers. The firm has a long-term objective of assisting small local grids within remote communities.

The solar, wind and battery resources could provide its systems with consistent power without the need to construct expensive transmission lines. Tim De Chant, TechCrunch's senior climate reporter, reported on the funding round.