Type One Energy Fusion Funding: $900M Valuation Amid AI Power Surge

A $900 million valuation. That's the benchmark set by Type One Energy as it closes an $87 million convertible note and gears up for a massive $250 million Series B. Total venture backing for the fusion hopeful has now surged past $160 million, according to sources familiar with the deal.

Type One Energy Fusion Funding and the Data Center Boom

The timing couldn't be better. As AI scales, data centers are projected to consume nearly three times more electricity by 2035. With overall electricity demand forecast to grow by 4% annually, the race for baseload, carbon-free power is hitting a fever pitch. Type One’s approach uses a stellarator—a complex magnetic confinement system designed to harness the power of the stars.

Unlike traditional nuclear fission, fusion doesn't produce long-lived radioactive waste or carry the risk of meltdowns. Type One's design twists magnetic fields into a doughnut shape to keep superheated plasma stable for long durations, a feat previously thought to be decades away from commercial viability.

From Coal to Clean Fusion

In a poetic shift for the energy industry, Type One has partnered with the Tennessee Valley Authority (TVA) to build its first plant at the site of the retired Bull Run coal facility. The project, dubbed 'Infinity Two,' aims to deliver 350 megawatts of clean power to the grid by the mid-2030s.

• Key Backers: Bill Gates’ Breakthrough Energy Ventures, TDK Ventures, and Doral Energy-Tech.
• Strategic Pivot: Selling core technology and IP instead of operating power plants directly.
• Future Growth: Targeting the massive power needs of next-gen AI infrastructure.