Private fusion attracting investment and boosting jobs - report

As part of that, total public funding increased by 57 per cent in the last 12 months to $426m. 

The figures come from the Fusion Industry Association (FIA)’s The Global Fusion Industry in 2024 report, which surveyed 45 private fusion companies. 

Total funding came from a range of investments across many of the 45 fusion companies. Notable deals include $100m for Xcimer, $90m for SHINE, and $65m for Helion. 

The US is still the global leader for commercial fusion with 25 companies in the survey, followed by the UK, Germany, Japan, and China, each with three. Switzerland is a new entrant into this year’s report, hosting two fusion companies, while Australia, Canada, France, Israel, New Zealand, and Sweden all have one.  

Job numbers are up too, with over 4,000 people globally employed in private fusion companies, a 34 per cent increase since 2023 (1,034 more employees), and up nearly 300 per cent since 2021 (3,011 more employees). Nearly half of those employed are engineers (48 per cent), a quarter are scientists (25 per cent), and a quarter are in other roles (27 per cent). 

“This year’s continued growth in investment and employee numbers are exactly what we should be seeing in a maturing industry,” Andrew Holland, CEO of the Fusion Industry Association, said in a statement. “In the face of continued challenges in raising capital for ‘deep tech’ ventures, the additional funding underscores confidence in fusion technology's potential to revolutionise the global energy landscape on a timescale that is relevant to investors. Plus, with government policies shifting to direct more public funding into private fusion companies, the major players are aligning behind a shared goal.”

Notable public-private partnerships that have moved forward in the last year include the Milestone-based fusion development program in the United States, the German government’s new Fusion 2040 initiative; the Japanese government’s new Fusion Moonshot goal; and the UK’s Fusion Futures program.

In the fourth year of this report, companies remain resolute in their projected timelines for producing fusion-generated electricity in the 2030s, with 89 per cent of the companies surveyed anticipating that fusion will provide electricity to the grid by the end of 2030s, and 70 per cent of the companies saying that milestone will happen by the end of 2035. 

Major challenges remain to be overcome and, between 2025 and 2030, two-thirds of respondents believe power efficiency will be a major challenge, while the same proportion believe funding will be a barrier to success. 

“Ambitious targets need ambitious resources and a step change in growth will be required once private companies deliver results on their prototype machines,” said Holland. “The growth seen in the last 12 months is positive, but will not be enough to deliver fusion’s ambitious goals. The sector needs continued support from public and private investors if it is to continue to innovate. Fortunately, we are now seeing consistent progress. As prototype and proof-of-concept machines continue to deliver results, this will de-risk investment, and unlock a vast pool of lower-risk capital. The next few years are vital to making the vision of sustainable and abundant fusion energy a reality.”

A copy of the report can be obtained here.