Googles New AI Strategy: "It's Time to Go Nuclear, Baby"

Welp, for the second time in under a month, a major AI player is jumping on the nuclear bandwagon in an attempt to keep the lights on for their ever-expanding, power-hungry data centers. In short, yesterday, Google announced it’s partnering with Kairos Power to bring small modular reactors (SMRs) online by 2030. 

(Source: BBC) 

And if you’re wondering whether this is just another tech trend pivot—like we saw with crypto, AI, and the Internet of Things—you’re absolutely right. “Nuclear” is about to become the latest annoying buzzword we see thrown around all across the financial media. 

(Source: Giphy) 

You see, Microsoft beat Google to the punch last month by signing a deal to fire up the infamous Three Mile Island plant (yes, that Three Mile Island). But now it’s Google’s turn to play catch-up, and they’re doing it in style. Their partnership with Kairos Power means they’ll soon be hoovering up nuclear-generated watts to offset the “girthy” amounts of energy their AI data centers consume. What's more, is that despite all that talk about sustainability and going carbon-free, Google’s emissions have spiked nearly 50% since 2019. LOL classic. 

(Source: Daily Mail) 

But hey, at least they’re doing something about it, right? Which is why they are bringing Kairos Power, the “cool” nuclear company into the mix. These guys specialize in SMRs, which for those not in the know, are smaller, cheaper, and supposedly safer versions of traditional nuclear reactors. Think: less Chernobyl, more neighborhood BBQ accident.

(Source: Giphy) 

Now with that said, the first reactor is expected to go online this decade, with more coming by 2035. But, as with all things nuclear, it’s not as simple as flipping a switch. Kairos still has to get the green light from the U.S. Nuclear Regulatory Commission, not to mention navigate the labyrinth of local government approvals. And let’s not forget about NIMBYism—the modern-day equivalent of “keep off my lawn,” but with nuclear power plants. Think: all the PTA “Karens” that are all about to have a field day with this in their cesspool Facebook groups.

(Source: Giphy) 

But, but, but… what’s really interesting here is that while Google is making big moves, they’re still playing second fiddle to Microsoft. Microsoft’s deal with Constellation Energy to restart Three Mile Island (set to be live by 2028) promises to pump over 800 megawatts into its data centers. Google’s nuclear plans? A humble 500 megawatts by 2035. Not bad, but not exactly dunking on the competition either. 

(Source: Interesting Engineering) 

For more context, Google’s AI ambitions are a serious power suck. Just one AI query can guzzle up enough electricity to make your monthly utility bill look like pocket change. And with AI usage skyrocketing, everyone from Google to Amazon is scrambling to find clean, reliable energy sources. Nuclear, with its 24/7 power generation and carbon-free creds, is the obvious choice. But there’s still a long road ahead, especially when you consider the financial and regulatory hurdles that have plagued the SMR industry so far.

(Source: Giphy) 

In the end though, Googles nuclear play is still a big deal for the industry. It’s the world’s first corporate agreement to buy power from multiple SMRs, and if all goes according to plan, it could help commercialize the technology faster. But don’t hold your breath—building nuclear reactors isn’t exactly like spinning up a new cloud server, that’s for sure. 

So while we await to hear more details on the matter, keep an eye on Google going forward and also keep an eye on Sam Altman’s Oklo-backed nuclear company - who just so happened to jump 9.7% on the news… even though they had nothing to do with Google's nuclear move LOL.

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

P.S. Are you ready?! We are about to drop our next explosive alert very, very soon… so make sure you click here asap before this stock starts moving! 

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