The Register: Amazon makes $500M bet on itty-bitty nuclear reactors to fuel cloud empire

Source URL: https://www.theregister.com/2024/10/16/amazon_nuclear_smr/
Source: The Register
Title: Amazon makes $500M bet on itty-bitty nuclear reactors to fuel cloud empire

Feedly Summary: The duo eyes a target of 5 GW online in US by 2039, assuming tech comes to fruition
With energy scarcity threatening to derail datacenter ambitions, cloud providers are looking for salvation in the atom.…

AI Summary and Description: Yes

**Summary:** The text discusses Amazon’s recent initiatives to support the development of small modular reactors (SMRs) as a means to address energy scarcity impacting data center operations. Amazon’s aim is to utilize nuclear energy to power its extensive cloud infrastructure while making strides towards its sustainability goals. The challenges related to costs, regulatory hurdles, and public perception surrounding nuclear energy are also highlighted, as other tech giants like Microsoft and Google pursue similar paths.

**Detailed Description:**
The article provides a comprehensive overview of how major cloud providers, particularly Amazon, are exploring nuclear energy through the development of small modular reactors (SMRs) to alleviate energy constraints affecting data centers. Here are the key points:

– **Amazon’s SMR Initiatives:**
– Plans to invest in three nuclear energy projects focused on constructing small modular reactors.
– SMRs are designed to be compact, mass-produced, and have quicker build times, facilitating deployment closer to energy grids.
– Amazon’s investment in X-energy is aimed at bringing over 5 gigawatts of SMR capacity online in the U.S. by 2039.

– **Benefits of Nuclear Energy:**
– SMRs offer a carbon-free energy source crucial for powering cloud operations and aligning with Amazon’s commitment to achieve net-zero carbon emissions by 2040.
– The planned SMR projects in Washington State could power approximately 770,000 homes.

– **Project Scope and Collaboration:**
– Amazon’s partnership with Energy Northwest will see the development of four advanced SMRs, which are projected to generate about 320 megawatts initially.
– Additionally, agreements with Dominion Energy to explore SMRs in Virginia hint at expanding energy solutions to meet future demands.

– **Industry Trends:**
– Other key players like Microsoft and Google are also venturing into SMR territory, with each pursuing separate initiatives to integrate nuclear solutions for their data centers.
– Microsoft has hired a director of nuclear technologies and has signed agreements related to fusion energy.

– **Challenges and Criticisms:**
– Despite the interest, challenges such as high costs, regulatory hurdles, public safety perceptions, and lengthy development timelines remain significant barriers to the widespread adoption of SMRs.
– Critics have raised concerns about the economic feasibility and risk associated with SMRs, as evidenced by abandoned projects like NuScale’s planned facility in Utah.

– **Strategic Acquisitions:**
– Amazon’s acquisition of a nuclear data center complex adjacent to an existing power plant showcases a strategy to leverage existing nuclear infrastructure while awaiting new development.

In summary, the article illustrates a current trend where cloud service providers are pivoting to nuclear energy solutions to secure sustainable and reliable power sources. However, they must navigate several significant obstacles, including economic factors and public sentiment, as they advance in this domain. This is highly relevant for security and compliance professionals as the interplay of energy procurement strategies with regulatory requirements and public safety perceptions will affect overall infrastructure and operational security.