Microsoft agrees to buy electricity generated from Sam Altman-backed fusion company Helion in 2028
A view of the end of Helion’s seventh generation prototype, the Polaris.
Photo courtesy Helion
Microsoft said Wednesday it has signed a power purchase agreement with nuclear fusion startup Helion Energy to buy electricity from it in 2028.
The deal is a notable vote of confidence for fusion, which is the way the sun makes power and holds promise of being able to generate nearly unlimited clean power, if it can be harnessed and commercialized on earth. For decades, fusion been lauded as the holy grail of clean energy — tantalizing because it’s limitless and clean, but always just out of reach.
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As responding to climate change has become an increasingly urgent goal for companies and countries around the globe, investors have poured $5 billion into private fusion companies looking to turn that holy grail into electrons flowing through wires.
Microsoft’s agreement to buy electricity from Helion is the first time a fusion company has inked a deal to sell electricity, according to Andrew Holland, the CEO of the Fusion Industry Association.
“This is the first time that I know of that a company has a power purchase agreement signed,” Holland told CNBC. “No one has delivered electricity, and Helion’s goal of 2028 is aggressive, but they have a strong plan for how to get there.”
Helion was founded in 2013 and currently has about 150 employees, with headquarters in Everett, Wash. One of the early and most significant investors in Helion, Sam Altman, is also a founder of OpenAI, the artificial intelligence organization that developed the chat platform ChatGPT, in which Microsoft has invested many billions of dollars. Altman believes the two deals are equally important and correlated components of the future he sees for humanity.
“My vision of the future and why I love these two companies is that if we can drive the cost intelligence and the cost of energy way, way down, the quality of life for all of us will increase incredibly,” Altman told CNBC. “If we can make AI systems more and more powerful for less and less money — same thing we are trying to do with energy at Helion — I view these two projects as spiritually very aligned.”
Samuel H. Altman, the CEO of OpenAI, speaks to media after meeting Japan’s Prime Minister Fumio Kishida at the Prime Minister’s office in Tokyo on April 10, 2023.
The Yomiuri Shimbun | AP
If demand for and use of artificial intelligence continues to increase, then that will increase demand for energy, too.
The potential of fusion is “unbelievably huge,” Altman told CNBC. “If we can get this to work — if we can really deliver on the dream of abundant, cheap, safe, clean energy that will transform society. It’s why I’ve been so passionate about this project for so long.”
In 2021, Altman told CNBC he put $375 million into Helion. As of Tuesday, this is still his largest investment ever, Altman told CNBC. In total, Helion has raised raised $577 million.
Why Helion is announcing a 2028 goal now
As part of the power purchase agreement, Helion is expected to have its fusion generation device online by 2028 and to reach its target power generation of 50 megawatts or more within an agreed-upon one-year ramp up period. When the fusion device is fully up to speed producing 50 megawatts of energy, it will be able to power the equivalent of approximately 40,000 homes in Washington state.
While Helion’s deal with Microsoft is to get 50 megawatts online, the company eventually aims to produce a gigawatt of electricity, which is one billion watts, or 20 million times the 50 megawatts it is selling to Microsoft.
Microsoft will pay for the megawatt hours of electricity as Helion delivers them to the grid.
“This is a real PPA, so there’s financial penalties if Helion can’t deliver power. So we’ve really put our skin in the game on this too — that we believe we can deliver this power and are committed to it with our own financial incentives,” David Kirtley, CEO at Helion, told CNBC.
Helion’s co-founders. From left to right: Chris Pihl (CTO), David Kirtley (CEO), George Votroubek (Director of Research).
Photo courtesy Helion
Altman advocated for the two companies to work together, he told CNBC, but the deal is the result of work Helion has done independently. “It was not my doing,” he said.
Microsoft and Helion have been working together for years, Kirtley told CNBC. “The first visit we had from the Microsoft team was probably three of our prototypes ago, so many years ago. And then we’ve been working very closely with their data center technology team here in Redmond,” Kirtley said.
After all, Microsoft needs power and has aggressive climate goals. Microsoft has a goal to have 100% of its electricity consumption, 100% of the time, matched by zero-carbon energy purchases by 2030. Carbon-free energy includes hydro, nuclear and renewables for Microsoft, a Microsoft spokesperson told CNBC.
