Google and a nuclear business announce a contract as the need for data center electricity rises.

Rohit Baniwal, writer

Brief news

  • Google plans to acquire electricity from Kairos Power’s small modular reactors (SMRs) to meet increasing data center energy demands and promote clean energy.
  • The initial reactor is expected to be operational by 2030, with a total of 500 megawatts planned by 2035.
  • The partnership highlights the growing trend of tech companies adopting nuclear power to achieve emissions-reduction goals.

Detailed news

Google announced on Monday that it will acquire electricity from Kairos Power, a developer of small modular reactors. This decision is in response to the increasing energy requirements of data centers, which are being met by tech companies through the use of nuclear power.

The technology company announced that it will acquire electricity from a fleet of SMRs manufactured by Kairos Power. Google stated that purchasing from numerous SMRs conveys a “important demand signal to the market” and is a long-term investment to expedite commercialization.

“We are of the opinion that nuclear energy is essential for advancing AI and promoting clean growth,” stated Michael Terrell, Google’s senior director of energy and climate, during a conference call with reporters. “The grid requires these types of clean, dependable energy sources to facilitate the implementation of these technologies.” We believe that nuclear energy can be a significant contributor to meeting our demand in a pure and efficient manner, and in a manner that is more consistent throughout the day.

The financial parameters of the agreement were not disclosed by the company.

There are only three SMRs in operation worldwide, and none are located in the United States. The expectation is that SMRs will provide a more cost-effective method of expanding nuclear power. In the past, large, commercial-scale nuclear reactor projects have been delayed and overbudget, and there is a great deal of optimism that SMRs will not experience the same fate. However, it is somewhat uncharted territory.

In 2016, Kairos Power was established with the support of the Department of Energy. The construction of the Hermes Low-Power Demonstration Reactor in Oak Ridge, Tennessee, was initiated by the company in July. Kairos Power employs molten fluoride salt as the reactor coolant, as opposed to water, which is the method employed in conventional nuclear reactors.

Google announced that the initial reactor will be operational by 2030, with additional reactors planned to be operational through 2035. The infrastructure will be expanded by a total of 500 megawatts. For instance, Unit 4 at Plant Vogtle, which was operational this year, has a capacity of 1.1 gigawatts. Nevertheless, there is substantial momentum behind SMRs. Advocates emphasize the advantages of reduced expenses, expedited completion times, and the ability to adjust the location.

Another illustration of the expanding alliance between nuclear power and technology companies is the announcement made on Monday. Currently, nuclear power is the sole source of emissions-free baseload power, which is essential for data centers to operate continuously. Numerous hyperscalers are adopting nuclear power as a means of achieving their ambitious emissions-reduction objectives.

Three Mile Island is being restarted by Constellation Energy to supply power to Microsoft’s data centers. Amazon has acquired a data center from Talen Energy that is powered by the Susquehanna nuclear power facility. Nuclear enterprises have received the backing of Bill Gates, Sam Altman, and Jeff Bezos.

Google reported that its emissions have increased by nearly 50% in comparison to 2019, a result of a rise in data center power consumption. This information was released earlier this year.

Terrell further stated, “It is an incredibly promising bet, and if we can successfully scale these projects and then scale them globally, they will provide immense benefits to communities and power grids worldwide.”

Source : CNBC News

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