Amazon joins Google, Microsoft in nuclear energy investment to power data centers

Amazon is aligning with Google and Microsoft in the shift towards nuclear energy as part of its strategy to meet increasing demand and achieve climate goals.

Amazon is investing in US firm X-energy to utilise nuclear reactors to power its data centres, News.Az reports, citing Euronews.

The announcement comes two days after a similar decision by Google , as both tech giants seek new sources of carbon-free electricity to meet surging demand from data centres and artificial intelligence.

X-energy said in a statement on Wednesday that Amazon was leading a $500m (€385m) funding round. Other contributors are Citadel founder and CEO Ken Griffin, Ares Management Corporation, private equity firm NGP, and the University of Michigan.

The size of Amazon's stake is undisclosed, although the firm will take two seats on X-energy's board of directors.

"The investments from Amazon, our Series C-1 funders, and valued partners like Dow and the US Department of Energy underscore X-energy's leadership in commercializing SMR [small modular reactor] technology and delivering the clean, safe, affordable, and reliable power our world needs now," said Kam Ghaffarian, Founder and Executive Chairman of X-energy.

Amazon and X-energy are aiming to have more than 5 gigawatts of SMR-generated power operational by 2039.

Small modular reactors are a type of nuclear reactor that can generate up to roughly one-third the amount of power of a traditional reactor.

Developers say small reactors will be built faster and at a lower cost than large power reactors, scaling to fit needs of a particular location.

They aim to start spinning up electricity in the early 2030s, if the Nuclear Regulatory Commission gives permission to build and operate their designs and the technology succeeds.

News.Az