The Nuclear Industry is Booming: Tech Giants like Amazon and Microsoft Turn to Clean Energy
The world is on the cusp of a new era in nuclear power. As the fight against climate change intensifies, companies like Amazon and Microsoft are leading the charge in investing in clean energy, and nuclear power is re-emerging as a key player. The question is, what’s behind this surge in interest?
In the past few years, tech giants have been making significant deals to secure their energy needs. Amazon, for instance, has led a $500 million financing round for a company developing modular nuclear reactors, and it has purchased a nuclear-powered data center for $650 million. Microsoft, on the other hand, has inked a 20-year deal with a utility company to buy power from a nuclear plant that’s being restarted.
But what’s driving this sudden interest in nuclear power? As AI becomes an increasingly dominant force in the world of technology, so too does its energy demands. “One of the fastest ways to address climate change is by transitioning our society to carbon-free energy sources,” says Matt Garman, CEO of Amazon Web Services. “Nuclear energy is both carbon-free and scalable, which is why it’s an important area of investment for us.”
The resurgence in nuclear power is also getting a boost from regulators and investors. Analysts on Wall Street are quoted as saying that the nuclear energy projects involve the construction of Small Modular Reactors (SMRs), a compact, advanced type of reactor that can be built closer to grids and completed faster than traditional reactors. “SMRs offer the potential to reduce carbon emissions, paving the way for cleaner, more sustainable energy,” notes CFRA analyst Arun Sundaram. “With the full power of AI dependent on both data centers and energy infrastructure, these investments further help AMZN secure its positioning as a leading cloud/AI provider.”
High-flying stocks
The result is a surge in the stock performance of companies related to the nuclear industry. Stocks like Cameco, BWX Technologies, Oklo, Constellation Energy, View, Nano Nuclear Energy, and NuScale Power have seen significant gains this year. In fact, some of these stocks have more than doubled in just a few days this month. Companies like Cameco and BWX Technologies have led the way, with gains of 62% and 128%, respectively.
View’s stock has also seen a surge, up 224% year-to-date, while Nano Nuclear Energy and NuScale Power are up 272% and 481%, respectively. Companies like Constellation Energy and Oklo are also enjoying significant gains, with their stock prices up 128% and 88%, respectively.
Conclusion
As the world struggles to come to terms with the challenges posed by climate change, the nuclear industry is emerging as a key player. The surge in interest from tech giants like Amazon and Microsoft is only the latest sign of this shift. And with stocks like Cameco, BWX Technologies, Oklo, Constellation Energy, View, Nano Nuclear Energy, and NuScale Power leading the way, investors are taking notice. One thing is for sure – the future of nuclear energy is bright, and its future is now.
