NuScale Rockets Higher on Amazon Deal
I started writing about nuclear power back in March as it became VERY clear that AI was going to require a shit ton of power. Since then, I have been following and investing in a small modular reactor company based out of Oregon called NuScale power (SMR). At the time, NuScale was trading just under $10. Today, it's up to $22.00 as both Amazon and Google have made announcements that they will be investing in nuclear.

Google strikes a deal with a nuclear startup to power its AI data centers The company agreed to buy energy from seven small nuclear reactors built by Kairos Power.

https://www.engadget.com/big-tech/google-strikes-a-deal-with-a-nuclear-startup-to-power-its-ai-data-centers-201403750.html

More Nuclear Energy News

Back in March, I wrote about how generative AI requires an insane amount of computing power and as adoption increases rapidly, the demand for energy will surge. 

I predicted and continue to predict that AI companies will struggle to meet power demands, likely leading to the adoption of (small modular) nuclear reactors.  

This week, it was announced that DOE is funding $900 million for next-gen small modular reactor deployment. The anticipated funding aims to prepare the domestic nuclear industry for deployments, particularly those in information technology and data center industries, favoring the development of advanced and small modular nuclear (SMR) reactors to connect sustainability and power reliability goals.

Nuclear power is inevitable. 

Nuclear Power

Compute power and energy constraints — nuclear energy will be the only answer.

AI & The Inevitable Nuclear Power Debate

All this Generative AI (LLM and image generators) requires a shit ton of computing power which leads to insane energy consumption. As more and more people begin using these technologies/services, the demand for energy will exponentially increase. Think about how fast the internet was adopted. At first only a few people knew how to use it... but fast-forward a few years, and everyone was on it and understood the value. AI will be the same. We know it's gonna change everything. What I am most interested in is how it's gonna shape other markets, for example, what it's done to chipmaking and NVIDIA's valuation. 

These AI companies will NOT be able to meet the power demands while adhering to their carbon reduction pledges... the only answer will be NUCLEAR REACTORS. I anticipate that we will see intense debate surrounding nuclear power beginning next year. At the same time, we will see a race for companies to get U.S. Nuclear Regulatory Commission (NRC) approval to develop Small Modular Reactors (SMRs). So far, just one company, NuScale has been approved (12,000 page application and 2 million pages of supporting materials).

For a long time, I have thought nuclear energy just needed to be repositioned (A GOOD REBRANDING!) and now is the perfect opportunity. AI will pave the way for us to reconsider nuclear energy.