Deep Fission Inc. Emerges from Stealth with $4 Million Pre-Seed Funding

Deep Fission, a nuclear energy startup that addresses nuclear energy’s financial and regulatory challenges by placing modular reactors a mile underground, has emerged from stealth mode with a $4 million pre-seed funding round led by venture capital firm 8VC.

Deep Fission hopes to make atomic energy a viable, cost-effective solution for industrial applications, remote communities, and energy-intensive future technologies like artificial intelligence by reimagining how nuclear power is generated and deployed. Their approach uses traditional pressurized water reactors (PWRs)in a subterranean setting. The PWR technology was developed in the 1950s and today constitutes most of the world’s nuclear power plants.

This underground installation removes the need for expensive pressure vessels and containment structures, cutting costs significantly while maintaining high safety standards. In addition, the design uses low-enriched uranium, a common and regulated fuel type, avoiding complex supply chain disruptions that have affected other advanced reactor projects.

Since its founding, Deep Fission has prioritized collaboration with the Nuclear Regulatory Commission (NRC) signaling its intent to streamline regulatory approval, a process that has historically hindered many nuclear initiatives.

Berkeley-headquartered Deep Fission was founded in 2023 by Elizabeth Muller and her father, Richard Muller. Richard Muller, a well-known physicist, provides technical oversight, while Elizabeth Muller leads the company’s operations and strategic vision.

With early funding secured and regulatory conversations underway, the company is positioning itself to lead a new wave of nuclear energy deployment in the coming years.

“I am thrilled to introduce Deep Fission and present our groundbreaking approach to affordable nuclear power,” said Elizabeth Muller, co-founder and CEO of Deep Fission. “Climate change has accelerated the need for clean energy, and nuclear must be cheaper in order to compete with coal and natural gas. We’ve innovated beyond other reactor designs and engaged early and often with the Nuclear Regulatory Commission to make atomic energy a viable option to power AI, industrial applications, as well as remote communities. We cannot wait to share our findings with the world and do our part to help with the clean energy transition.”

The company’s underground modular reactor technology places it in competition with other nuclear firms, including TerraPower, NuScale Power, X-energy, and Oklo. These companies are developing solutions to overcome similar challenges, from small modular reactors to micro-reactors and high-temperature gas-cooled designs. Each company operates within a niche of the nuclear sector, but all share the same goal of modernizing atomic energy to make it safer and more affordable for widespread use.

Deep Fission hopes to differentiate itself from competitors by focusing on underground deployment that reduces exposure to risks like extreme weather events or terrorist attacks.

The nuclear industry is projected to grow as countries seek alternatives to fossil fuels to meet carbon reduction goals. However, it faces many challenges – regulatory delays, high capital costs, and public opposition among them. According to the International Energy Agency (IEA), global electricity demand will increase by nearly 30% by 2040, with clean energy sources—including nuclear—playing a crucial role in reducing emissions.

“Cheap energy fuels our prosperity and all of our technology,” said Joe Lonsdale, Founder and Managing Partner at 8VC. “With global demand escalating, we need more options. We invested in Deep Fission because they are engineering a way for nuclear power to be exceptionally safe, cost-effective, and reliable—and far enough underground that hopefully neither war nor regulators can turn it off!”

Deep Fission joins a growing list of energy startups backed by 8VC, a venture capital firm headquartered in Austin, Texas. 8VC focuses on early-stage investments across the healthcare, energy, and transportation industries. The firm closed on $880 million for its most recent fund, 8VC Fund V LP, in March 2023 after raising $640 million for 8VC Fund IV LP in 2022.

Deep Fission will use the new capital to expand its workforce, accelerate NRC regulatory approval, and advance the commercialization of its underground reactor model.

Deep Fission has already achieved several operating milestones in its early stages, including the submission of a regulatory engagement plan, the completion of a conceptual design, and an initial review meeting with the NRC.

If successful, Deep Fission could significantly impact the future of nuclear energy, positioning it as a competitive alternative to fossil fuels. With global demand for electricity rising, the company’s focus on safe, cost-effective energy solutions could prove to be a key differentiator in the clean energy transition. As regulatory approvals are attained and commercialization ramps up, Deep Fission will likely remain under the spotlight, attracting further investor interest and industry attention.