Can Nuclear Power Sustain AI's Growing Energy Demands

As artificial intelligence (AI) technologies rapidly expand, the energy required to power data centers is skyrocketing. Tech giants such as Google, Amazon, Microsoft, and Meta are increasingly turning to nuclear power as a potential solution to meet these soaring demands while adhering to ambitious climate goals. Nuclear energy offers a clean, firm, and carbon-free power source that can operate continuously, aligning well with the 24/7 operational needs of AI data centers.

However, a critical challenge remains: the timeline for building new nuclear reactors. While AI companies require substantial power increases within the next three to five years, constructing new nuclear plants typically takes close to a decade. Advanced nuclear technologies, such as small modular reactors (SMRs), promise faster deployment but are still in early development stages, with initial commercial demonstrations years away.

In the interim, tech companies may continue to rely on fossil fuels, including coal and natural gas, to bridge the energy gap, potentially undermining climate objectives. Existing nuclear reactors offer a partial solution; for example, Microsoft’s power purchase agreement to reopen the Three Mile Island Unit 1 reactor exemplifies efforts to extend current nuclear capacity. Yet, the limited number of reactors suitable for extension or reopening restricts the scale of impact.

Investment in next-generation nuclear technologies is gaining momentum. Google’s agreement with Kairos Power to purchase electricity from molten-salt-cooled reactors and Amazon’s collaboration with X-energy on small modular reactors illustrate the tech sector’s commitment to pioneering safer, more efficient nuclear solutions. These projects, however, are primarily demonstration-scale and will not meet the massive energy demands of AI data centers by 2030 alone.

The projected increase in data center energy consumption is staggering. Estimates suggest a potential 165% rise globally by 2030, with US data centers possibly consuming up to 400 terawatt-hours annually—surpassing the entire electricity demand of Mexico. This surge necessitates a multifaceted energy strategy combining nuclear, renewables, energy storage, and grid modernization to ensure reliability and sustainability.

Political support for nuclear energy remains relatively strong across the spectrum, contrasting with the increasing polarization around renewable energy sources. This bipartisan backing could facilitate regulatory approvals and funding mechanisms necessary for nuclear expansion. Nevertheless, the scale of new construction required—potentially increasing the US nuclear fleet by 50%—is unprecedented and demands coordinated efforts from industry, government, and technology leaders.

Ultimately, no single energy source will suffice to meet the AI revolution’s power needs sustainably. Experts emphasize the importance of integrating nuclear power with wind, solar, geothermal, and energy storage solutions to build a resilient, low-carbon energy ecosystem. Decisions made today regarding energy infrastructure will shape the grid’s composition through 2040 and beyond, influencing both climate outcomes and technological progress.

For AI developers, businesses, and policymakers, understanding the interplay between nuclear energy and AI infrastructure is crucial. Strategic investments and partnerships can accelerate the deployment of advanced nuclear technologies while ensuring that immediate energy demands are met responsibly. This balanced approach will be key to powering the AI future sustainably and effectively.