Tech Giants Turn to Nuclear Power Amid Rising AI Energy Demands

In recent months, major tech companies in the United States have increasingly turned to nuclear energy to support their expanding artificial intelligence operations. Microsoft signed a 20-year power purchase agreement with Constellation Energy for energy from the Three Mile Island reactor, which is set to reopen after its infamous partial meltdown in 1979. Google has also made strides by partnering with Kairos Power to utilize small modular nuclear reactors, with the first expected to be operational by 2030. Amazon has taken significant steps by entering multiple agreements to develop nuclear power sources, including a $500 million investment in next-generation reactors. These initiatives are driven by the growing energy demands of data centers that support AI and other technologies. The International Energy Agency predicts that energy consumption in AI and cryptocurrency sectors will more than double by 2026. As companies like Google and Amazon pursue ambitious climate goals, they recognize that nuclear energy can provide a reliable, carbon-free power source to meet their needs. Despite these efforts, the tech giants face challenges in achieving their climate targets. Google reported a 13% increase in emissions from 2022 to 2023, attributing part of this rise to AI's energy consumption. Similarly, Amazon has acknowledged mixed progress toward its climate commitments, although it has successfully matched its electricity consumption with renewable sources ahead of schedule. The shift towards nuclear energy reflects a broader trend among tech companies to find sustainable solutions to power their operations while addressing climate change concerns.