AI for Founders with Ryan Estes Building virtual power plants with AI and blockchain
Solmag.ai and the Future of Peer-to-Peer Energy
In this episode of AI for Founders, Ryan Estes interviews Alex, founder of Solmag.ai, a company building virtual power plants that enable peer-to-peer solar energy trading. From his journey after a first startup exit to a mission of helping humanity reach Type I civilization on the Kardashev scale, Alex shares how Solmag is tackling energy distribution, grid optimization, and decentralized networks.
Listeners will learn how communities can share surplus solar power, what regulatory shifts are coming in Europe, how AI is used to price and route electricity, and why Solmag could redefine the economics of clean energy. This is a must-listen for founders, climate-tech investors, real estate developers, EV infrastructure operators, and anyone passionate about the future of decentralized energy.
Key Takeaways
- From Exit to Energy: Alex’s search for meaning after a startup exit led to a mission to transform global energy.
- Solmag.ai’s Vision: Virtual power plants connecting solar households.
- Peer-to-Peer Trading: Local energy sharing cuts costs and boosts prosumer revenue.
- Hardware + Cloud: Gateway device and cloud aggregation enable real-time trading.
- Regulatory Landscape: Europe’s 2026 legislation will open new opportunities.
- AI in Energy: Routing algorithms optimize distribution like Waze for electricity.
- Scalability Challenge: Expanding from 100 homes to entire cities.
- Investment Path: Pre-seed round in motion, aiming for Series B growth.
- Future Outlook: 25M solar rooftops today, projected 100M by 2030.
- Big Picture: Humanity must grow energy harnessing 8,700x to reach Type I civilization.
Frameworks Outlined
Kardashev Energy Framework
- Current: Type 0.73
- Type I: Harness all Earth’s energy
- Future: Compact, space-based, or nuclear solutions
Virtual Power Plant Model
- Gateway devices installed in homes
- Cloud aggregation of energy data
- Peer-to-peer transactions within communities
- Scaling network effects for efficiency
Energy Pricing Logic
- Utilities: 30–40% margins
- Solmag: 10% transaction fee
- Users retain ~85% of market value
- Local energy should cost less than long-distance grid supply