Nuclear Power: A Clean Energy Solution for Tech Giants?

Google has partnered with Elementl Power to develop three nuclear power sites to fuel its data centers. This is part of a growing trend of tech firms seeking clean and scalable energy solutions for their data center operations. Other companies like Microsoft and Amazon have also made similar deals with nuclear energy providers. As the demand for AI-powered data centers increases, clean energy sources like nuclear power will become more important for tech companies with ESG standards. Publicly-traded energy companies like Constellation Energy, Duke Energy, and Exelon are well-positioned to benefit from this trend.

Google and Elementl Power have announced a strategic partnership to develop three nuclear power projects, aiming to bring over 10 gigawatts of nuclear energy online in the United States by 2035. This collaboration is part of a broader trend among tech companies seeking clean and scalable energy solutions for their data center operations [1].

Google's involvement in the partnership includes committing early-stage development capital to advance the projects. Each of the three sites is expected to generate at least 600 megawatts of nuclear power. This agreement aligns with Google's ongoing efforts to source 24/7 base-load energy to support its operations and strengthen power grids [2].

Elementl Power, founded in 2022, plans to use Google’s funding for early-stage tasks such as permitting and securing transmission rights. The company’s goal is to add 10 gigawatts (GW) of nuclear capacity to the U.S. grid by 2035. Once the projects reach a final investment stage, Elementl will raise capital from other sources, including infrastructure funds, to actually build the projects [1].

Google's commitment to nuclear energy follows its October 2023 partnership with Kairos Power to support small modular reactors (SMRs). The first reactor in that deal is projected to be up and running by 2030, with more reactors coming online by 2035. This initiative is part of Google's strategy to provide the immense power required by AI without increasing its carbon footprint [2].

Constellation Energy, a publicly-traded energy company, has also been actively involved in the nuclear energy sector. In January 2025, Constellation was awarded a record-setting $1 billion contract by the U.S. General Services Administration (GSA) to supply power to more than 13 government agencies. This agreement highlights the growing importance of nuclear energy in meeting the energy demands of both corporations and the government [3].

As the demand for AI-powered data centers increases, clean energy sources like nuclear power will become more critical for tech companies with Environmental, Social, and Governance (ESG) standards. Publicly-traded energy companies like Constellation Energy, Duke Energy, and Exelon are well-positioned to benefit from this trend [1].

References:
[1] https://www.upi.com/Top_News/US/2025/05/07/google-elementl-power-nuclear-energy/7671746632157/
[2] https://stocktwits.com/news-articles/markets/equity/google-partners-with-elementl-power-to-develop-3-advanced-nuclear-projects-for-data-center-energy/chiBW47RbjE
[3] https://www.constellationenergy.com/newsroom/2025/constellation-wins-record-setting-federal-government-clean-nuclear-energy-procurement.html