Tech billionaire Bill Gates has highlighted China’s rapid progress in nuclear energy, suggesting the country may soon challenge the U.S. and others in developing next-generation reactors, according to a report by Bloomberg.
Speaking about China’s efforts, Gates praised the nation’s work in both fusion and advanced fission technologies, noting that its investment in fusion research exceeds the rest of the world combined. While China already dominates sectors like electric vehicles, solar panels, batteries, and rare earth materials, advanced nuclear reactors remain one of the few areas where it has yet to achieve a commanding lead.
Globally, nuclear energy faces significant hurdles, including regulatory approvals, developing supply chains for next-generation fuel, and the technical challenge of producing net energy from fusion. Yet interest is growing in small modular reactors and fusion as countries seek reliable power sources to meet surging electricity demands from data centers. In the U.S., data centers are expected to consume roughly 9% of the nation’s electricity by 2035 — more than double 2024 levels — which BloombergNEF predicts will drive a $350 billion boom in nuclear spending, according to Bloomberg Intelligence.
Gates sees nuclear power as a solution to rising electricity costs and increasing demand fueled by artificial intelligence, electric vehicles, and heat pumps. “We don’t have infinite natural gas,” he said, noting that in the long term, “probably either fission or fusion will be the cheapest way to make electricity.” For now, though, both technologies remain expensive and largely unproven.
Through Breakthrough Energy Ventures, Gates has backed multiple nuclear startups, including Commonwealth Fusion Systems and TerraPower, the latter focused on next-generation fission reactors. Interest in nuclear power has also been supported by the Trump administration, with U.S. Energy Secretary Chris Wright recently noting that “nuclear is going to become sexy again.” Major tech companies, including Microsoft and Google, have signed power purchase agreements with nuclear startups, though Gates cautions that scaled electricity production may not be realized until 2035.
Bloomberg notes that the race for advanced nuclear technology underscores broader global competition in clean energy, with China and the U.S. vying to secure the next generation of low-carbon power solutions.