“We are optimistic that fusion energy can be an important technology to help the world transition to clean energy,” Brad Smith, president at Microsoft, said in a written statement. “Helion’s announcement supports our own long term clean energy goals and will advance the market to establish a new, efficient method for bringing more clean energy to the grid, faster.”
An electrical engineer preparing for a test at Helion.
Photo courtesy Helion
For Helion to be able to deliver electricity generated by fusion to customers requires years of advance planning on the transmission and regulatory fronts.
In that way, announcing a contract now to sell electricity in 2028 gives Helion time to plan and to pick a location in Washington State to put this new fusion device.
“One reason we’re doing the announcement today is that so we can be working with the communities involved, we can be working with regulators, and the power utility on citing this right now,” Kirtley told CNBC. “Even five years is a short amount of time to be hooked up to the grid. And we want to make sure that we can do that.”
Indeed, the transmission system in the United States, meaning the series of wires that carry electricity from where it is generated to where it is used, is largely tapped out. Getting new power generation connected to the grid can take years. Helion is working with Constellation to secure its transmission needs.
‘We’re not here to build systems in a lab’
The best-known pathway to commercializing fusion is with a donut-shaped device called a tokamak. The international fusion project under construction in Southern France called ITER is building a tokamak, and Commonwealth Fusion Systems, a fusion start-up spun out of MIT which has raised more than $2 billion in funding, is using tokamak technology. For comparison, CFS plans to have its first power plant on the grid and selling electricity in the early 2030s.
Helion is not building a tokamak. It is building a long narrow device called a Field Reversed Configuration.
An infographic showing how Helion’s fusion technology works.
Infographic from Helion
Broadly speaking, Helion’s approach involves shooting plasma (the fourth state of matter after solid, liquid and gas) from both ends of the device at a velocity greater than one million miles per hour. The two streams smash into each other, creating a superhot dense plasma, where fusion occurs.
Helion is currently building its seventh-generation fusion machine, named Polaris, which it aims to produce electricity with by next year, Kirtley told CNBC.
“We’re not here to build systems in a lab. We’re here to sell electricity. This is always been the dream,” Altman told CNBC.
So far, Helion has been able to generate energy with its fusion prototypes, but it has not yet built a device that creates more electricity than it uses to run the fusion device. So the firm has a lot of work ahead.
To that, Altman says: “There were a lot of people that were doubting A.I. six months ago, too.”
“Either the technology here is going to work or not. There’s a lot of huge challenges still to figure out — how are we going to get the cost super-low, how are we going to manufacture at scale — but on the ability to actually do the physics, we feel very confident,” Altman told CNBC. “And I think it’s fine for people to doubt it. But also the way that you eventually reduced that doubt is to show to show people it actually works in the commercial setting, like delivering on this deal.”
Helion has been making progress on some key hurdles.
For example, the company has started making its own capacitors, which are sort of like super-efficient batteries and one of Helion’s very significant capital costs.
It has also started to make the very rare fuel it uses, helium three, which is a very rare type of helium with one extra neutron. It used used to get helium-three from the U.S. government strategic reserves.
Next up, Helion has to demonstrate that its devices can work reliably for long periods of time, and Kirtley has a team working on durability of the components used in the device.
If Helion can be successful, it’s going to be a landmark for the entire fusion industry.
“This really signals that a fusion era is coming. And we’re all very excited about it,” Kirtley told CNBC.
GM may have decided to pull the plug on the forward-looking Chevy Brightdrop electric van a few months ago, but don’t let that stop you, but don’t let that fool you. Right now might be the best time ever to get your hands on one.
SKIP THE STORY: jump right to the deals (trusted affiliate link).
It’s hard to overstate how good the deals on Chevy’s Brightdrop got while GM was still trying to build up demand for its fleet-focused van, and now that the company has decided to stop production, the deals have gotten even better, with a newly announced $699 lease for 39 mo. with $2,999 down through January 2nd — and that’s before you factor in an additional $3,000 discount reserved for Costco Executive Members!
