Fusion Startups Raise Billions as Commonwealth Fusion Systems Closes $863 Million Round

The company raised $240 million in February led by NantWorks. General Fusion has raised over $600 million. The company laid off 25 percent of its staff in spring 2025 after running short of cash and received $22 million in a pay-to-play round in August.

1 million in SAFE notes from nearly 70 investors in November, according to securities filings reported by the Globe and Mail. The company has raised $612 million according to PitchBook. General Fusion announced in January it would go public via a reverse merger with a SPAC that could bring in an additional $335 million.

Inertia Enterprises emerged from stealth in February with $450 million in Series A funding led by Bessemer Venture Partners. The company signed three agreements in April to commercialize technology developed at the National Ignition Facility. Focused Energy raised an oversubscribed $240 million Series A in June, bringing its total private capital raised to $400 million.

Its ST40 prototype generated a 100-million degree Celsius plasma in 2022.

’s STEP Fusion program. Zap Energy announced a partial pivot in April to pursue a hybrid fusion-fission power plant and hired Zabrina Johal as its new CEO.

Type One Energy plans to build a 350-megawatt stellarator on the site of a retired TVA coal power plant and bring it online by the mid-2030s. The company has raised $269 million to date, including an $87 million equity round ahead of a planned $250 million Series B. Proxima Fusion raised €130 million in a Series A, bringing its total raised to more than €185 million.

Kyoto Fusioneering has raised $191 million from investors including 31Ventures, In-Q-Tel, JIC Venture Growth Investments, Mitsubishi, and Sumitomo Mitsui Trust Investment. Marvel Fusion is building a demonstration facility in collaboration with Colorado State University expected to be operational by 2027 and has raised a total of $162 million.

U.S. Innovative Technology Fund, just over two years after a $20 million Series A. The company has raised $130 million in private capital across all rounds. First Light Fusion announced in March 2025 that it would not pursue building its own power plant and would instead offer its core technologies to other companies.

The company uses a two-stage gun that fires a plastic piston to compress hydrogen to 145,000 psi before launching a projectile at the target. U.S. Department of Energy lab announced at the end of 2022 that it had produced a controlled fusion reaction that produced more power than the lasers had imparted to the fuel pellet.

TAE Technologies was founded in 1998 as Tri Alpha Energy and spun out of the University of California, Irvine by Norman Rostoker. General Fusion was founded in 2002 in Richmond, British Columbia, by physicist Michel Laberge.