A new partnership between Bill Gates’ nuclear startup TerraPower and Sabey Data Centers aims to power data centers with advanced nuclear reactors, marking a significant development in the intersection of nuclear energy and tech infrastructure.
The deal structure: TerraPower and Sabey Data Centers signed a memorandum of understanding to explore nuclear power opportunities for data center operations in Texas and the Rocky Mountain region.
- The collaboration focuses on deploying TerraPower’s Natrium reactor design to power both existing and future data center facilities
- TerraPower’s Natrium reactor is currently the only advanced technology of its kind with a pending commercial reactor construction permit application with the U.S. Nuclear Regulatory Commission
- The company’s demonstration project in Wyoming, which broke ground last year, is expected to begin operations in 2030
Market drivers: Growing energy demands from AI-powered data centers are pushing tech companies to seek reliable, clean energy sources.
- Data center electricity consumption has tripled in the past decade, according to Lawrence Berkeley National Laboratory
- Major tech companies are increasingly turning to nuclear power solutions, with Microsoft recently arranging to restart a retired reactor at Three Mile Island
- Both Google and Amazon have announced plans to support advanced reactor development for their data center operations
Technical challenges: The path to implementation faces several hurdles that need to be addressed.
- TerraPower’s next-generation reactor technology must still clear regulatory requirements
- The company needs to demonstrate commercial viability of its smaller, more easily sited reactor design
- Environmental concerns regarding uranium mining and radioactive waste storage continue to generate opposition from some advocacy groups
Industry perspective: Key stakeholders emphasize the transformative potential of this collaboration.
- TerraPower CEO Chris Levesque highlighted the unprecedented pace of energy sector transformation and the need for strategic industry partnerships
- Bill Gates, TerraPower’s founder, has expressed strong support for nuclear energy as a solution to climate change, citing advances in safety, fuel use, and waste management
Looking ahead: The success of this partnership could signal a broader shift in how data centers approach their energy needs, though significant technical and regulatory challenges remain before TerraPower’s nuclear solutions can be fully implemented. The outcome of the Wyoming demonstration project will likely serve as a crucial indicator of the technology’s commercial viability and its potential to reshape the relationship between nuclear power and digital infrastructure.
Recent Stories
DOE fusion roadmap targets 2030s commercial deployment as AI drives $9B investment
The Department of Energy has released a new roadmap targeting commercial-scale fusion power deployment by the mid-2030s, though the plan lacks specific funding commitments and relies on scientific breakthroughs that have eluded researchers for decades. The strategy emphasizes public-private partnerships and positions AI as both a research tool and motivation for developing fusion energy to meet data centers' growing electricity demands. The big picture: The DOE's roadmap aims to "deliver the public infrastructure that supports the fusion private sector scale up in the 2030s," but acknowledges it cannot commit to specific funding levels and remains subject to Congressional appropriations. Why...
Oct 17, 2025Tying it all together: Credo’s purple cables power the $4B AI data center boom
Credo, a Silicon Valley semiconductor company specializing in data center cables and chips, has seen its stock price more than double this year to $143.61, following a 245% surge in 2024. The company's signature purple cables, which cost between $300-$500 each, have become essential infrastructure for AI data centers, positioning Credo to capitalize on the trillion-dollar AI infrastructure expansion as hyperscalers like Amazon, Microsoft, and Elon Musk's xAI rapidly build out massive computing facilities. What you should know: Credo's active electrical cables (AECs) are becoming indispensable for connecting the massive GPU clusters required for AI training and inference. The company...
Oct 17, 2025Vatican launches Latin American AI network for human development
The Vatican hosted a two-day conference bringing together 50 global experts to explore how artificial intelligence can advance peace, social justice, and human development. The event launched the Latin American AI Network for Integral Human Development and established principles for ethical AI governance that prioritize human dignity over technological advancement. What you should know: The Pontifical Academy of Social Sciences, the Vatican's research body for social issues, organized the "Digital Rerum Novarum" conference on October 16-17, combining academic research with practical AI applications. Participants included leading experts from MIT, Microsoft, Columbia University, the UN, and major European institutions. The conference...