A Munich-based nuclear fusion startup announced Tuesday that it has secured €411 million — roughly $469.69 million — in a major financing round backed by some of the world’s largest companies, including Alphabet’s Google and German energy giant RWE.
The funding round for Proxima Fusion was led by XTX Ventures and East X Ventures, with Google and RWE participating as strategic investors. The new investment pushes the company’s total valuation to €2.4 billion, or approximately $2.7 billion.
Proxima Fusion’s chief executive, Francesco Sciortino, expressed confidence in Europe’s ability to compete on the global technology stage. “Proxima’s financing demonstrates that Europe can not only invent breakthrough technologies, but also build globally competitive companies around them,” he said in a prepared statement.
German utility RWE contributed €25 million to the round and also signed a separate partnership agreement with Proxima Fusion. Under that deal, the two companies will work together toward constructing the first stellarator fusion power plant on the grounds of a former nuclear fission facility located in Gundremmingen, Bavaria.
Unlike conventional nuclear power plants, which generate energy by splitting atoms — a process known as fission — fusion technology works by combining atoms, mimicking the same reaction that powers the sun. Fusion can be achieved using lasers or powerful magnets. Proponents say the technology holds the promise of producing vast amounts of clean energy without generating pollution, radioactive waste, or greenhouse gas emissions.
