As artificial intelligence drives an unprecedented surge in electricity demand across the U.S., Big Tech companies like Amazon, Google, Meta, and Microsoft are turning to nuclear fission startups to secure a stable, carbon-free energy supply for their data centers.
With traditional nuclear plants facing challenges and renewable sources unable to meet 24/7 needs, these tech giants are investing heavily in innovative small modular reactors (SMRs), which promise safer, more scalable solutions despite none being operational in the U.S. yet.
Why Nuclear Fission Appeals to Big Tech
The appeal of nuclear fission lies in its ability to provide a consistent, round-the-clock power source, essential for the energy-intensive demands of AI-driven data centers.
Unlike traditional nuclear plants that generate over 1 gigawatt with massive reactors, SMRs use modular designs that can be mass-manufactured, potentially reducing costs.
Recent data indicates that U.S. data centers could account for 9% of total power consumption by 2030, a sharp rise from 2-3% today, pushing tech companies to seek reliable alternatives to intermittent renewables like solar and wind.
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Leading Nuclear Fission Startups Backed by Big Tech
Kairos Power
Kairos Power, based in Alameda, California, has secured a deal with Google to supply 500 megawatts of electricity by 2035, with its first reactor expected online by 2030. The company’s SMRs use molten fluoride salt for cooling, enhancing safety by operating at lower pressures.
Kairos received a $629 million U.S. government award, including $303 million from the Department of Energy, and in November 2024, gained approval to build two 35-megawatt test reactors in Tennessee, with commercial units planned at 75 megawatts each.
Oklo
Oklo, supported by OpenAI CEO Sam Altman, targets data centers with its liquid metal-cooled SMRs, designed to minimize nuclear waste. Despite a 2022 license application denial, Oklo plans to resubmit in 2025 and has secured a deal to supply Switch with 12 gigawatts by 2044.
The company went public in 2023 via a reverse merger with Altman’s AltC, with investors including DCVC and Peter Thiel’s Mithril Capital Management.
Saltfoss (Formerly Seaborg)
Saltfoss envisions a unique approach by placing its molten salt-cooled SMRs on power barges, with each ship housing two to eight reactors.
The startup has raised nearly $60 million, backed by Bill Gates, Peter Thiel, and Unity co-founder David Helgason.
Saltfoss has partnered with Samsung Heavy Industries to construct these floating power plants, aiming to deliver scalable energy solutions.
TerraPower
Founded by Bill Gates, TerraPower is developing the Natrium reactor, a 345-megawatt sodium-cooled design with molten salt storage to manage energy demand fluctuations.
The company broke ground in Wyoming in June 2024, with investors like Cascade Investment, Khosla Ventures, and ArcelorMittal. Recent findings highlight TerraPower’s executive leadership expansion, signaling its growing momentum in the nuclear sector.
Did You Know?
Nuclear fission powers about 10% of global electricity today, offering a carbon-free alternative that could play a key role in decarbonization efforts if scaled effectively.
X-Energy
X-Energy secured $700 million from Amazon’s Climate Pledge Fund in 2023, alongside agreements to deploy 300 megawatts in the Pacific Northwest and Virginia. Its Xe-100 reactor, a high-temperature gas-cooled design, generates 80 megawatts using helium and fuel pebbles.
X-Energy’s approach contrasts with recent U.S. trends favoring other designs, but its partnership with Amazon underscores Big Tech’s commitment to nuclear innovation.
Challenges and Future Outlook
Despite the enthusiasm, SMRs face hurdles, with no operational units in the U.S. yet and past projects like NuScale’s canceled initiative in Idaho that highlighted cost challenges.
However, the Department of Energy’s $900 million investment in SMRs and growing tech sector support suggest a potential nuclear revival, with the first advanced reactors possibly online by the early 2030s.
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