Tech Giants Turn to Nuclear Power to Meet AI’s Energy Demands
The growing demand for electricity to support AI is pushing major tech companies like Google, Microsoft, and Amazon to embrace nuclear energy. On Monday, Google announced a partnership with Kairos Power to build small modular reactors (SMRs), with the first expected to be operational by 2030. These reactors will provide 500 megawatts of power for Google's AI data centres.
In a similar move, Amazon has committed to a down payment for new nuclear reactors in Washington state, which will supply power to its data centres and local businesses. The company is also making an equity investment in a nuclear start-up and exploring a separate nuclear project in Virginia. Meanwhile, Microsoft has secured nuclear power from the Three Mile Island reactor, and Amazon has previously partnered with Talen Energy to buy power directly from a nuclear plant in Pennsylvania.
This trend highlights how tech giants are seeking reliable energy sources for their data centres while aiming to reduce their carbon footprints. Investors are increasingly eyeing companies like NuScale and Oklo, which are developing SMRs that could play a crucial role in powering future AI technologies. As the tech and energy sectors collaborate to meet the rising energy demands of AI, a shift towards nuclear energy is becoming more prominent.
Image by Gerd Altmann from Pixabay
Russell Shor
Senior Market Strategist
Russell Shor is a Senior Market Strategist at FXCM, having been promoted to the role in 2025 in recognition of his depth of insight and consistent delivery of high-impact market analysis. He originally joined FXCM in October 2017 as a Senior Market Specialist.
Russell holds an Honours Degree in Economics from the University of South Africa, is a certified FMVA®, and a full member of the Society of Technical Analysts (UK). With over 20 years of experience in financial markets, his work is renowned for its clarity, precision, and strategic value across asset classes.
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