Data Centers Turn to Nuclear for AI Energy Demands

August 14, 2025

Major data center operator Equinix has announced a series of agreements to secure advanced nuclear electricity, including power purchase agreements and a pre-order for microreactors, to fuel its data centers.

The move comes as the growing energy demands of data centers, driven by technologies like generative artificial intelligence (AI), raise concerns about global power supplies.

According to a company statement, the agreements are part of Equinix’s long-term strategy to ensure a stable and sustainable electricity supply for its global operations. The deals are expected to provide more than one gigawatt of electricity to Equinix’s data centers, a significant step as the company plans for future growth.

This announcement highlights a broader industry trend where data center developers are exploring preliminary power deals with advanced nuclear providers to meet their voracious energy needs. While small modular reactors and other next-generation nuclear technologies are not yet widely available commercially in the United States, which is a major hub for data centers, these preliminary deals signal a growing interest in the technology as a potential solution to the energy challenge.

Among the agreements, Equinix plans to procure 500 megawatts of energy from California-based Oklo, a developer of next-generation nuclear fission powerhouses. The company also entered into a pre-order agreement for 20 transportable microreactors with Radiant Nuclear, which is also based in California. In Europe, Equinix has reached agreements to potentially purchase power from developers ULC-Energy and Stellaria.

Raouf Abdel, Equinix’s executive vice president of global operations, told Reuters that the agreements are part of the company’s long-term planning for electricity, not a short-term solution. Equinix has also entered into advanced fuel cell agreements with Bloom Energy, a Silicon Valley-based company, further diversifying its energy portfolio.

The push for advanced nuclear energy for data centers follows a pilot program launched by the U.S. Department of Energy, which selected 11 projects to develop high-tech test nuclear reactors. The program’s goal is to have three of the projects operating in under a year, potentially accelerating the commercial availability of these technologies.

This strategic shift by Equinix and others in the tech sector reflects a proactive approach to addressing the escalating energy requirements of modern digital infrastructure, with a focus on innovative and sustainable power sources.

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