Tech companies developing AI need a lot of energy to power their data centers. Nuclear is one solution.
(Photo by Armin Weigel/picture alliance via Getty Images)
Major tech companies are investing in nuclear power to support AI data centers.
Nuclear energy provides clean, constant power for data centers.
These investments also help companies reinforce sustainability goals.
Tech companies are turning to nuclear power to advance their AI ambitions.
From Amazon to Google, companies at the forefront of the AI boom are investing in nuclear energy to fuel data centers — which provide the infrastructure and resources needed to train and run AI models.
Aside from generating enormous amounts of power, nuclear power is also an attractive choice for companies hoping to meet global net zero goals.
"Companies committed to strong climate goals must ensure their future energy needs are met with clean, carbon-free sources. Nuclear energy, with its unmatched ability to deliver 24/7 power, fits the bill perfectly," Kathryn Huff, an associate professor of nuclear, plasma, and radiological engineering at the University of Illinois Urbana-Champaign and the former assistant secretary for nuclear energy at the Department of Energy, told Business Insider by email.
Here's a closer look at how tech companies are investing in nuclear energy.
AmazonAmazon announced several deals this week as part of its embrace of nuclear energy.
NurPhoto
On Wednesday, Amazon announced it had signed new agreements enabling the development of several small modular reactors — which have a smaller footprint and shorter build times than traditional reactors — to power its data centers.
Energy Northwest, a consortium of public utilities, will construct, own, and operate four reactors across Washington. Amazon is also investing $500 million in X-Energy — a developer of small nuclear reactors and fuel. X-Energy's designs will be used in the Energy Northwest project, the company said.
Amazon is also partnering with utility company Dominion Energy to "explore the development" of a small modular reactor project near the North Anna nuclear power station in Virginia.
Amazon executives said nuclear power offers the cleanest energy to meet the demands of its large data centers.
"One of the fastest ways to address climate change is by transitioning our society to carbon-free energy sources, and nuclear energy is both carbon-free and able to scale—which is why it's an important area of investment for Amazon,"Matt Garman, the CEO of Amazon Web Services, said in a press release.
MicrosoftMicrosoft has a 20-year deal with energy supplier Constellation Energy.
Jakub Porzycki/NurPhoto via Getty Images
In September, energy supplier Constellation Energy struck a deal with Microsoft to provide the tech giant with nuclear power for the next two decades by resurrecting part of the Three Mile Island nuclear plant in Pennsylvania.
A spokesperson for Constellation previously told Business Insider that it plans to invest $1.6 billion to reopen one of the Pennsylvania plant's two reactors.
Bobby Hollis, Microsoft's vice president for energy, told Bloomberg that the Three Mile Island reactor will assist Microsoft in meeting its goal of becoming carbon-negative by 2030 and that energy from the site will be used to expand data centers in Pennsylvania and neighboring states.
GoogleGoogle announced an investment in Kairos Power to build small modular reactors.
Justin Sullivan/Getty
On Monday, Google said it would purchase nuclear energy from Kairos Power, a California-based company developing small modular reactors. Kairos Power has nuclear projects in New Mexico and Tennessee.
Google said itplans to bring the first small modular reactor in eastern Tennessee online by 2030 and continue with additional deployments through 2035. Overall, the deal will enable up to 500 megawatts of "new 24/7 carbon-free power" for US electricity grids, according to Google.
OpenAI OpenAI CEO Sam Altman owns a 6% stake in nuclear reactor startup, Oklo.
Jason Redmond/AFP/Getty Images
OpenAI CEO Sam Altman is backing a nuclear reactor startup called Oklo, which also develops small modular reactors.
The company plans to directly sell power to customers through long-term contracts. It went public after merging with Altman's SPAC in May.
Last month, Oklo announced that the Department of Energy had authorized the company to conduct site investigations for its planned reactor at Idaho National Laboratory.
Microsoft, Google, and OpenAI did notrespond to a request for comment from Business Insider.
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