Google has struck a groundbreaking deal to power its data centers with advanced nuclear energy, marking a significant shift in how tech giants plan to meet their soaring electricity demands. The partnership involves Kairos Power, a nuclear technology company, and the Tennessee Valley Authority (TVA), one of America’s largest public power providers, to build a next-generation reactor specifically designed to support Google’s operations.
The collaboration centers on the Hermes 2 plant in Oak Ridge, Tennessee, which will begin delivering clean electricity to Google’s data centers in Tennessee and Alabama starting in 2030. This represents the first time a U.S. utility has committed to purchasing power from an advanced Generation IV reactor—a new class of nuclear technology designed to be safer and more efficient than traditional plants.
Why tech companies are embracing nuclear power
The partnership reflects a broader trend among technology companies grappling with explosive energy demands driven by artificial intelligence and cloud computing. Data centers require constant, reliable electricity to maintain operations around the clock, making traditional renewable sources like solar and wind—which depend on weather conditions—insufficient on their own.
Nuclear power offers what energy experts call “firm” or “baseload” power, meaning it can generate electricity continuously regardless of weather conditions. This reliability is crucial for data centers that cannot afford power interruptions, especially as AI workloads become increasingly sophisticated and energy-intensive.
The technical details
Hermes 2 will generate up to 50 megawatts of electricity, enough to power approximately 40,000 homes. Kairos Power redesigned the reactor to nearly double its originally planned output of 28 megawatts, using advanced reactor technology that operates at higher temperatures and with improved safety systems compared to conventional nuclear plants.
The project operates through a power purchase agreement (PPA), a long-term contract where Google commits to buying the plant’s electricity output through TVA’s grid system. This arrangement allows Google to claim the environmental benefits of carbon-free power while supporting the development of advanced nuclear technology.
This initial project represents just the beginning of Google’s nuclear ambitions. The company has committed to bringing 500 megawatts of advanced nuclear capacity online by 2035—enough to power roughly 400,000 homes—as part of its broader strategy to decarbonize its operations while meeting growing energy demands.
Industry significance
The deal establishes important precedents for the energy industry. Amanda Peterson Corio, Google’s global head of data center energy, emphasized the collaboration’s role in accelerating innovative nuclear technologies while supporting economic growth. “To power the future, we need to grow the availability of smart, firm energy sources,” she explained, noting that lessons from Hermes 2 will help reduce costs for future reactors.
Mike Laufer, CEO and co-founder of Kairos Power, highlighted the project’s commercial importance. The partnership provides crucial financial backing for advanced nuclear technology, which has historically struggled to attract investment due to high upfront costs and regulatory uncertainties.
Don Moul, president and CEO of TVA, framed the partnership in broader strategic terms, calling energy security a matter of national security. “Electricity is the strategic commodity that is the building block for AI and our nation’s economic prosperity,” he said, positioning the project as essential for America’s competitiveness in artificial intelligence development.
Four key advantages of nuclear power for data centers
Always-on reliability
Nuclear power plants operate continuously, providing electricity 24 hours a day, 365 days a year, regardless of weather conditions. This consistency makes nuclear energy ideal for data centers that require uninterrupted power to maintain critical operations and avoid costly downtime.
High energy density
Nuclear fuel produces dramatically more electricity per unit than other energy sources. A single uranium fuel pellet the size of a fingertip contains as much energy as a ton of coal, allowing nuclear plants to generate massive amounts of power using relatively small physical footprints—a crucial advantage as data centers expand rapidly.
Carbon-free operation
Nuclear power produces virtually no greenhouse gas emissions during operation, helping companies meet ambitious climate commitments while scaling their operations. As governments and corporations commit to net-zero emissions targets, nuclear offers a pathway to dramatically increase energy consumption without proportionally increasing carbon footprints.
Next-generation flexibility
Advanced nuclear technologies, including Small Modular Reactors (SMRs), offer greater deployment flexibility than traditional large-scale plants. These smaller units can be built closer to data centers or technology campuses, providing dedicated local power while reducing transmission losses and improving grid resilience.
Looking ahead
The Google-Kairos-TVA partnership signals a potential transformation in how major technology companies approach their energy needs. Rather than relying solely on traditional renewable sources supplemented by natural gas backup power, tech giants are increasingly viewing advanced nuclear as a critical component of their clean energy strategies.
The project’s success could accelerate broader adoption of next-generation nuclear technology across the industry. Other major technology companies, including Microsoft and Amazon, have already announced their own nuclear energy initiatives, suggesting this partnership may represent the beginning of a significant shift in corporate energy procurement strategies.
As artificial intelligence continues driving unprecedented growth in data center electricity demand, the marriage of cutting-edge computing technology with advanced nuclear power may prove essential for maintaining America’s technological leadership while meeting climate objectives.
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