Fusion Reactors: Containment and Energy Extraction Methods for Grid-Scale Power Production
ByAinvest
Friday, Sep 12, 2025 5:51 pm ET1min read
MSFT--
Commonwealth Fusion Systems (CFS) stands out as the leader in private fusion investment, securing nearly $3 billion, including an $863 million round in August. CFS's Sparc tokamak reactor, designed by MIT researchers, aims to generate 400 megawatts of electricity by late 2026 or early 2027. Google has already agreed to purchase half of Arc's output, demonstrating confidence in fusion's commercial viability [1].
Helion Energy, based in Everett, Washington, is targeting even more aggressive timelines. With backing from Altman, Reid Hoffman, and Thiel's Mithril Capital Management, Helion plans to deliver electricity from fusion reactions by 2028. Microsoft will serve as the initial customer [1].
Marvel Fusion in Munich follows the inertial confinement approach, aiming to put electricity on the grid by the mid-2030s. The startup has raised over $199 million, with investors including Deutsche Telekom and b2venture [1].
Tokamak Energy in the UK is pursuing a compact spherical tokamak design, which could reduce construction costs for commercial power plants. The company plans to deliver fusion energy by the 2030s [1].
Pacific Fusion, led by Eric Lander, aims to achieve net facility gain by 2030 using pulsed magnetic inertial fusion. The company raised $900 million in Series A funding last October [1].
According to the Fusion Industry Association's 2025 report, private and public investors committed $2.64 billion to fusion companies in the 12 months leading to July, bringing cumulative sector funding to $9.77 billion [1].
Energy Secretary expects fusion to power the world in 8-15 years. Fusion reactors use magnetic confinement or inertial confinement to contain extreme heat and avoid melting. Containment methods include superconducting magnets, divertors, active cooling, and plasma edge control. Energy is extracted through heat transfer and power generation using steam and turbines. Materials science advancements enhance resilience against neutron damage and erosion.
The fusion energy revolution is gaining significant traction, with prominent investors and tech luminaries pouring billions into startups promising virtually unlimited clean energy. Bill Gates, Sam Altman, and Peter Thiel are among the high-profile backers of these nuclear fusion startups, which collectively have raised over $5 billion in private investment [1].Commonwealth Fusion Systems (CFS) stands out as the leader in private fusion investment, securing nearly $3 billion, including an $863 million round in August. CFS's Sparc tokamak reactor, designed by MIT researchers, aims to generate 400 megawatts of electricity by late 2026 or early 2027. Google has already agreed to purchase half of Arc's output, demonstrating confidence in fusion's commercial viability [1].
Helion Energy, based in Everett, Washington, is targeting even more aggressive timelines. With backing from Altman, Reid Hoffman, and Thiel's Mithril Capital Management, Helion plans to deliver electricity from fusion reactions by 2028. Microsoft will serve as the initial customer [1].
Marvel Fusion in Munich follows the inertial confinement approach, aiming to put electricity on the grid by the mid-2030s. The startup has raised over $199 million, with investors including Deutsche Telekom and b2venture [1].
Tokamak Energy in the UK is pursuing a compact spherical tokamak design, which could reduce construction costs for commercial power plants. The company plans to deliver fusion energy by the 2030s [1].
Pacific Fusion, led by Eric Lander, aims to achieve net facility gain by 2030 using pulsed magnetic inertial fusion. The company raised $900 million in Series A funding last October [1].
According to the Fusion Industry Association's 2025 report, private and public investors committed $2.64 billion to fusion companies in the 12 months leading to July, bringing cumulative sector funding to $9.77 billion [1].

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