The Comeback of Nuclear Power: How Big Tech is Reviving an Industry
In 2024, a surprising headline emerged: Microsoft announced it would invest $1.6 billion to restart the iconic Three Mile Island nuclear power plant in Pennsylvania, a site infamous for its 1979 partial meltdown. This move marked a significant turning point in the nuclear energy landscape, which had stagnated for decades following the accident. The incident, though it caused no fatalities, deeply shaken public trust in nuclear power and halted the industry’s progress. Yet, Joe Dominguez, CEO of Constellation Energy, which owns half of America’s 54 nuclear plants, sees Three Mile Island as "hallowed ground" where the industry learned and improved. The plant’s reactor #2, which suffered the meltdown, was dismantled, but its neighboring reactor continued operating until 2019 when it closed due to economic pressures—cheap natural gas, low energy demand, and competition from subsidized renewable technologies. Now, Microsoft’s investment is breathing new life into the site, signaling a potential revival for nuclear energy.
Microsoft’s Bold Move: Powering the Future with Clean Energy
The tech giant’s interest in Three Mile Island is part of its broader commitment to achieving net-zero carbon emissions. Like Google, Apple, and other Big Tech companies, Microsoft has pledged to combat the climate crisis, investing heavily in wind and solar energy. However, the rise of artificial intelligence (AI) has intensified the demand for reliable, constant power. AI data centers consume enormous amounts of electricity, and renewable energy sources like wind and solar, while clean, are intermittent. This reality forced companies like Microsoft to explore nuclear power, which offers a consistent and carbon-free energy supply. By reopening Three Mile Island, Microsoft secures 20 years of clean energy at a fraction of the cost and time required to build a new plant. Dominguez emphasized that restarting an existing facility is "at least 10 times cheaper" and could be operational in three years, compared to the nearly decade-long process of constructing a new plant.
Big Tech’s Growing Investment in Nuclear Power
Microsoft’s move is just the beginning. Weeks later, Amazon and Google announced their own major investments in nuclear energy. Google is particularly focused on small modular reactors (SMRs), a new generation of nuclear technology designed to be smaller, safer, and more scalable. These reactors, unlike traditional nuclear plants with large cooling towers, can be built in modular units and combined to generate more power as needed. Michael Terrell, who leads Google’s decarbonization efforts, explained that the first advanced reactors could come online by 2030. Google is backing companies like Kairos Power, which is designing reactors that use fuel pebbles instead of traditional fuel rods. These pebbles, roughly the size of golf balls, contain graphite and uranium and pack the energy equivalent of four tons of coal, producing zero carbon emissions. Kairos is building three demonstration plants in Tennessee, on the site where uranium was processed for the first atomic bomb.
The Challenges of Reviving Nuclear Energy
Despite the optimism, nuclear power remains far from perfect. One major drawback is the production of radioactive waste, which requires safe and long-term storage solutions. Critics also question whether Big Tech’s foray into nuclear energy is feasible. Sharon Squassoni, a professor at George Washington University and a veteran researcher on nuclear safety, warns that small modular reactors are still largely theoretical. "There’s only one problem with small modular reactors: They don’t really exist," she said, doubting whether tech companies fully grasp the complexity and cost of building them. She believes the industry may be overestimating its capabilities, driven by "tech-bro overconfidence." Mike Laufer, CEO of Kairos Power, acknowledges the challenges but argues that starting small and scaling up is a pragmatic approach.
The Need for a Standardized Approach
If nuclear energy is to make a meaningful comeback, the industry must address its inefficiencies. Joe Dominguez points out that one of the biggest obstacles is the lack of standardization. Unlike other industries that benefit from mass production, nuclear plants are often one-off projects with unique designs, leading to higher costs and longer timelines. "If you build a cookie-cutter, one-after-another design, you can get there faster and cheaper," Dominguez said. This idea is widely understood in both government and industry circles, but execution remains a challenge. Dominguez believes that if the industry adopts standardized designs, it can overcome these hurdles and achieve growth.
A Clean Energy Future: Ambition Meets Reality
As Big Tech companies pour billions into nuclear power, the stakes are high. Michael Terrell remains optimistic about Google’s goal of achieving 24/7 carbon-free energy by 2030, though he admits it’s an "incredibly ambitious" target. Meanwhile, Constellation Energy is preparing Three Mile Island for its new role as the Crane Clean Energy Center, symbolizing the era of nuclear power’s rebirth. While the path ahead is uncertain, one thing is clear: the tech industry’s pivot to nuclear energy reflects a growing recognition of its potential to complement renewable sources and provide the reliable, carbon-free power needed for a sustainable future. Whether this ambition translates into reality will depend on innovation, collaboration, and perseverance.
