US energy startup Petra Power is developing fuel cell technology designed to reduce fuel costs and emissions for data centres and military vehicles, as demand for electricity continues to rise.
Founded in 2017, the company produces solid oxide fuel cells, ceramic devices which convert fuels such as natural gas into electricity without combustion. The technology could provide a more efficient alternative to conventional power generation, with potential applications across the technology and defence sectors.
Petra Power founder Aaron Goodman said the company’s fuel cells offer lower fuel costs and emissions than traditional power sources, while taking up less space due to their compact and lightweight design. The technology could prove particularly useful for data centres, which are facing increasing electricity demands driven by the growth of artificial intelligence (AI).
Goodman explained that conventional power generation involves several stages, with energy lost as fuel is converted into heat, motion and ultimately electricity. Fuel cells use a more direct process to generate power, which could improve efficiency and reduce operating costs.
The company is targeting two main markets: data centre operators and the US Department of Defense. Both sectors have growing requirements for reliable power, with Petra hoping to establish its technology as an alternative to existing systems.
Petra is currently working with smaller cloud computing providers and other infrastructure companies, with the first deployments targeted for 2028. The company hopes to begin full-scale production in 2029, although agreements with larger technology firms remain under development.
Goodman said major technology companies remain an important target for the business, given their substantial electricity requirements and potential to benefit from more efficient power generation. He added that Petra was continuing to develop relationships with the largest data centre operators as it works towards wider adoption of its technology.
The defence sector offers a separate opportunity, with Petra developing fuel cells that could provide auxiliary power for military land vehicles. The systems would supply electricity to onboard equipment when a vehicle’s main engine is switched off, potentially reducing the need to keep engines running to power secondary systems.
The technology remains in the testing phase, however, and has yet to be deployed on an operational vehicle. The US government is assessing the product as part of the process of determining whether to proceed with further development and deployment.
Petra is currently a small business employing around 15 people, but Goodman said the company was looking to expand its defence work in the coming years. The startup has received nearly $9 million in contracts from the US Department of Defense, providing a foundation for further development of its fuel cell systems.
The company has also been selected for TechCrunch Startup Battlefield 200, a programme highlighting 200 startups, providing an opportunity to showcase its technology to investors and the wider technology industry.
Petra’s development comes as data centre operators seek new ways to meet rising power requirements, while defence organisations continue to explore technologies that could improve the efficiency of military equipment. The company’s next steps will depend on the results of its testing programme, its ability to secure further customers and its plans to move towards commercial production over the next three years.
