Helion Secures $225M to Advance Semiconductors Boosting Fusion Power Plant Efficiency

Image: Helion Energy’s facility in Everett, Washington, US, on Wednesday, July 10, 2024. Helion Energy plans to open the world’s first fusion power plant by 2028 and to supply Microsoft Corp. with energy from it soon after. Photographer: Mike Kane/Bloomberg · Source

Fusion startup Helion receives $225 million in funding to develop advanced semiconductors that could double the output of its fusion power plants, aiming to supply Microsoft with electricity by 2028.

Helion, a fusion energy startup, has obtained $175 million in federal funding alongside an additional $50 million in private investment to develop and manufacture advanced semiconductors and power electronics designed to enhance the efficiency of its fusion power plants. This funding, awarded under the U.S. Department of Commerce's CHIPS Act, supports Helion's effort to increase the efficiency of electricity flow through semiconductor devices, which currently lose 5% to 10% of power during operation. According to Helion's co-founder and CEO David Kirtley, cutting these losses in half could effectively double the power output of their fusion systems.

The initiative includes establishing a new automated semiconductor production line in Washington State, which would be the first in the United States to manufacture a specialized class of high-voltage and pulsed semiconductors. These components are critical not only to fusion reactors but also have applications in manufacturing, wastewater treatment, medicine, and defense. Currently, no U.S. manufacturers provide these semiconductors.

Helion's approach to fusion energy utilizes a field-reversed configuration reactor that converts fusion reaction energy directly into electricity via magnetic fields and capacitors, bypassing traditional steam turbine methods. Efficient power electronics are central to this direct energy conversion technique, enabling reactors to generate surplus power vital for commercial viability.

The awarded $175 million will support semiconductor and packaging research and development in Washington, with approximately $80 million allocated to joint R&D efforts with GlobalFoundries in Vermont focused on advanced semiconductor tooling and process development. Helion’s first power plant, Orion, is under construction and slated to provide electricity to Microsoft’s grid by 2028, though the newly funded semiconductor advancements are expected to improve efficiency in future plants rather than Orion.

The technology’s broader impact spans beyond fusion energy, promising improvements in electric vehicles, consumer electronics, and defense applications, notably in energy weapons for drone defense. While defense potential exists, Helion emphasizes its primary goal remains enhancing domestic energy supply and national energy security. Altogether, Helion has raised over $3.2 billion, ranking it among the best-funded fusion startups worldwide.