Fusion Startups Forge Alliances with Defense Sector
By Editor • September 13, 2026 • 1 min read
The pursuit of fusion energy is witnessing a strategic pivot as startups increasingly seek partnerships within the defense industry. This shift marks a return to the roots of fusion technology, which originally emerged from Cold War-era research aimed at harnessing the principles behind thermonuclear weapons.
With funding in climate tech facing a slowdown, fusion ventures are looking to the defense sector for financial support. The National Ignition Facility's groundbreaking fusion experiment in 2022 highlighted the ongoing relationship between fusion research and national security, a connection that is proving vital as defense budgets adapt to modern threats.
New Collaborations in Fusion Technology
One of the notable partnerships is between Xcimer, a Denver-based laser fusion startup, and RTX, which encompasses defense contractor Raytheon. This collaboration will enable Xcimer to utilize RTX Ventures' funding while exploring the applications of its advanced laser technology for defense purposes. Xcimer boasts the world's largest privately owned laser system, designed to compress fuel targets in a future power plant.
Broadening Horizons for Pacific Fusion
Meanwhile, Pacific Fusion is also making strides in the defense domain by entering a memorandum of understanding with the National Nuclear Security Administration (NNSA). The startup is developing a demonstration facility in New Mexico that will generate fusion reactions potentially more powerful than current nuclear weapons testing methods. Co-founder Keith LeChein emphasized that the defense applications of their technology have always been central to their mission, given the team's expertise from top nuclear labs.
Source: techcrunch.com
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