As it turns out, if you’re a tech CEO and your business plan does not include “follow the leader”... well, then you're an idiot. In short, after Microsoft and Google made their moves, Amazon has just signed three new nuclear power deals. Yep, because of course. 

I told you “Nuclear” would be the new buzzword of the year. 

(Source: Giphy) 

Apparently, AWS boss man Matt Garman is convinced that small modular reactors (SMRs) are the future of keeping Amazon’s data centers juiced and oiled up. For instance, Forbes dropped the news this morning that Amazon is partnering with Dominion Energy, X-energy, and Energy Northwest to bring these mini-nukes online. And, in typical Amazon fashion, they’re not doing this by halves — they’re betting big.

(Source: Yahoo Finance) 

But before you start picturing a nuclear-powered Prime delivery drone landing in your backyard, let’s unpack what’s actually happening. SMRs are essentially smaller, more flexible nuclear reactors. Think of them like the fun-sized version of traditional reactors, but with less meltdown potential. And they’re carbon-free, which checks a big box for Amazon’s net-zero by 2040 pledge.

The reason for this latest move is because not surprisingly, Amazon’s data centers are legit energy black holes. Especially now that AI is all the rage, these facilities are gobbling up electricity like there’s no tomorrow. Solar and wind? They’re good, but for the swaths of energy that is required to feed the one technology set to be our self-fulfilling doomsday… these energy sources just aren’t cutting it. 

(Source: Giphy) 

Which again is where SMRs come in. These mini-reactors can pump out power 24/7, no questions asked. And it’s the very reason why Amazon isn’t just dipping a toe in, they’re cannonballing into the nuclear pool. First, they’re working with Dominion Energy to build SMRs in Virginia. Then, they’re cutting a $500 million check for X-energy — a startup that’s already building reactors in Texas. And, just to cover all their bases, they’ve also partnered with Energy Northwest to explore SMR projects in Washington State.

(Source: Spectrum) 

That’s a lot of nuclear ambition. But hey, when you’ve got AWS data centers slurping up megawatts like it’s their job (which, let’s be real, it kinda is), you’ve gotta think big. Or, in this case, think small — as in small modular reactors. 

(Source: Stanford) 

But, but, but… with that said, here’s the thing: no SMRs are actually operational in the U.S. yet. Zilch. Nada. So, yeah, Amazon’s making a big bet on tech that hasn’t even hit the market. Bold move, but also a bit of a gamble. And while SMRs are supposed to be more affordable than traditional reactors, no one really knows what the final price tag is going to look like.

Oh, and then there’s the whole radioactive waste situation. Sure, it’s less of a headache than the old-school reactors, but it’s still not something you want lying around. Garman’s confident that SMR tech has come a long way since the days of Homer Simpson-style disasters, but the reality is, nuclear power — no matter how small — still raises eyebrows.

(Source: Giphy) 

In the end though, Amazon’s officially going nuclear for two good reasons: To keep up with Microsoft and Google and to feed the insatiable energy appetite of their AI-driven data centers. Again, this is a bold move that could pay off big time - if everything goes according to plan.But with no operational SMRs in the U.S. yet and a lot of regulatory hurdles to clear, it’s not exactly a sure bet.

Still, if anyone can make nuclear power cool again, it’s probably Amazon. And if not, well… at least they’ll be able to deliver the bad news really fast. 

(Source: Giphy) 

In the meantime, keep an eye on these Amazon deals going forward despite the stock dipping -0.85% today. Which to be honest, isn’t really a fair call considering Wall Street is still trying to pick their mouths off the floor from ASML releasing their numbers prematurely (LOL welcome to the club ASML). 

As always, stay safe and stay frosty, friends! Until next time… 

P.S. Can someone say 203% winner?! That’s right, this morning's alert on $QNRX just went nuclear and premium subscribers caught wind of this monster at $0.51 before it RIPPED to $1.56 in less than 4 hours! Click here now to make sure you’re in on the next one… don’t say I didn’t warn ya! 

Stocks.News holds positions in Amazon, Google and Microsoft as mentioned in the article.