3 Insights from FusionXInvest Boston
By Alicia Durham
FusionXInvest Boston took place in partnership with MIT’s Plasma Science & Fusion Center on 21st February 2024. The aim was to bring together capital and opportunity in the nuclear fusion sector.
Here are 3 insights from the event.
1. Back to the 60s – is fusion energy the new space race?
We've all heard the running joke 'Fusion is 30 years away and always will be,' but is there truth to it? With the current surge of enthusiasm and increasing momentum in the field, it seems we might finally be breaking through.
As Dr. Phil Larochelle put it “I feel like we are in 1962 when Kennedy said ‘we’re going to the moon.’” In fact, the atmosphere at the Samberg Conference Center was vibrant, echoing the excitement of the space sector in the 1960s. The sound of networking at the coffee stands resonated throughout the venue all day long.
The enthusiasm is rapidly growing; just take a look at how much FusionXinvest has grown since the first event last year.
[Note: you can hear Phil Larochelle speaking about the promise of fusion on our recent podcast or read 3 key insights from his episode.]
Delegates at FusionXInvest listening to one of the panels.
2. The challenges – supply chain could be a limiting factor on the speed of fusion’s growth
Despite the excitement, many challenges face the sector, including technical ones.
Fusion is underfunded, requiring significant capital to achieve its objectives. Even when funds are secured, effectively managing a large influx of capital is a challenge, particularly in transitioning from a start-up with a prototype to a company operating a commercial energy production facility.
During the event, one term echoed repeatedly: supply chain. Fusion is under-resourced and, as a niche but growing market, faces a chicken-and-egg situation with suppliers.
There are many companies pursuing fusion concepts, but only a couple so far working on enabling or broader technologies to provide fusion developers with what is needed.
As the fusion sector enters the commercial era there is great need for the private fusion companies to have the appropriate resources at the right time, especially with the ambitious timescales that have been set out.
A packed room at FusionXInvest
3. The solutions – openness about the scientific progress and the company journey helps when raising investment
How do we tackle the challenges of funding fusion? This was a key topic of discussion at the event.
One important step is for fusion companies to build credibility through peer-reviewed papers. Companies often struggle with balancing the need to publish findings while protecting their commercial interests. However, sharing scientific research findings through publications can serve as effective marketing and helps investors make crucial decisions.
As fusion companies progress, they may consider going public through IPOs. Doing so could help them operate transparently, which benefits the entire sector.
Lastly, having a compelling story is crucial for attracting investments. It's important for companies to stand out and share their unique journey to garner interest from potential investors.
Going back to the space analogy, the path to the moon was uncertain, yet evidence shows that, with diligence and determination, the goal was within reach.