Helion Raises $2.2B to Advance Fusion Energy Commercialization

Helion Energy Secures $0.5 Billion Series E Funding for Fusion Power Development

Helion Energy, a pioneering clean energy firm dedicated to realizing the potential of fusion power, has announced the completion of its $0.5 billion Series E funding round. An additional $1.7 billion in commitments is contingent upon the achievement of specific, predetermined milestones.

Investment Leadership and Participation

This funding round was spearheaded by Sam Altman, the CEO of OpenAI and former president of Y Combinator. Existing investors, including Facebook co-founder Dustin Moskovitz, Mithril Capital led by Peter Thiel, and Capricorn Investment Group, a prominent sustainable technology investor, also contributed to the round.

The Promise of Fusion Energy

For decades, fusion energy has represented a compelling vision for clean power. The technology offers the advantages of current nuclear fission, but with significantly reduced risks, lower radioactivity during operation, and minimal radioactive waste production. A primary challenge, however, has been achieving a net energy gain – generating more energy from the fusion process than is required to sustain it.

Helion’s Focus: Commercial Electricity Generation

Helion Energy distinguishes itself by prioritizing the practical application of fusion technology. The company’s core objective is to determine if fusion can be harnessed to produce electricity on a commercial and industrial scale.

“While some in the fusion sector concentrate on heat or energy output, Helion is singularly focused on electricity generation,” states David Kirtley, Helion’s co-founder and CEO. “Our aim is rapid, low-cost delivery of industrial-scale power, potentially around 50 megawatts.”

Key Milestone: 100 Million Degrees Celsius

In June of this year, Helion announced a significant breakthrough: becoming the first private company to successfully heat a fusion plasma to 100 million degrees Celsius. This achievement marks a crucial step toward realizing commercially viable fusion electricity.

Following this success, the company initiated construction of a factory dedicated to manufacturing its seventh-generation fusion generator, known as “Polaris.”

A Shift in Strategy and Focus

Helion’s journey hasn’t been without adjustments. The company initially aimed for net power generation within three years, as announced in a $1.5 million funding round in 2014. However, the team refined its approach over time.

“We pivoted to concentrate specifically on electricity, rather than solely on scientific energy milestones,” Kirtley explains. “We needed to demonstrate technologies related to electricity generation and extraction, and secure additional funding to reach those technical goals. This process took longer than initially anticipated.”

Sam Altman’s Expanded Role

As part of the investment, Sam Altman will transition from chairman of the board to executive chairman, taking on a more active role in guiding the company’s commercial strategy.

Kirtley emphasizes Altman’s unique understanding of both physics and business. “He’s been involved in our fundraising since 2015 and possesses a rare combination of scientific insight and entrepreneurial acumen. His increased involvement will accelerate our timelines and facilitate the deployment of our technology.”

Altman’s Vision for a Carbon-Free Future

“I’m delighted to be investing more in Helion, which is by far the most promising approach to fusion I’ve ever seen,” Altman stated. “With a tiny fraction of the money spent on other fusion efforts, and the culture of a startup, this team has a clear path to net electricity. If Helion is successful, we can avert climate disaster and provide a much better quality of life for people.”

Targeting Data Centers as Initial Customers

Helion anticipates that data centers will be among its first customers. These facilities require substantial power and often possess existing power infrastructure, including backup generators.

“Data centers frequently have diesel generators for backup power, providing a few megawatts to sustain operations during grid outages,” Kirtley notes. “However, our ambition extends beyond simply replacing those generators. We aim to provide a cost-effective, carbon-free power source capable of powering entire data centers.”

Scalability and Distributed Power Grids

While the current generation of Helion’s technology isn’t suited for residential applications like Tesla Powerwall, its 50-megawatt generators could power approximately 40,000 homes. This scale opens possibilities for innovative distributed power grid solutions.

Innovative Power Generation Approach

Helion’s technology differentiates itself by bypassing traditional water and steam-based power generation methods.

“Early in my career, I observed that fusion produces inherently electric energy, including the plasma itself,” Kirtley explains. “Yet, the conventional approach involved boiling water – an inefficient, capital-intensive process. We decided to skip that step and utilize inductive energy transfer, mirroring the shift from gasoline engines to electric vehicles.”

Timeline and Commercialization Goals

Helion aims to achieve net electricity generation – producing more power than consumed by the reactor – by 2024. The company’s primary focus at this stage is on commercially viable power generation.

“Our 2024 target isn’t about demonstrating scientific principles; it’s about delivering commercially installed power generation,” Kirtley clarifies. “There’s a substantial market, and we’re committed to deploying this technology as quickly as possible.”

“By prioritizing electricity generation, we can integrate fusion into the broader conversation about climate change and carbon-free energy. This funding will enable us to achieve that goal,” Kirtley concludes.