Roughly one-third of America’s nuclear plants are currently in talks with tech companies to provide electricity for artificial intelligence data centers, reflecting the rapidly rising power demands of the AI boom.
As reported by the Wall Street Journal, Amazon Web Services is leading the AI industry in nuclear proliferation, securing a contract with Constellation Energy, the country’s largest provider of nuclear energy, to supply atomic power to a new data center on the East Coast.
In a previous deal between the two companies earlier this year, Amazon purchased a nuclear-powered data center in Pennsylvania for $650 million. This facility is located directly adjacent to the 2.5 gigawatt power plant at Salem Township in Luzerne County, Pennsylvania.
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Access to the full power of a nuclear facility can allow AI companies to reach new heights in productivity and processing, but as the Journal notes, these arrangements are not without their drawbacks.
According to the outlet, sending energy to data centers “would be effectively diverting existing electricity resources” and “could raise prices for other customers and hold back emission-cutting goals.” The Amazon data center in Philadelphia, for example, can receive up to 960 megawatts of electricity—enough to power thousands of homes.
Another problem is the rapid proliferation of data centers as more companies expand into the AI industry, potentially outpacing the current power grid. In the last year, the nine-year projections for data center growth have more than doubled and now stand at an anticipated rate of 4.7 percent per year. Peak demand is expected to reach 38 gigawatts, equivalent to 12.7 million homes.
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The move towards nuclear energy marks the latest step in the tech sector’s effort to turn to clean, renewable energy. This push will allow them to continue making advancements in their chosen sectors while also delivering on climate pledges and keeping up with strict government regulations.
Connor Walcott is a staff writer for Valuetainment.com. Follow Connor on X and look for him on VT’s “The Unusual Suspects.”
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