Qnetic, a New York-based flywheel energy storage systems (FESS) startup, has initiated low-volume manufacturing of its grid-scale Q500 flywheel in Sacramento, California. The company targets utility-scale deployments in 2026. The Q500 unit offers 500 kWh capacity and can discharge at 125 kW for up to four hours at maximum power or up to 12 hours at reduced output. Early production units are derated to 100-200 kWh during the qualification process, according to company statements Q500 basic spec: 500 kWh, 125 kW, four hours discharge, up to 12 hours at lower power; prototypes derated to 100-200 kWh. Qnetic secured $5 million in funding on March 4, 2026, to support domestic manufacturing, as reported by the Alliance for Competitive Power Qnetic closed $5 million funding round March 4 2026 to begin domestic manufacturing.
Background
Flywheel energy storage systems, known for rapid response, high durability, and extended lifecycle, are suitable for grid services including frequency regulation, peak shaving, and grid resilience. Traditional FESS generally provide high-power but short-duration storage. Qnetic positions the Q500 as an option for longer-duration applications. As of 2023, the United States hosted at least five utility-scale flywheel installations totaling approximately 47 MW, with round-trip efficiencies typically ranging from 85% to 87% As of 2023, at least five utility-scale flywheel systems in US, totaling 47 MW; efficiency typically 85-87%. Life-cycle assessments estimate greenhouse gas emissions from flywheel systems at 49 to 121 kg CO₂-equivalent per MWh, varying with construction materials. The operational phase constitutes the largest share of lifecycle emissions GHG emissions of steel and composite flywheels estimated at 75-121 and 49-95 kg CO₂ eq/MWh; operational phase most GHG-intensive.
Details
The Q500 alpha prototype is currently undergoing testing and derating to accumulate qualification data before reaching full capacity, CEO Michael Pratt stated CEO Michael Pratt confirmed Q500 specs and derating plan. Qnetic is preparing for field testing in partnership with the National Lab of the Rockies and the Electric Power Research Institute (EPRI). The company aims to deploy its first systems in 2026 and publish performance data through a major utility Qnetic partnering with National Lab of the Rockies and EPRI for field testing; aims to field first systems in 2026 and publish utility evaluation results. Qnetic raised $2.1 million through Wefunder in 2025, increasing its total funding to $9.2 million. Investors include SOSV and an undisclosed Saudi investor. The company is seeking an additional $20 million in 2026 Qnetic raised $2.1 million via 2025 Wefunder, total to date $9.2 million; seeking $20 million in 2026.
Qnetic operates internationally with locations in Shanghai, Singapore, and Germany. The Shanghai Technology Center oversees testing of the Q500 and the earlier Vega prototype. In Germany, the company completed prototype installations and tests at Bürgerwindpark Janneby Operations in Shanghai, Singapore, Germany; Shanghai center testing Q500 and Vega; Germany prototype at Bürgerwindpark Janneby.
Outlook
Qnetic intends to expand manufacturing beyond the alpha phase while completing field demonstrations in collaboration with national labs and utility partners. The company's long-duration flywheel technology may serve as a cost-competitive complement to lithium-ion and flow batteries, supporting ancillary services and enhancing resilience in diverse energy storage portfolios.
