Microsoft to build nuclear plants for powering AI

AI systems use a lot of energy. Neural networks consume significant electricity when processing internet data, and cooling systems also require power. Companies investing in AI are developing solutions to address this issue. For instance, Microsoft Corp. is currently a leading AI player, working with OpenAI and exploring nuclear power as a solution.

Microsoft's decision could start a trend that speeds up the development of AI. If companies use nuclear power for their AI systems, they could make those systems larger and more effective. In May, Microsoft agreed to purchase power from Helion Energy, a start-up that aims to create nuclear energy from nuclear fusion by 2028. However, this makes up less than 1% of Microsoft's total portfolio of carbon-free power purchase agreements.

Microsoft relies on small modular reactors

To operate the data centres that support Microsoft's cloud and AI, the company is hiring a manager for their nuclear technology programme. Microsoft intends to use small modular nuclear fission reactors (SMRs), which are expected to be safer than older reactors, to combat carbon emissions.

It is well-known that using nuclear energy carries risks as nuclear power plant accidents could be catastrophic. Furthermore, the pairing of AI, often viewed as a danger to mankind, with another intimidating technology is causing mounting concern. Nonetheless, some environmental activists see nuclear power as an essential part of the transition from fossil fuels to a carbon-neutral economy.