TOKYO: Mitsubishi Electric’s ME Innovation Fund has made a strategic investment in Solestial, Inc., a U.S.-based startup pioneering advanced silicon-based solar cells designed specifically for space applications. This marks the tenth investment by the fund, underscoring Mitsubishi Electric’s commitment to enhancing its space business through cutting-edge technology.
The investment comes amid a surge in satellite deployment driven by the miniaturization and cost reduction of satellites, which has fueled rapid growth in low Earth orbit constellations. As satellite launches increase sharply, industry experts express concern about whether the supply of solar cells—critical components for satellite power systems—can meet escalating demand.
Solestial specializes in developing and manufacturing solar cells using silicon heterojunction technology, a method that combines semiconductor materials with different physical properties to produce superior solar cells for space use. Compared to conventional solar cells, Solestial’s products offer multiple advantages: enhanced radiation resistance, lower production costs, faster delivery times, and reduced weight. These features are crucial for the demanding conditions of space and for supporting the growing satellite market.
Mitsubishi Electric aims to leverage Solestial’s high-performance solar cell technology to boost the competitiveness of its space division. The company’s ME Innovation Fund, which focuses on investing in startups with breakthrough innovations in digital and green technologies, sees significant potential in Solestial’s approach to space solar power.
Margo de Naray, CEO of Solestial, expressed enthusiasm about the partnership: “We are very pleased to partner with Mitsubishi Electric through their investment in our company. Our technology is very meaningful for the future of the space industry, and through our partnership with Mitsubishi Electric, we will further accelerate our technological development.” This collaboration is expected to accelerate Solestial’s growth and technological advancements in space solar solutions.
Komi Matsubara, Executive Officer and Vice President of Business Innovation at Mitsubishi Electric, highlighted the strategic fit: “We see tremendous potential in Solestial’s innovative silicon technology. Through our investment and collaboration, we are confident that we can improve the competitiveness of our space business. We are dedicated to maximizing synergies and supporting the growth of the space industry.” Mitsubishi Electric has been evaluating Solestial’s technology for several years and views this investment as a deepening of their partnership.
Solestial’s solar cells are engineered to self-cure radiation damage under sunlight at operating temperatures as low as 65°C, a breakthrough that enables longer-lasting and more reliable power sources for satellites. The company packages these cells into ultrathin, low-mass, flexible solar power modules designed to withstand up to a decade in space. Their manufacturing process is highly automated, allowing for scalable production at costs lower than traditional III-V multijunction solar products, which have dominated space solar power markets until now.
Since opening its manufacturing facility in Tempe, Arizona, in 2023, Solestial has rapidly expanded its production capacity, workforce, and customer base, delivering commercial products to numerous companies. The recent investment from Mitsubishi Electric’s ME Innovation Fund will support further scaling of production to meet growing demand from satellite constellations, lunar projects, and other space applications.
This investment aligns with Mitsubishi Electric’s broader strategy to foster innovation through its ME Innovation Fund, which has a capital commitment of 5 billion yen and focuses on startups worldwide with potential for collaboration in digital and green innovation sectors. The fund is managed in partnership with Global Brain Corporation, which provides due diligence and business support to portfolio companies.
In summary, Mitsubishi Electric’s investment in Solestial represents a significant step toward securing advanced, cost-effective solar power solutions for the expanding space industry. By combining Solestial’s pioneering silicon heterojunction solar cells with Mitsubishi Electric’s extensive expertise and market reach, the partnership aims to address the critical supply challenges in satellite solar power and accelerate technological progress for future space missions
