Here are the nuclear fission startups backed by Big Tech

Fueled by surging electricity demand from AI and data centers, Big Tech companies like Amazon, Google, Meta, and Microsoft are increasingly investing in nuclear fission, particularly small modular reactors (SMRs), for stable and predictable 24/7 power. These companies are either signing power purchase agreements with nuclear startups like Kairos Power and Oklo, or directly investing in them, with new reactor designs promising improved safety and reduced waste; startups such as TerraPower and X-Energy are also attracting significant investment and pursuing innovative reactor designs, reflecting a broader resurgence of nuclear power in the U.S.

Analysis

The rapid expansion of artificial intelligence is significantly escalating electricity demand in the U.S., compelling major technology corporations such as Amazon (AMZN), Google (GOOGL, GOOG), Meta (META), and Microsoft (MSFT) to actively secure reliable, 24/7 power generation capacity for their data centers. This has led to a notable resurgence in interest and investment in nuclear fission, particularly in innovative Small Modular Reactor (SMR) designs. These SMRs promise enhanced safety features, reduced nuclear waste, and cost efficiencies through mass manufacturing, although no SMRs have been constructed in the U.S. to date. Tech giants are engaging through direct investments or power purchase agreements with nuclear startups. For instance, Google has committed to purchasing approximately 500 megawatts from Kairos Power by 2035, whose molten fluoride salt-cooled reactors received a $629 million U.S. government award and NRC approval for test reactor construction. Oklo (OKLO), backed by OpenAI's Sam Altman and public via a SPAC, targets data centers with its liquid metal-cooled SMRs and has an agreement to supply 12 gigawatts to Switch by 2044, despite a previous license application denial which it plans to resubmit in 2025. Other notable startups include Saltfoss, developing ship-based molten salt SMRs with nearly $60 million raised and an agreement with Samsung Heavy Industries; TerraPower, founded by Bill Gates, which broke ground in June 2024 for its larger 345-megawatt Natrium reactor featuring molten salt energy storage; and X-Energy, which secured a $700 million Series C-1 led by Amazon’s Climate Pledge Fund for its high-temperature gas-cooled reactors, with 300 megawatts of capacity under development. This trend underscores a strategic shift by Big Tech to ensure energy stability and predictability, signaling a potentially transformative phase for the nuclear power industry driven by technological innovation and escalating energy needs.

Key Decisions for Investors

• Evaluate major technology companies (AMZN, GOOGL, META, MSFT) for their strategic investments in nuclear startups, as this initiative to secure long-term, stable power for AI operations could enhance their competitive positioning and operational resilience.
• Consider the emerging Small Modular Reactor (SMR) sector as a long-term growth area, noting the significant backing from both Big Tech and government bodies (e.g., Kairos Power's $629M award), while remaining cognizant of the developmental stage risks and regulatory hurdles, such as Oklo's (OKLO) licensing challenges.
• Monitor key developmental milestones within the SMR space, such as Kairos Power's targeted 2030 first reactor launch and TerraPower's Natrium project progress, as these will be crucial indicators of technological viability and commercial scalability for the sector.
• For investors with higher risk tolerance, explore opportunities in publicly traded entities like Oklo (OKLO) or ancillary industries (e.g., specialized manufacturing, materials suppliers like ArcelorMittal (MT)) that could benefit from SMR development, while exercising due diligence regarding the specific technological and financial risks.