Despite that, I’ve heard more than one fleet manager express hesitation at the thought of adding a discontinued product to their fleet, even if it is a killer discount. To them, I offer the following, model-agnostic rebuttal:
Legacy brands support their products
Companies like GM aren’t going anywhere soon, and neither are the customers they’ve spent millions of dollars acquiring over the past several decades. They’ll keep building parts and offering service and maintenance on vehicles like the Brightdrop for at least a decade — not least of which because they have to!
GM sells each Brightdrop with a minimum 8 year/100,000 mile warranty on the battery and other key components, which can be extended either through GM itself or through reputable third-party companies like Xcelerate Auto for seven more.
There are precious few large fleets out there looking at 15 year, 200-plus thousand mile vehicle replacement cycles. For those that are, however, all indications so far are that the vehicle’s battery health and general performance will still be well within usable limits.
So, yes: parts longevity and manufacturer support will be there (something I’d be less confident about with a startup like Rivian or Bollinger, for example), but there’s more.
Section 179 and local incentives
The One Big, Beautiful Bill Act (OBBBA) of 2025 gutted America’s energy independence goals and ensuring its auto industry would fall even further behind the Chinese in the EV race, but the loss of Section 45W wasn’t the only change written into the IRS’ rulebook. Section 179, an immediate expense reduction that business owners can take on depreciable equipment assets, has been made significantly more powerful for 2025.
The section 179 expense deduction is limited to such items as cars, office equipment, business machinery, and computers. This speedy deduction can provide substantial tax relief for business owners who are purchasing startup equipment.
The revised Section 179 tax credit (or, more accurately, expense reduction) allows for a 100% deduction for equipment purchases has doubled to $2.5 million, with a phase-out kicking in at $4 million of capital investments that drops to zero at $6.5 million. That credit and can be applied to new and used vehicles, as well as charging infrastructure, battery energy storage systems, specialized tools, and more (as long as they’re new to you).
What’s more, with regional incentives like the up to $15,000 off a new medium-duty van available from Illinois utility ComEd, the net cost of GM’s $699 promo lease drops to ~$315/mo., and there is still state money out there, as well, depending on where you live.
All of which is to say: don’t let a little thing like GM discontinuing the Brightdrop convince you to skip it. If you do that, the bean counters that killed off the Buick Grand National, GMC Syclone, and Pontiac Fiero win.
SOURCE | IMAGES: GM Envolve.
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US Energy Information Administration (EIA) data released on November 25 and reviewed by the SUN DAY Campaign reveal that, during the first nine months of 2025 and for the past year, solar and battery storage have dominated growth among competing energy sources, while fossil fuels and nuclear power have stagnated.
Solar set new records in September
EIA’s latest “Electric Power Monthly” report (with data through September 30, 2025), once again confirms that solar is the fastest-growing source of electricity in the US.
In September alone, electrical generation by utility-scale solar (>1 megawatt (MW)) ballooned by well over 36.1% compared to September 2024, while “estimated” small-scale (e.g., rooftop) solar PV increased by 12.7%. Combined, they grew by 29.9% and provided 9.7% of US electrical output during the month, up from 7.6% a year ago.
Moreover, generation from utility-scale solar thermal and photovoltaic systems expanded by 35.8%, while that from small-scale systems rose by 11.2% during the first nine months of 2025 compared to the same period in 2024. The combination of utility-scale and small-scale solar increased by 29.0% and produced a bit over 9.0% (utility-scale: 6.85%; small-scale: 2.16%) of total US electrical generation for January-September, up from 7.2% a year earlier.
And for the third consecutive month, utility-scale solar generated more electricity than US wind farms: by 4% in July, 15% in August, and 9% in September. Including small-scale systems, solar has outproduced wind for five consecutive months and by over 40% in September.
Wind leads among renewables
Wind turbines across the US produced 9.8% of US electricity in the first nine months of 2025 – an increase of 1.3% compared to the same period a year earlier and 79% more than that produced by US hydropower plants.
During the first nine months of 2025, electrical generation from wind plus utility-scale and small-scale solar provided 18.8% of the US total, up from 17.1% during the first three quarters of 2024.
Wind and solar combined provided 15.1% more electricity than did coal during the first nine months of this year, and 9.8% more than the US’s nuclear power plants. In fact, as solar and wind expanded, nuclear-generated electricity dropped by 0.1%.
