Fusion startup Helion has been awarded $175 million in federal funding to research, develop, and manufacture advanced semiconductors and power electronics for its fusion power plants, the company announced on Thursday.

Currently, those devices lose about 5% to 10% of the electricity that flows through them. While those losses seem small, they can compound themselves in a complex system like Helion’s.

“If we can cut that loss in half, that’s actually twice the power output of the fusion system,” David Kirtley, co-founder and CEO at Helion, told TechCrunch.

Helion has been racing to complete its first power plant, Orion, in time to meet a 2028 deadline to provide Microsoft with electricity from the grid. Funding from the award will help Helion build automated semiconductor module, packaging, and testing capacity to supply the fusion machine that’s currently under construction.

The new production line, to be built in Washington State, will be the first in the U.S.…