The nuclear industry’s reliance on light water reactors has trapped it in a “local maxima,” limiting innovation and efficiency, says Matt Loszak, founder and CEO of Aalo Atomics.
For 75 years, every reactor built has been a bespoke project-leading to cost overruns, delays, and scalability issues. Loszak, a former software entrepreneur, is now developing factory-built modular reactors, called Alo-pods, to power AI data centers.
Switching from water to alternative coolants like sodium or molten salt could shrink reactor vessels and boost energy output two to tenfold. These designs aren’t theoretical: sodium-cooled reactors alone have over 400 cumulative years of operational history, though that legacy is often overlooked.
Yet institutional investors remain skeptical, favoring only proven technologies. “They don’t want to fund science projects,” Loszak notes-slowing adoption of advanced systems.
Political decisions, not technical failures, historically sidelined alternatives. Today, less than 1% of mined uranium (U-235) is used; the rest (U-238) becomes so-called waste, though it’s viable fuel in breeder reactors.
Breeder reactors unlock thorium and U-238, vastly expanding fuel availability. Without them, nuclear can’t scale to replace fossil fuels. “It’s an inevitable move,” Loszak asserts, forecasting a transition within decades through fuel recycling and next-gen designs.