Valar Atomics, a three-year-old startup building small modular nuclear reactors (SMRs), is in talks to raise $1 billion at an impressive valuation of around $6 billion. Sequoia is expected to lead the funding round.

The company’s ambitious plans include providing power for Nvidia AI chips and partnering with tech giants like Nvidia, illustrating how SMRs could play a key role in powering future data centers amid growing electricity demands.

Valar’s technology, based on helium-cooled high-temperature gas reactors, aims to produce cheaper and faster-to-deploy nuclear energy. However, the nascent nature of this technology means it remains unclear when or if SMRs will be deployed at industrial scale.

The startup’s aggressive legal stance against the Nuclear Regulatory Commission highlights ongoing regulatory challenges facing such innovative technologies. Founder Isaiah Taylor's background is intriguing: an early drop-out who has already founded two startups, including Valar Atomics.