On October 14, 2024, Google announced a pioneering corporate agreement to purchase nuclear energy from multiple small modular reactors (SMRs) developed by Kairos Power. This initiative marks the world's first corporate deal of its kind, with the first reactor expected to be operational by 2030 and additional units anticipated to come online by 2035, collectively supplying around 500 megawatts of power.
Mike Laufer, CEO and co-founder of Kairos Power, emphasized the significance of the partnership, stating that Google's involvement in the development phase positions them as a key collaborator rather than just a customer. The reactors will utilize a molten-salt cooling system, differing from traditional water-cooled reactors, to generate electricity.
While the financial specifics of the agreement have not been disclosed, it remains uncertain where the SMRs will be located. Currently, there are no operational SMRs in the United States, and only three exist globally. Google is likely to establish data centers near the reactors to support its growing energy needs, particularly in relation to artificial intelligence.
Recent trends indicate a surge in energy demand from data centers, which are projected to consume more than 9% of the electricity generated on the grid by 2030, a significant increase from current levels. Experts have raised concerns about the grid's capacity to manage this demand, especially as reliance on traditional energy sources declines.
Google acknowledged the necessity for new electricity sources to facilitate advancements in AI technology. The company stated that this agreement is aimed at accelerating the adoption of clean and reliable energy technologies, thereby supporting the decarbonization of electricity grids worldwide.
Google joins other major tech companies, such as Amazon and Microsoft, in securing nuclear power partnerships to support their operational requirements. Amazon recently struck a deal with Talen Energy for the Susquehanna nuclear plant, while Microsoft announced plans to restart the Three Mile Island facility in collaboration with Constellation Energy. Google's agreement with Kairos Power will require approval and permitting from the Nuclear Regulatory Commission before proceeding.