Nvidia Invests in Bill Gates’ TerraPower, Betting on Nuclear Energy’s Future

TerraPower, the nuclear energy startup founded by Bill Gates, has secured a substantial $650 million investment round. This financial boost aims to facilitate the construction of its inaugural commercial power plant, signaling a significant step forward for the company and the advanced nuclear energy sector.

Nvidia, through its venture capital arm NVentures, participated in this funding round, marking its first foray into energy investments. This move aligns Nvidia with a growing trend among tech giants and data center developers showing increased interest in nuclear startups, recognizing the potential of nuclear energy to power the future of technology.

Existing investors Bill Gates and HD Hyundai also contributed to the funding round, underscoring their continued confidence in TerraPower’s vision and technology.

Construction of TerraPower’s first power plant commenced in Wyoming in June 2024. While the company awaits approval for the reactor design, it anticipates receiving the necessary permits within the next year, a timeline considered reasonable given the regulatory environment.

Upon completion, TerraPower’s reactor is projected to generate 345 megawatts of electricity, positioning it between conventional large-scale reactors and the emerging small modular reactor technology.

TerraPower’s Natrium reactors employ molten sodium instead of water for cooling, with a deliberate excess of sodium to store heat during low demand. This stored heat can then be utilized to generate electricity during peak demand, allowing the reactor to maintain a consistent operational state, a critical advantage for nuclear power plants.

The storage system is engineered to produce up to 500 megawatts of electricity for over five hours, offering a solution to bridge gaps in renewable energy sources like solar and wind power.

TerraPower had initially pursued a different reactor design but shifted to the Natrium design due to evolving uncertainties. The company asserts that it can complete a reactor within three years after the initial concrete pour, though considerable site preparation is still required.

While projections suggest the first Natrium reactor will be more cost-effective than recent U.S. reactors, the project is still substantial. Reports indicate a potential cost of $4 billion, with the Department of Energy potentially covering half of the expenses, according to the Associated Press.