Axios Pro Exclusive Content

Auto parts giant BorgWarner acquires Rhombus

Alan Neuhauser
Aug 3, 2022
Animated GIF of electric car as a lightening bolt
Illustration: Sarah Grillo/Axios

The auto parts giant BorgWarner has acquired Rhombus Energy, an EV charging infrastructure startup whose focus includes vehicle-to-grid technologies.

Why it matters: There's been plenty of talk about how EVs can supply surplus electricity to homes, offices and the grid — and a handful of automakers have implemented the tech.

  • This acquisition by a Tier 1 industry supplier signals that the idea is moving mainstream.

What's happening: BorgWarner acquired Rhombus Energy from Emerald Technology Ventures, a deal with an enterprise value of $185 million, per BorgWarner.

  • BorgWarner is based in Detroit, with a market cap of close to $9.3 billion. Rhombus Energy, headquartered in San Diego, had raised about $18.8 million through April, per PitchBook.

Context: The Ford F-150 Lightning and the Hyundai Ioniq 5 are among the few EVs sold in the U.S. that include vehicle-to-grid — or V2G — capability.

  • However, the technology is broadly seen as another way to introduce flexible power into the grid, potentially enabling grid operators to draw further electricity during peak demand — and allowing EV owners to be compensated for that service.
  • It's also a selling point for homeowners concerned about resilience to power outages.
Go deeper