Petra Power, a U.S. energy technology startup, is developing solid oxide fuel cells to supply electricity to AI data centers and military vehicles, with its first commercial deployments targeted for 2028. The company has secured nearly $9 million in contracts from the U.S. Department of Defense and aims to begin full-scale production in 2029.
Founded in 2017, Petra Power develops ceramic fuel cells that convert fuels such as natural gas into electricity without combustion. The company is positioning its technology as an alternative to conventional power generators, particularly for data centers requiring substantial electricity to operate AI computing infrastructure.
Petra Power founder Aaron Goodman said the fuel cells could reduce fuel costs, emissions, and equipment size compared with traditional electricity generation systems. Their compact and lightweight construction also allows them to occupy less physical space.
How Petra Power’s Fuel Cell Technology Works
Conventional combustion-based generators produce electricity through several stages, converting fuel into heat, then mechanical motion, and finally electrical power. Each conversion introduces energy losses that reduce the system’s overall efficiency.
Solid oxide fuel cells instead use electrochemical reactions to convert the chemical energy in fuel directly into electricity. By avoiding the combustion and mechanical conversion stages, the technology can potentially generate electricity with fewer energy losses.
Goodman explained that this process could reduce the amount of fuel needed to produce electricity, lowering operating costs for customers. However, the company has not disclosed specific performance measurements or commercial-scale efficiency figures.
Petra Power Works With Data Center Operators and Defense Department
Petra Power is currently working with neocloud providers and other computing infrastructure companies, primarily those operating below the scale of major hyperscalers. Goodman declined to identify specific partners or disclose the terms of their arrangements.
The company is also in discussions with hyperscale cloud providers, which Goodman identified as its preferred customers because of their substantial electricity requirements. However, Petra Power has not secured firm agreements with those operators.
Its first deployments with data center customers are scheduled for 2028, followed by a planned expansion into full-scale manufacturing in 2029.
Petra Power is separately working with the U.S. Department of Defense to develop fuel cells for military land vehicles. The technology is intended to provide auxiliary electricity for onboard equipment when a vehicle’s primary engine is switched off.
The military application remains in testing, and Petra Power has not deployed its fuel cells on an operational vehicle. Goodman said government evaluations are ongoing as officials determine whether to proceed with further development or deployment.
The company currently employs approximately 15 people and plans to expand its workforce as development and customer projects progress.
Petra Power was also selected for the TechCrunch Startup Battlefield 200 program in 2026, joining 199 other startups chosen to participate in the event at Moscone West in San Francisco.
Featured image credits: Wikimedia Commons
For more stories like it, click the +Follow button at the top of this page to follow us.