Aalo Atomics, an Austin, Texas-based nuclear technology company, has raised over $136 million to develop its first nuclear power plant, the Aalo-X, according to an announcement on August 20, 2025. The company recently closed a $100 million Series B funding round, led by Valor Equity Partners, with contributions from investors such as Fine Structure Ventures, Hitachi Ventures, NRG Energy, Vamos Ventures, Tishman Speyer, Kindred Ventures, 50Y, Harpoon Ventures, Crescent Enterprises, Crosscut, Alumni Ventures, MCJ, Gaingels, and Nucleation Capital.

A rendering of an Aalo-X plant

The U.S. Department of Energy selected Aalo as one of 11 advanced reactor projects for its Nuclear Reactor Pilot Program, aiming for at least three projects to achieve criticality by mid-2026. Aalo plans to meet this goal with the Aalo-X, a 50 MWe Extra Modular Reactor (XMR) designed specifically for data centers. The Aalo Pod, the company’s flagship product, consists of five sodium-cooled Aalo-1 reactors using low-enriched uranium fuel. Its compact design eliminates the need for external water sources, enabling easy integration with data centers and scalability to gigawatt levels.

“We now have the capital to build our first nuclear power plant, the Aalo-X, which we’re aiming to bring to zero-power criticality next summer,” said CEO Matt Loszak on the company’s website. “This could be the first advanced nuclear power plant to turn on in the US in decades. This is not just a test reactor, but rather a full plant that will produce electricity. And there’s one more thing that makes this special: We’re planning to put an experimental data center right next to it. This will be the first time a nuclear plant and data center are built together, and will act as a demonstration of something we’ll see a lot more of at GW scale thereafter.”

Founded in 2023, Aalo Atomics plans to use the new funding to double its workforce from approximately 60 employees, focusing on recruiting top engineering and manufacturing talent. The company’s innovative approach aims to deliver reliable, clean energy to meet the growing demands of data centers, particularly for artificial intelligence applications. The co-location of the Aalo-X with an experimental data center marks a pioneering step in integrating nuclear power with high-energy technology infrastructure.

Aalo’s progress reflects its commitment to advancing sustainable energy solutions through modular reactor technology. The company’s efforts are expected to contribute significantly to the energy sector, with the Aalo-X serving as a model for future scalable nuclear projects.