Renewables are now only second to natural gas
The mix of all renewables (wind, solar, hydropower, biomass, and geothermal) produced 8.7% more electricity in January-September than they did a year ago, providing 25.6% of total US electricity production compared to 24.2% 12 months earlier.
Renewables’ share of electrical generation is now second to only that of natural gas, which saw a 3.8% drop in electrical output during the first nine months of 2025.
Solar + storage have dominated 2025
Between October 1, 2024, and September 30, 2025, utility-scale solar capacity grew by 31,619.5 MW, while an additional 5,923.5 MW was provided by small-scale solar. EIA foresees continued strong solar growth, with an additional 35,210.9 MW of utility–scale solar capacity being added in the next 12 months.
Strong growth was also experienced by battery storage, which grew by 59.4% during the past year, adding 13,808.9 MW of new capacity. EIA also notes that planned battery capacity additions over the next year total 22,052.9 MW.
Wind also made a strong showing during the past 12 months, adding 4,843.2 MW, while planned capacity additions over the next year total 9,630.0 MW (onshore) plus 800.0 MW (offshore).
On the other hand, natural gas capacity increased by only 3,417.1 MW and nuclear power added 46.0 MW. Meanwhile, coal capacity plummeted by 3,926.1 MW and petroleum-based capacity fell by an additional 606.6 MW.
Thus, during the past year, renewable energy capacity, including battery storage, small-scale solar, hydropower, geothermal, and biomass, ballooned by 56,019.7 MW while that of all fossil fuels and nuclear power combined actually declined by 1,095.2 MW.
The EIA expects this trend to continue and accelerate over the next 12 months. Utility-scale renewables plus battery storage are projected to increase by 67,806.1 MW (a forecast for small-scale solar is not provided). Meanwhile, natural gas capacity is expected to increase by only 3,835.8 MW, while coal capacity is projected to decrease by 5,857.0 MW, and oil capacity is anticipated to decrease by 5.8 MW. EIA does not project any new growth for nuclear power in the coming year.
SUN DAY Campaign’s executive director Ken Bossong said:
The Trump Administration’s efforts to jump-start nuclear power and fossil fuels are not succeeding. Capacity additions from solar, wind, and battery storage continue to dramatically outpace those from gas, coal, and nuclear, and by growing margins.
Read more: EIA: Solar + storage dominate, fossil fuels stagnate to August 2025
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The bZ3X is off to a strong start as Toyota’s most affordable electric SUV, starting at around $15,000 in China.
The bZ3X is a $15,000 Toyota electric SUV in China
Toyota’s joint venture, GAC Toyota, launched the bZ3X in China this March, an affordable, compact electric SUV aimed at young families.
The bZ3X is Toyota’s “first 100,000 yuan-level pure electric SUV,” starting at just 109,800 yuan, or roughly $15,000.
By May, the electric SUV was the best-selling foreign-owned EV in China, beating out the Volkswagen ID.3, Nissan N7, BMW i3, and Volkswagen ID.4 CROZZ.
According to the latest update, the bZ3X remains a hot seller. GAC Toyota announced that bZ3X sales exceeded 10,000 units for two consecutive months, with 10,010 units sold in November. Cumulative deliveries have now surpassed 62,000 units.
GAC Toyota recently put the electric SUV through rigorous testing on a winter road trip across China, “showcasing its impressive capabilities as a 100,000-yuan-class pure electric vehicle.”
Measuring 4,645 mm in length, 1,885 mm in width, and 1,625 mm in height, the bZ3X is about the same size as BYD’s popular Yuan Plus (sold as the Atto 3 overseas).
Inside, the electric SUV is a major upgrade over the Toyota vehicles we’re accustomed to, with advanced ADAS features, smart storage, and large digital screens.
The bZ3X is available in seven different trims in China, two of which include a LiDAR. Upgrading to the LiDAR version costs 149,800 yuan ($20,500).
Toyota’s electric SUV is available with 50.04 kWh and 67.92 kWh battery pack options, providing a CLTC range of 430 km (267 miles) and 610 km (379 miles), respectively.
Less than two weeks ago, GAC Toyota launched pre-sales for the bZ7, a new flagship electric sedan. According to Toyota, the new flagship EV “possesses a higher level of intelligence than any of Toyota’s offerings in global markets,” as the automaker fights to regain market share in China’s fierce auto market.
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