Drew Baglino, the former Senior Vice President who spent nearly two decades as a cornerstone of Tesla’s engineering team, is doubling down on the green energy transition. Following his departure from the EV giant in April 2024, Baglino has quietly established Sadi Thermal Machines, a new startup focused on heat pump technology.
This venture marks Baglino’s second major move in the climate tech space in as many years. Sadi Thermal Machines currently shares a headquarters in Scotts Valley, California, with Heron Power, another Baglino-led startup that specializes in solid-state transformers.
Building on a Thermal Legacy
Baglino’s shift toward residential heat pumps is a logical progression of his work at Tesla. During his tenure, he was a key architect behind the “octovalve” system first introduced in the Model Y. This sophisticated thermal management system allows a vehicle to harvest waste heat from the motor and battery to warm the cabin or preheat the cells for fast charging.
While at Tesla, Baglino and CEO Elon Musk frequently discussed the potential for a residential HVAC and water heating system. On a 2022 earnings call, Baglino remarked that designing for the home would actually be “easier” than for a vehicle, where engineers are severely constrained by weight, volume, and extreme environmental variables.
From Theory to Market
The startup’s name appears to be a tribute to Nicolas Léonard Sadi Carnot, the French physicist whose pioneering work in the 19th century laid the groundwork for modern thermodynamics and the science behind heat pumps.
What We Know So Far
- The Team: Early indications and LinkedIn data show that Sadi Thermal Machines is already attracting a roster of Tesla alumni, bringing deep expertise in power electronics and thermal loops.
- The Mission: The company aims to address the residential sector, filling a gap that Tesla has yet to bridge despite years of public interest.
- The Timeline: Company filings indicate the entity was officially formed in June 2025.
By leveraging his experience with high-efficiency vehicle systems, Baglino is positioned to bring a new level of sophistication to home climate control, fulfilling a mission to accelerate the global transition to sustainable energy.
