Peak Energy Raises $108 Million to Scale Sodium-Ion Batteries for AI Data Centres

US energy storage technology company Peak Energy has raised $108 million in an oversubscribed Series B funding round to expand domestic manufacturing of sodium-ion battery systems and enter the growing data centre energy infrastructure market. Announced on 21 October 2026, the financing was led by General Motors Ventures, with participation from Maverick Silicon, Infinite Capital, Eclipse, Xora Innovation and LG Technology Ventures.

The investment will support Peak Energy's plans to scale production at its forthcoming 4 gigawatt-hour (GWh) manufacturing facility in Sacramento, California, while fulfilling more than $1 billion in existing customer commitments. The company develops passively cooled sodium-ion energy storage systems designed for utility-scale applications, offering an alternative to conventional lithium-ion batteries as electricity demand increases across power grids, renewable energy projects and AI infrastructure.

 

GM-Backed Funding Supports US Battery Manufacturing

 

Peak Energy's latest funding follows a series of developments aimed at establishing domestic manufacturing capacity for sodium-ion energy storage. In July 2026, the company announced plans for a 4 GWh battery system manufacturing facility in Sacramento, with production scheduled to begin in the first quarter of 2027. The facility is intended to support commercial deliveries as utilities and power producers expand investments in grid-scale energy storage.

The company also entered a partnership with General Motors in June 2026 to jointly develop next-generation sodium-ion battery cells. The collaboration will draw on GM's battery industrialisation expertise to support manufacturing development and technology improvements. Kevin McCabe, President of GM Ventures, said the technology has potential as "a safe, cost-effective solution using abundant, domestically sourced materials." The partnership reflects growing interest in diversifying battery technologies and their supply chains beyond conventional lithium-ion systems.

 

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Passive Cooling Technology Targets Lower Energy Storage Costs

 

Peak Energy's flagship battery system uses a passive cooling architecture designed to eliminate the need for conventional active cooling equipment. Battery storage installations typically require thermal management systems to maintain operating temperatures, which can increase electricity consumption, maintenance requirements and infrastructure costs. By simplifying these components, Peak aims to improve energy efficiency and reduce the lifetime cost of storage.

According to the company, its technology can reduce the cost of energy by up to 20% compared with conventional storage systems. Peak also claims its design requires no planned maintenance, consumes no water for cooling and produces virtually no operating noise. The company says its architecture addresses major causes of battery fires, potentially making the systems more suitable for installations near communities and commercial infrastructure. However, these performance and safety benefits remain manufacturer-reported claims, and the announcement does not provide independent comparative testing results or detailed lifecycle cost assessments.

 

AI Data Centres Create New Demand for Energy Storage

 

The company plans to expand its sodium-ion platform into data centre power infrastructure, where rapidly growing AI workloads are placing additional pressure on electricity networks. Data centre operators increasingly require energy systems capable of supporting continuous operations, managing peak demand and improving the reliability of electricity supply. Battery storage can help meet these requirements by storing electricity for later use and providing flexibility during changes in grid conditions.

Peak Energy argues that passively cooled sodium-ion systems could offer advantages in these applications by reducing auxiliary electricity consumption, cooling requirements and maintenance costs. Kenneth Safar, Managing Director at Maverick Silicon, said the company's integrated approach to battery chemistry, system design and manufacturing creates an opportunity to address growing energy infrastructure demand. Although Peak has announced its intention to enter the data centre market, the release does not identify a specific data centre customer deployment or disclose contracted capacity for this application.

 

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Customer Commitments Drive Commercial Expansion

 

Peak Energy reports more than $1 billion in customer commitments from utilities, power producers and other energy infrastructure customers. These agreements provide a commercial foundation for expanding manufacturing, but they do not represent completed sales or revenue already recognised. The company's ability to fulfil these commitments will depend on manufacturing capacity, production schedules and successful delivery of its battery systems.

Landon Mossburg, Co-founder and CEO of Peak Energy, said, "The investment we announce today will supercharge Peak's ability to scale and deliver as the world increasingly turns to passively cooled sodium-ion storage to solve our energy needs." The company is positioning its technology around the growing need for affordable and reliable electricity storage, particularly as renewable energy generation and large industrial electricity loads expand.

The $108 million financing gives Peak Energy additional capital to move towards larger-scale production, but its next challenge will be demonstrating consistent manufacturing output and commercial performance. The planned Sacramento facility will be an important test of whether sodium-ion technology can compete at scale with established lithium-ion systems on cost, reliability and operational efficiency.

For electricity utilities and data centre operators, sodium-ion batteries could provide greater technology choice as energy storage becomes increasingly important to grid reliability. The longer-term impact will depend on proven system performance, manufacturing economics and the ability to meet growing customer demand.