NovaFusionX Targets First Plasma by End-2026 as China’s Data-Centre Power Use Heads for 774 TWh
Updated
Updated · Financial Times · Sep 22
NovaFusionX Targets First Plasma by End-2026 as China’s Data-Centre Power Use Heads for 774 TWh
3 articles · Updated · Financial Times · Sep 22
Summary
NovaFusionX plans to reach “first plasma” by year-end, marking an early milestone in its field-reversed-configuration fusion program as China pushes for new power sources for AI.
774 terawatt hours of electricity use by China’s data centres by 2030—about quadruple current levels, according to Wood Mackenzie—is helping drive that urgency and broader nuclear investment.
Rmb2.4 billion in funding has lifted NovaFusionX to a valuation above Rmb10 billion; the company says it wants net energy gain by 2029 and a first demonstration reactor in the early 2030s.
Rmb3 billion is the estimated cost of that first reactor, and NovaFusionX is already talking with local governments on a site while citing China’s state backing, research base and manufacturing supply chain.
More than half of the world’s 58 conventional reactors under construction are in China, underscoring how Beijing is pairing fission, SMRs and fusion to secure power, industrial leadership and AI capacity.
Will China's massive gamble on experimental fusion and mini-reactors secure its dominance in the global AI race before power grids fail?
With billions pouring into unproven fusion tech, are private investors funding the ultimate clean energy miracle or a massive financial illusion?
Powering the AI Boom: NovaFusionX, Modular Fusion, and China’s $175M Private Race to Commercial Energy by 2030
Overview
As AI data centers in China rapidly shift to high-powered GPUs, their electricity demand is soaring, leading to power supply bottlenecks and strict construction limits in major cities. This drives a move to western regions with abundant energy, but intermittent renewables and batteries cannot provide the 24/7 power needed. The urgent need for clean, reliable baseload power is fueling massive investment in modular fusion, with NovaFusionX adopting a simple, cost-effective FRC-SMR design. However, regulatory gaps, technical hurdles, and the risk of delays threaten progress—if fusion falters, data centers will turn to alternatives like geothermal, gas turbines, and solar-plus-storage.