Nuclear Power Gains Traction Amid Growing Energy Needs of Tech Giants
X-energy's IPO raised over $1 billion, marking the largest in nuclear power history. The company, backed by Amazon, aims to develop advanced small modular reactors (SMRs) to meet the rising energy demands of AI technologies.
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X-energy, an American nuclear firm, experienced a 27% surge on its first trading day after raising over $1 billion in its IPO, the largest for the nuclear sector to date. The company, supported by Amazon, plans to construct up to 12 SMRs in Washington, targeting a total capacity of 960 megawatts and aiming for over 5 gigawatts of new nuclear capacity in the U.S. by 2039.
Concurrently, Vattenfall in Sweden is exploring SMR installations at Ringhals, with GE Vernova and Rolls-Royce as candidates. The demand for energy from powerful AI chips is prompting tech companies like Google, Microsoft, and Meta to invest in nuclear technology. However, risks persist as X-energy is currently unprofitable and commercial operations are expected to start only in the 2030s.
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