Big Tech enters a nuclear arms race

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Big Tech’s growing reliance on nuclear energy is becoming impossible to ignore. With AI and data centers demanding massive amounts of power, companies like Google, Amazon, and Microsoft are turning to nuclear energy to meet their needs while also addressing environmental concerns.

Google made headlines on October 14, 2024, with a groundbreaking deal to purchase energy from Kairos Power’s small modular reactors (SMRs), ensuring a reliable, carbon-free power source for its AI projects. Just two days later, Amazon announced a bold $500 million investment in its own SMRs to support Amazon Web Services (AWS) and handle the rising electricity demands. Microsoft, too, made waves in September by announcing plans to reopen the Three Mile Island nuclear plant in Pennsylvania, repurposing it to power its data centers.

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This shift isn’t just about keeping the lights on—it’s a game changer for both the tech and energy sectors. The race to secure nuclear energy marks a turning point as these companies aim to balance their environmental goals with the staggering energy needs of AI. With massive investments pouring in, this new “nuclear arms race” could reshape not only the energy industry but also global energy policy in ways we haven’t yet fully grasped.

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Sources:
https://gizmodo.com/techs-race-to-go-nuclear-is-exciting-its-also-going-to-be-really-frickin-hard-2000512604

https://www.msn.com/en-us/money/technology/big-tech-turns-to-nuclear-energy-to-power-ai-boom/ar-AA1soB7o

https://www.nbcnewyork.com/news/business/money-report/why-big-tech-is-turning-to-nuclear-to-power-its-energy-intensive-ai-ambitions/5892398/