Sam Altman made a bold statement at Davos last year: “We need fusion.” With AI data centers consuming massive amounts of electricity, it’s no surprise that energy has become a top priority. Predicting that the “two currencies of the future” would be intelligence and energy, the OpenAI CEO emphasized the urgent need for breakthroughs—one that he’s personally investing in.
Altman has poured $375 million into Helion Energy, a U.S.-based nuclear fusion company that has already secured future supply deals with Microsoft. Other tech giants are following suit—Bill Gates has backed Commonwealth Fusion Systems, an MIT spinout that has raised $2 billion in private funding, making it the most well-funded player in the industry.
Fusion, though still years away from commercial viability, has become the latest investment trend among billionaires like Jeff Bezos, Eric Schmidt, and Peter Thiel. The promise? A future powered by abundant, non-radioactive energy that could combat climate change. “What better legacy than helping to save humanity?” one industry expert mused.
The Growing Investment in Fusions Energy
According to a report from FusionX, private sector funding in nuclear fusion surpassed $12 billion by the end of 2024. Among the top 10 most-funded fusion companies, six are based in the U.S., two in the U.K. (Tokamak Energy and First Light Fusion), and one each in Canada and Germany (Marvel Fusion).
This dominance of American firms raises concerns about whether Europe, despite pioneering much of the science behind fusion, is losing ground to U.S. investors. Stuart Allen, CEO of FusionX, acknowledges that the U.S. has unparalleled access to mobilized capital, a critical factor in an industry that FusionX estimates will require $60 billion over the next 15 years to develop a commercial fusion power plant.
“The next decade will demand state-backed, large-scale investments similar to past space programs—or today’s AI revolution,” the report concludes.
Europe’s Strength in the Fusion Race
Despite U.S. financial dominance, Europe remains a key player in fusion technology. France is home to ITER, the world’s largest multinational fusion project, which has fostered a thriving ecosystem of specialized manufacturers across the continent.
Governments are also stepping up. Earlier this year, the U.K. government pledged £410 million to support fusion development. Germany’s new CDU-led coalition has promised further investment, with incoming Chancellor Friedrich Merz declaring his ambition to build the world’s first commercial fusion reactor in Germany.
However, Allen argues that being first isn’t necessarily an advantage. “The first fusion machines might be clunky,” he says, drawing a parallel to how second-generation passenger jets outperformed the early pioneers of aviation.
One company embracing this second-mover advantage is Munich-based Proxima Fusion. While Commonwealth Fusion Systems aims to build the first commercial fusion plant in the U.S., Proxima is betting on a more advanced stellarator fusion reactor.
Their goal? To complete a stellarator model coil demonstration magnet by 2027—a breakthrough that could pave the way for a €1 billion pilot plant by 2031.
“We’re skipping a generation of superconductor technology,” says Francesco Sciortino, CEO of Proxima Fusion. “If we succeed, we will change the world.”
Investing in fusion remains risky, as the technology is still in its early stages. However, advances in AI-driven modeling are accelerating progress, making breakthroughs more feasible.
While patience and deep pockets are required, those who succeed in commercializing fusion could control the next great energy revolution—one that could power AI, industry, and entire economies.
With billions on the line, the fusion race is only just beginning.
