Proxima Fusion, a Berlin-based nuclear fusion developer, has secured €411 million ($469 million) in fresh capital from a consortium of investors led by energy major RWE AG and Alphabet Inc.'s Google, according to Bloomberg Markets. The funding round values the startup at €2.4 billion, reflecting growing industry confidence in advanced nuclear technology as a path toward clean energy generation.
The German startup is pursuing stellarator fusion technology, an alternative approach to the more commonly pursued tokamak design. Proxima Fusion has targeted the 2030s for its first commercial fusion plant, positioning itself among a wave of private companies racing to commercialize fusion energy. The backing from RWE, one of Europe's largest energy utilities, signals traditional power providers' interest in next-generation nuclear capabilities to meet decarbonization goals.
The investment underscores tech giants' growing focus on alternative energy sources to power data centers and support climate commitments. Google and other major technology companies have increasingly invested in energy innovation through both direct venture funding and partnerships with established utilities, as global demand for reliable, clean power continues to rise.