Former Tesla CEO and Heron Power CEO Drew Baglino has launched a heat pump startup

Former Tesla CEO Drew Baglino has quietly launched a hot start, TechCrunch has learned.

This is the second company Baglino has founded in the two years since he left Tesla. Sources have confirmed the existence of the startup, which is called Sadi Thermal Machines, and TechCrunch has reviewed the company’s records in Delaware and California.

Sadi was founded in June 2025 and shares its headquarters in Scotts Valley, California Heron Powerthe beginning which was also established by Baglino, that they sell solid state transformersaccording to company records.

The company’s name refers to Nicolas Léonard Sadi Carnot, a French physicist whose work formed the basis of modern thermodynamics, including the internal combustion engine and the heat pump. Little is known about Sadi Thermal Machines, however, it seems that it employs several Tesla alumni, according to a LinkedIn comment by a source familiar with the startup.

TechCrunch was unable to reach Baglino or the PR firm representing Heron Power. This article will be updated if they respond.

Before founding Heron Power and Sadi Thermal Machines, Baglino spent nearly two decades at Tesla, where he worked on everything from the original Roadster to the Powerwall and Powerpack energy storage systems. When Baglino he left Tesla in April 2024, he rose to vice president, overseeing the development of the company’s electronic technology, including electric motors, batteries, and electronics.

Along the way, Baglino worked on Tesla’s heat pumps. He is credited as the founder of the patent for thermal management systems that use two cooling loops, one to cool the battery and the other to cool the drivetrain components.

To manage these two loops, Baglino and his colleagues developed three- and four-way valves that give the EV’s thermal management system a high degree of control over the temperature of the various components. Such a system allows Tesla to harvest heat from the traction motor, for example, and use it to heat the battery to ensure it works better for fast charging in cold weather.

The patent lays out some of the design principles that form the basis of Tesla’s “octovalve” system that first appeared in the Model Y. The car’s heat pump controls the temperature of the cabin, batteries, and motors, all in a package that’s close to the size of the suitcase.

When it first started, Tesla’s octovalve system was more advanced than its competitors, and for a short time, the company decided to develop a heat pump for domestic and commercial use. Tesla executives, including Baglino and CEO Elon Musk, considered such a plan during the call for money in 2022. They discussed a heat pump that would handle both HVAC and water heating.

“In terms of perspective, it’s very consistent,” Baglino said. “We’ve learned a lot about how to create efficient and reliable heat pumps that work in all environments and we’re excited about the idea of ​​working on this problem one day.

Building a heat pump for the home, he added, is relatively easy. “It’s very difficult in the car,” he said. “It depends on the volume and the volume and the power.”

But Musk then added one of his most famous endings. “It’s something we’re going to do, but we’re not committing to it yet,” he said. Tesla did not produce residential HVAC or water heating systems.

“People will still do it,” Baglino said in a phone call. With Sadi Thermal Machines, he seems poised to do well on the word.