Two smaller companies, Oklo and TerraPower, along with Vistra, a large energy company, just signed agreements with Meta.
For the energy sector, this deal signals increasing demand from the tech sector and creates incentives for investment in new energy sources like nuclear. For the AI sector, it reduces operational risk linked to energy limitations.
Operational Impact: This agreement offers Meta a more predictable and potentially lower-cost energy supply for its data centers, improving the efficiency of AI training and inference workloads. Reduced energy costs associated with nuclear power could translate into lower operating expenses for AI divisions. It also de-risks future operations from potential limitations or increases in costs on other energy sources. This could also allow for more aggressive experimentation and scaling of AI models given the guaranteed power supply.