Meta Seeks Nuclear Power Partners to Fuel Data Center Growth

Reese Morgan

Reese Morgan

December 04, 2024 · 3 min read
Meta Seeks Nuclear Power Partners to Fuel Data Center Growth

Meta, the tech giant behind Facebook and Instagram, is taking a bold step towards reducing its carbon footprint by seeking partners to develop nuclear power plants. The company has issued a request for proposals (RFP) to nuclear power developers, aiming to add 1-4 gigawatts of electricity generating capacity in the United States.

The move comes after Meta's previous attempt to build a nuclear-powered data center next to an existing reactor was rejected by regulators due to environmental concerns. This time, the company is willing to share costs and commit to buying power from the new reactors, which are expected to begin operation in the early 2030s.

The RFP process is moving quickly, with initial proposals due by February 5, 2025. Meta is open to flexible arrangements, allowing the new power plants to be built anywhere, as long as they can provide power to support the growth needs of the electric grids that power both Meta's data centers and the surrounding communities.

This approach may help Meta navigate regulatory hurdles, as authorities have expressed concerns about data center power needs impacting the overall grid stability. For instance, Amazon's plans for a new data center were stalled when the Federal Energy Regulatory Commission denied its bid to expand an existing power agreement, citing potential brownouts or blackouts for other customers.

Traditional nuclear power plants, rated around 1 gigawatt, have proven to be costly and time-consuming to build. However, small modular reactors (SMRs) offer a promising alternative, with claims of lower costs through modularization and mass production. While these claims remain untested at a commercial scale, tech companies are undeterred.

Microsoft, for example, is working to restart a reactor at Three Mile Island by 2028. Google has partnered with startup Kairos Power to secure 500 megawatts of electricity, while Amazon has invested in SMR startup X-Energy and signed two development agreements for around 300 megawatts of generating capacity.

The surge in interest from tech companies suggests that nuclear power is poised for a renaissance in the coming decade. Meta's announcement draws parallels with the tech industry's early support of renewable power developers, with the company stating its desire to "work creatively with developers to structure an agreement that will similarly enable development of nuclear technology."

However, the timing is crucial. Renewable power and batteries continue to decrease in cost, and several fusion power startups are promising to launch their first commercial-scale reactors in the early 2030s. While there may be room for multiple winners, not every competitor will succeed in this rapidly evolving landscape.

As the tech industry continues to drive innovation in the energy sector, Meta's RFP marks a significant step towards reducing its environmental impact. The outcome of this process will be closely watched, with implications for the future of nuclear power, data center growth, and the tech industry's role in shaping the energy landscape.

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