Key facts
- Helion and CFS received $260 million in government awards for fusion reactor technology.
- The awards come with non-voting equity stakes for the U.S. government.
- Helion's stake is approximately 1%, based on a $15.5 billion valuation.
- The government's stake in CFS is not publicly disclosed.
- This equity-for-award model is becoming more common for U.S. government investments.
The U.S. government is increasing its investment in fusion power startups, with Helion and Commonwealth Fusion Systems (CFS) receiving a combined $260 million in awards from the Department of Commerce under the CHIPS and Science Act. This funding is intended to support the development of advanced semiconductors for their fusion reactors. In a shift from previous government support, these awards come with the condition that the companies grant non-voting equity stakes to the government. Helion will receive approximately 1% equity based on its $15.5 billion valuation, while CFS's stake size is not yet public. This approach aims to align taxpayer interests with the commercial success of these fusion ventures.