Amazon is turning to nuclear power to support the energy demands of its AI infrastructure expansion.
The move comes as traditional renewable sources like wind and solar struggle to meet the increasing electricity needs driven by AI and cloud computing.
Nuclear energy is seen as a stable, carbon-free alternative capable of providing 24/7 power for AI infrastructure.
Amazon's shift in energy procurement priorities includes reliability, regulatory alignment, and long-term sustainability.
AWS will now receive power through the PJM Interconnection, complying with transmission cost-sharing rules and grid reliability standards.
An agreement with Talen will explore the deployment of Small Modular Reactors (SMRs) in Pennsylvania, aligning with Amazon's sustainability goals.
The Pennsylvania investments, including data center campuses, are part of Amazon's $20 billion initiative set to create high-skilled jobs.
Amazon's nuclear strategy could influence other tech companies, with Microsoft and Meta also exploring nuclear partnerships.
The success of SMR deployment will be a crucial test of advanced nuclear technology's ability to scale for digital-era energy demands.