Startup Modal Motors aims to build rare-earth-free electric motors outside China

Modal Motors, a participant in TechCrunch's Startup Battlefield 200, is developing electric motors that eliminate rare-earth magnets to reduce dependence on Chinese supply chains. The company's designs target drones, fans, blowers, and actuators, with a focus on high torque density and low mass, plus a flat 'Hybrid Enigma Drive' for compact spaces. Founder Michael Van Steenburg argues that domestic rare-earth production remains years away, making his magnet-free approach a more immediate solution for U.S. manufacturing.
Van Steenburg's background includes work on a hybrid gas-electric drivetrain in the late 1990s that was intended for China's "People's Car," a project he now views with irony given shifting geopolitical dynamics. Modal Motors is developing two distinct products: a compact motor optimized for drones, fans, blowers, and actuators that prioritizes minimal mass alongside high torque density, and the "Hybrid Enigma Drive," a flat, planar motor designed for installation in low-profile spaces. The startup is participating in TechCrunch's Startup Battlefield 200 and will compete at Disrupt in October.
This approach could reshape portions of the U.S. robotics and drone manufacturing sector by offering a supply chain alternative that bypasses Chinese rare-earth materials entirely. If successful, Modal Motors may reduce production delays and costs for domestic hardware companies, potentially accelerating American manufacturing independence. However, the broader industry impact depends on whether magnet-free designs can match the performance of conventional motors at scale, and whether other manufacturers adopt similar strategies.