Proxima Fusion, a German company focused on fusion energy, announced a funding round of 411 million euros ($468 million) on Tuesday, September 2, 2025. The funding round established the company's valuation at $2.7 billion.

XTX Ventures and East X Ventures led the funding round. Google and RWE participated as strategic investors. Additional participants included Plural, UVC Partners, Balderton, and Cherry Ventures.

Proxima Fusion is developing stellarator technology with the goal of building Europe's first commercial fusion power plant. The company anticipates having its fusion demonstrator operational in the early 2030s, targeting a commercial power plant later in the same decade.

The newly secured funding will be allocated to expanding high-temperature superconducting cable and magnet production. It will also be used to develop engineering and manufacturing systems necessary for stellarators. The company plans to hire new staff in engineering, manufacturing, and operations.

Nuclear fusion is a process that combines two hydrogen atoms to create one helium atom, which releases energy. This differs from all current nuclear power plants, which utilize fission, a process that involves splitting atoms. Fusion technology has not yet been deployed commercially.

Francesco Sciortino, Cofounder and CEO of Proxima Fusion, said, "Europe is racing with the United States and China to get to the first fusion power plant." Sciortino also stated, "Proxima's financing demonstrates that Europe can not only invent breakthrough technologies, but also build globally competitive companies around them."

Why It Matters

The funding round for Proxima Fusion involves investor participation in fusion energy, a technology not yet commercially deployed. The investment includes entities like Google and RWE, alongside the company's stated goal of establishing Europe's first commercial fusion power plant.