If there’s one thing that artificial intelligence is pushing hard, it’s the revival of nuclear power. Microsoft’s latest move marks a new milestone in this regard.
An unprecedented agreement. Microsoft has just signed its most significant power purchase agreement to date. Constellation Energy will reopen the Three Mile Island nuclear power plant in Pennsylvania as part of the deal.
The plant has been closed since 2019 and will add 835 MW of carbon-free electricity to the grid. Microsoft has committed to purchase its entire output for 20 years to power its AI data centers.
Reopening a nuclear power plant for AI. Three Mile Island, famous for its Unit 2 nuclear accident in 1979, continued to operate its Unit 1 for decades until the plant’s closure in 2019.
Constellation Energy will invest $1.6 billion to refurbish and upgrade the plant so that Microsoft can use its energy beginning in 2028. The company will rename the nuclear plant the “Crane Clean Energy Center” in honor of Chris Crane, the late CEO of Exelon, Constellation’s former parent company.
A turning point. The energy demands of data centers are growing exponentially with AI. Training and running AI consumes more energy than traditional algorithms.
Technology companies have searched for reliable, carbon-free energy sources for years to meet their sustainability goals. Still, the arrival of generative AI has prompted Microsoft to reopen a nuclear power plant to meet its energy consumption.
The renovation. Constellation is planning a significant overhaul of the nuclear plant. It will include refurbishment of turbines, generators, and cooling and control systems to ensure safe and efficient operation for regulators.
The company expects the plant’s reactivation to create 3,400 direct and indirect jobs and stimulate Pennsylvania’s economy by contributing $16 billion to the state’s GDP.
Why a nuclear power plant? Microsoft is committed to powering its entire infrastructure with 100% carbon-free energy to help address the climate crisis. This agreement is a shortcut.
AI data centers require large amounts of energy and a stable supply. Renewables such as solar and wind are intermittent without grid-scale storage. Nuclear power plants can provide carbon-free electricity 24 hours a day.
Image | Constellation Energy
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