AWS Taps Into Nuclear Data Center for $650M

Image: Talen Energy

AWS is taking the nuclear route to power its next data center project.

Amazon’s cloud computing arm is paying $650M to Talen Energy for a 1,200-acre data center campus that hooks right into Susquehanna Steam Electric Station, one of the US’ largest nuclear power plants. AWS will build up the Cumulus Data campus over the next several years, with the opportunity to use up to 960 MW of guaranteed nuclear power per year.

The details of the deal:

  • The center’s minimum power utilization reqs will step up by 120 MW per year.
  • AWS will have a one-time option to cap its power commitments at 480 MW.
  • The company will also have two 10-year extension options tied to potential extensions of the plant’s operating licenses. The plant’s two reactors are currently licensed through 2042 and 2044.
  • $350M is due up front, and the other $300M will be held in escrow and paid upon the completion of development milestones over the course of this year.

The Susquehanna nuclear plant in Pennsylvania has been up and running since 1983 and will provide power from day one as Amazon expands the center. 

Oh so popular: Nuclear is well-suited to meet the growing power needs of data-hungry advances in cloud computing and AI on a by-project basis, granting data center operators access to a steady, reliable power source.

“Power demand is growing for the first time in years, and AI and data centers are at the heart of that growth,” Talen President and CEO Mac McFarland said.
The numbers track. According to a 2023 McKinsey analysis, the demand for power coming from data centers is expected to more than double between 2022 and 2030, growing from 17 GW to 35 GW globally.

+ posts
Related Stories

Atomic Canyon Superpowers Its Nuclear AI with Oak Ridge

You’ve heard of nuclear plants powering the data needs of AI. Now, get ready for AI to help the nuclear sector in return.


NuScale Power Sees Rocky Start to 2024

NuScale Power Corp. ($SMR), an Oregon-based SMR developer, posted Q1 financial results on Thursday, highlighting the company’s continued struggles following losses in 2023.


NANO Nuclear Energy IPOs

NANO Nuclear Energy officially hit the NASDAQ yesterday and is trading under the ticker $NNE. Jay Yu, NANO’s founder, executive chairman, and president, told Ignition that the company is going public early in its lifetime so that it can “grow with the public,” taking advantage of current investor enthusiasm for nuclear energy rather than pursuing […]


Oklo Goes Public Via SPAC Merger

Oklo, a fast fission startup, has completed its SPAC merger with AltC Acquisition Corp.. Tomorrow, the combined company—now known as Oklo Inc.—will begin trading on the NYSE under the ticker “OKLO.”  Oklo joins other advanced SMR companies on the public market, including NuScale and BWX Technologies.  Not all sunshine: The road ahead for a nuclear […]