A New Era in Nuclear Energy: Valar Atomics Valued at $6 Billion

00:24 / 18.07.2026·30·Technology

Valar Atomics, a startup specializing in Small Modular Reactors (SMR), is nearing the completion of its latest funding round. According to TechCrunch and The Information, the El Segundo, California-based company is aiming for a $6 billion valuation. The funding round is expected to be led by the prominent venture capital firm Sequoia. This is reported by Techcrunch.com reports .

Valar Atomics plans to raise a total of $1 billion, with a portion already secured under lower valuation terms. According to Bloomberg, the company raised $450 million in March (consisting of $340 million in equity and $110 million in debt) at a $2 billion valuation. Amid the rapid growth of AI, the trend of raising capital at varying valuations across different stages is becoming increasingly common.

The Alliance of AI and Nuclear Energy

The reason for the company's rapid growth is the massive energy demand from AI data-centers. Recently, Valar Atomics demonstrated the practical capabilities of its technology by powering an NVIDIA AI chip using its small reactor. Following this successful test, both companies announced a partnership to power future data centers with nuclear energy.

Currently, traditional power grids are struggling to meet the growing needs of data centers. Bringing new capacity online can take years. Therefore, modular reactors that are assembled in factory settings, compact, and more affordable are seen as the most viable solution for tech giants. Valar Atomics bases its technology on a high-temperature, helium-cooled gas reactor.

Competition and Legal Hurdles

Valar Atomics is not alone in this market. Several prominent players are active in the SMR segment:

TerraPower — a project backed by Bill Gates;
Kairos Power — a company developing reactors for industrial and technological clients;
NuScale Power — the only manufacturer in the US to receive official regulatory approval for its design;
Anduril and Palantir founders are also actively investing in this sector.

Nevertheless, the industry faces significant bureaucratic hurdles. Last year, Valar Atomics sued the US Nuclear Regulatory Commission (NRC). The company is dissatisfied with the complex and lengthy licensing requirements applied to small test reactors, which are typically intended for massive nuclear power plants. Currently, the parties are working toward a mutual agreement.

For regions where energy stability is critical, such as Uzbekistan, these small modular reactors could become an interesting solution in the future. While the construction of traditional large-scale nuclear power plants requires significant time and capital, SMR technologies allow for the rapid delivery of energy exactly where demand is highest. However, it remains unclear when the industrial-scale production of hundreds of reactors, as planned by Valar Atomics, will be launched.