Meta seeks nuclear power to fuel AI expansion

Meta’s venture into nuclear energy partnerships represents a significant shift in how major technology companies are approaching their growing energy needs, particularly as artificial intelligence development demands more power.

The big picture: Meta’s request for proposals to partner with nuclear energy developers signals a broader trend of tech giants seeking sustainable power sources for their expanding AI operations and data centers.

• The company aims to add 1-4 gigawatts of new nuclear generation capacity in the US by the early 2030s, representing a significant portion of current nuclear capacity
• Meta is seeking partners who can handle all aspects of nuclear power plant development, from permitting to operation
• This move aligns with similar initiatives from other tech giants including Amazon, Microsoft, and Google

Current nuclear landscape: The United States is experiencing a revival in nuclear energy interest after years of plant closures and construction challenges.

• The nation currently operates 54 nuclear power plants with a combined capacity of 97GW, providing 19% of US electricity
• The first new nuclear reactor built in decades began operation in 2023, though it faced significant delays and budget overruns
• Small modular reactors (SMRs) are being developed as a next-generation solution, though commercial viability isn’t expected until the 2030s

Tech industry momentum: Major technology companies are actively pursuing nuclear power agreements to support their operations.

• Amazon purchased a nuclear-powered data center campus and made additional investments in SMR development
• Google established agreements to purchase electricity from future SMR installations
• Microsoft signed an agreement to restart a reactor at Three Mile Island

Policy environment: Nuclear energy development is receiving substantial government support and enjoys rare bipartisan backing.

• The Biden administration has outlined plans to triple nuclear energy capacity by 2050
• The Inflation Reduction Act provides investment and tax incentives for nuclear development
• Nuclear power maintains support across political lines, with both Biden and Trump expressing favor for the technology

Implementation challenges: Despite growing interest, nuclear power expansion faces several significant hurdles.

• Construction of new nuclear facilities historically faces lengthy delays and cost overruns
• Advanced reactor technologies still need to prove their viability at scale
• Ongoing challenges exist regarding uranium fuel security and radioactive waste storage
• The timeline for new nuclear projects may not align with immediate climate action goals

Looking ahead: While nuclear power shows promise for supporting AI development and reducing carbon emissions, the industry’s ability to scale quickly enough to meet ambitious climate targets remains uncertain, particularly given historical challenges with project completion and the nascent state of newer technologies like SMRs.