Introduction to The Nuclear Company

The Nuclear Company is adopting a traditional approach to constructing new nuclear reactors. Instead of developing a new design or mass-producing smaller reactors, the company plans to create a series of reactors utilizing existing designs.

Recent Developments and Funding

The two-year-old startup recently announced a Series A funding round led by Eclipse, with participation from several other investors, including CIV, Goldcrest Capital, MCJ Collective, True Ventures, and Wonder Ventures. Although the initial announcement did not disclose the amount raised, it has been revealed that The Nuclear Company has secured $51.3 million in Series A funding, bringing the company’s total funding to $70 million.

Founding and Strategy

Founded in 2023 by three serial entrepreneurs – Jonathan Webb, Kiran Bhatraju, and Patrick Maloney – The Nuclear Company is focusing on sites that already possess permits or licenses to operate. According to filings with the Nuclear Regulatory Commission, fewer than a dozen sites meet this criterion. These sites can support reactors with over 1 gigawatt of generation capacity, with The Nuclear Company aiming to develop 6 gigawatts in its first fleet.

Market Demand and Challenges

The funding round comes at a time when tech companies and utilities are struggling to secure power for data centers. The demand for electricity in the U.S. is expected to surge by nearly 16% by 2029, driven in part by the growing demand from data centers. Tech companies have been exploring alternative energy sources, including nuclear power, to meet this demand. However, nuclear power faces competition from solar power, which has become increasingly cost-competitive and can be developed rapidly.

Partnerships and Industry Trends

Several tech companies, including Google, Amazon, and Meta, have partnered with nuclear startups and developers to explore nuclear power as an option for their data centers. However, the nuclear industry also faces potential headwinds, including financial hurdles. A recent draft bill published by the House Ways and Means Committee proposes to eliminate subsidies for nuclear power granted under the Inflation Reduction Act, which could impact the financial viability of new nuclear power projects.

Conclusion and Outlook

Most new nuclear power plants, including those planned by The Nuclear Company, are not expected to come online until the early 2030s. Given the uncertainty in forecasts for the next five years, it remains to be seen how the nuclear industry will evolve and whether The Nuclear Company’s approach will be successful in meeting the growing demand for electricity.

Update: The final Series A fundraise details and total funding amount have been added to this report.