Commonwealth Fusion Systems has agreed to sell high-temperature superconducting magnets to Realta Fusion, marking its second such deal and signaling a broader push to generate revenue from its magnet technology.
Magnet Sales Grow As Commercial Strategy
Rick Needham, chief commercial officer at Commonwealth Fusion Systems, said on a call that the agreement is the largest deal of its kind for the company so far. The deal follows an earlier magnet sale to the WHAM experiment at the University of Wisconsin, where Realta is also a collaborator.
The WHAM experiment underpins Realta’s approach to fusion power, which uses a magnetic mirror reactor design.
Magnetic Mirror Design Shapes Realta’s Approach
In a magnetic mirror reactor, plasma is confined into a structure resembling two connected bottles. Strong magnets at each end push the plasma back toward the center, while weaker magnets surround the middle section.
This configuration allows scalability by expanding the central section, where magnets are less powerful and less costly. Realta, backed by Khosla Ventures, expects this design to reduce per kilowatt-hour costs as reactor size increases.
CFS Continues Development Of Tokamak Reactor
Commonwealth Fusion Systems is pursuing a different approach known as a tokamak. In this design, D-shaped magnets generate magnetic fields that keep plasma circulating in a ring-shaped chamber.
The company has focused on refining these magnets as part of its plan to develop Arc, a future commercial-scale reactor intended for construction in Virginia.
Both companies’ origins are tied to advances in magnet technology. CFS was founded in 2018 after scientists at MIT identified high-temperature superconductors as a way to make tokamak designs viable. Realta was later founded by researchers at the University of Wisconsin, who saw the same technology enabling a renewed approach to magnetic mirror reactors, according to co-founder and CEO Kieran Furlong.
Additional Licensing Deals Expand Industry Reach
Beyond the Realta agreement, CFS has licensed its magnet technology to Type One Fusion, which is developing a stellarator reactor. While this arrangement does not currently involve manufacturing magnets, the company said it could lead to future production.
Christine Dunn, head of external communications at CFS, said the licensing deal may expand over time.
Magnet Factory Investment Drives Partnerships
The deals are expected to support Commonwealth Fusion Systems’ investment in magnet manufacturing. The company spent seven years and hundreds of millions of dollars building a facility capable of producing high-temperature superconducting magnets for fusion applications.
These magnets are currently being used in Sparc, the company’s demonstration reactor, which is about 70% complete and expected to begin operations later this year.
Needham said the timing of the Realta deal aligns with Sparc’s development progress, allowing the company to extend its manufacturing capacity to external partners.
Funding Position Supports Expansion Efforts
Commonwealth Fusion Systems has raised nearly $3 billion to date, representing a large share of venture funding in the fusion sector. The company positions its magnet deals as a way to provide access to technology that would be costly for others to develop independently.
At the same time, the partnerships may contribute to further investment activity, as the company continues to build out its role within the broader fusion ecosystem.
Featured image credits: Flickr
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