Microreactor startups draw record capital as AI power demand climbs
Money MovesLast Energy's $40 million round is one piece of a nuclear-financing wave that roughly doubled in 2026
July 10th, 2026: Last Energy discloses $40M Series BNew here? Follow stories to track developments over time. Create a free account to get updates when stories you care about change.
Overview
Data centers running artificial-intelligence models need power around the clock. On July 10, 2026, a Washington, D.C. startup called Last Energy said it had raised $40 million to sell them small nuclear reactors it promises to build in 24 months.
The round, led by venture firm Gigafund, is a small piece of a much larger shift. Nuclear financing hit about $14 billion in 2026, roughly double the year before. The money signals that investors now bet on shipping reactors, not just designing them.
Why it matters
The reactors powering tomorrow's AI could be factory-built boxes the size of shipping containers, sited next to the data centers they feed.
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A Washington, D.C. company selling standardized 20-megawatt microreactors to industry and data centers.
A venture firm known for large bets on capital-heavy hardware, including SpaceX.
Timeline
January 2019 July 2026
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Last Energy discloses $40M Series B
Latest FundingThe startup reveals a $40 million round led by Gigafund, bringing total funding to about $64 million.
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Rival raises stakes
BusinessCompetitors including Valar Atomics push factory-built reactor designs, part of the sector's 2026 funding jump.
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Federal nuclear loans expand
PolicyThe U.S. Department of Energy moves to lend up to $17.5 billion to speed deployment of large reactors amid AI power demand.
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Texas microreactor plan announced
BusinessLast Energy reveals plans for 30 microreactors on a 200-acre Haskell County site to serve Texas data centers.
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Last Energy founded
OriginBret Kugelmass spins the company out of his research group to commercialize standardized microreactors.
Historical Context
2 moments from history that rhyme with this story — and how they unfolded.
Vogtle Units 3 and 4 (2009–2024)
Georgia Power began building two large reactors at Plant Vogtle, each about 1,100 megawatts. The project ran roughly seven years late and cost more than $30 billion, over double the original estimate.
The reactors finally reached full power in 2023 and 2024, the first new U.S. units built from scratch in decades.
The overruns scared utilities off large custom reactors and pushed the industry toward smaller, standardized designs.
Vogtle is the cautionary tale Last Energy sells against: build small and identical in a factory instead of huge and bespoke on-site.
NuScale UAMPS project cancellation (2023)
NuScale Power, the first small modular reactor design approved by U.S. regulators, canceled its flagship Idaho project. Rising costs pushed the projected power price too high, and subscribers pulled out.
NuScale's stock fell sharply and the small-reactor field lost its most advanced U.S. project.
It showed that regulatory approval alone does not guarantee a buildable, affordable plant.
It marks the risk in Last Energy's path: signed agreements and clever designs can still collapse on cost before a reactor runs.
