Meta has made a significant move in its pursuit of sustainable energy by announcing three agreements to power its data centers with nuclear energy. These deals include partnerships with startup companies Oklo and TerraPower, both of which are focused on developing small modular reactors (SMR), and a contract with Vistra, a larger company that operates several established nuclear plants across the United States.
Nuclear power is increasingly seen as a reliable source of energy for technology companies, particularly as their energy demands grow with the expansion of artificial intelligence. This energy source provides a consistent, around-the-clock electricity supply, which is vital for the operations of tech giants like Meta. While established nuclear reactors offer the lowest-cost baseload generation, their limited availability has prompted Meta and other firms to explore partnerships with SMR developers. Oklo and TerraPower are banking on the concept that scaling production across many smaller reactors can lower costs, although this hypothesis remains untested in practice.
The agreements stem from a request for proposals issued by Meta in December 2024, where the company sought partners capable of supplying between 1 to 4 gigawatts of nuclear power by the early 2030s. Much of the new supply is expected to connect through the PJM interconnection, which spans 13 Mid-Atlantic and Midwestern states that are increasingly becoming home to data centers.
Of the three agreements, the 20-year deal with Vistra is set to fulfill Meta’s immediate energy needs. This contract will see Meta purchase 2.1 gigawatts from two existing nuclear facilities in Ohio—Perry and Davis-Besse. Additionally, Vistra plans to enhance capacity at these plants and its Beaver Valley facility in Pennsylvania, contributing an extra 433 megawatts to the grid by the early 2030s.
In addition to the established reactors, Meta has signed a deal with Oklo for 1.2 gigawatts of capacity, with the aim of beginning power delivery to the grid by 2030. Oklo made headlines earlier this year by going public through a SPAC, but it has faced challenges with its reactor design gaining approval from the Nuclear Regulatory Commission (NRC). Should Oklo meet its deadlines, its reactors will be built in Pike County, Ohio, each producing 75 megawatts, necessitating the construction of over a dozen units to meet Meta’s demand.
TerraPower, co-founded by Bill Gates, is also working on a groundbreaking reactor design that uses molten sodium for energy transfer. This setup allows for energy storage, with capacity for additional power generation when demand peaks. TerraPower anticipates beginning electricity supply to Meta by 2032, with its initial two reactors offering a combined output of 690 megawatts. Furthermore, Meta holds options to acquire additional units, potentially bringing its total nuclear capacity from TerraPower to 2.8 gigawatts along with up to 1.2 gigawatts of energy storage.
Financial details regarding the partnerships have not been disclosed. However, energy procurement from Vistra is expected to provide Meta with the most cost-effective rates, as electricity from operational nuclear power plants typically ranks among the most affordable sources on the grid. Costs associated with SMRs remain uncertain, but startups like TerraPower aim to achieve a target rate of $50 to $60 per megawatt-hour, while Oklo projects costs between $80 and $130 per megawatt-hour for its later models, acknowledging that initial setups may exceed these figures.
These agreements highlight Meta’s commitment to integrating innovative energy solutions as it scales its data center operations, indicating a growing trend among tech companies to seek reliable, carbon-free energy sources.
