Via 247wallst.com
The nuclear startup is betting that its NRC-approved small modular reactors can solve AI's massive energy problem, but the gap between ambition and execution remains wide
The AI boom has a dirty secret: it’s absolutely devouring electricity. NuScale Power, the company behind the only small modular reactor (SMR) design with full US Nuclear Regulatory Commission approval, thinks it has the answer.
NuScale is in discussions with ENTRA1 Energy and the Tennessee Valley Authority for what could become the largest deployment of SMR capacity in the United States, targeting up to 6 GW of nuclear power. That’s enough to run roughly 60 new data centers or power around 4.5 million homes. The agreement is projected for September 2025.
The energy math behind AI’s power hunger #
US data centers consumed about 4% of the nation’s electricity in 2023. By 2030, that figure is expected to hit 9% or more, driven almost entirely by AI workloads.
NuScale’s SMR technology comes with NRC-approved features that are particularly attractive for data center operators: reduced emergency planning zones and the ability to operate in “island mode,” essentially running independently from the broader grid.
The company opened a new operations center in Houston, Texas, in April 2026 specifically to support commercial growth opportunities, including those in the data center sector.
The financial reality check #
NuScale reported Q2 2026 revenue of roughly $0.1 million, a significant year-over-year decline. The company reported approximately $1.9 billion in liquidity, giving it substantial runway to pursue its pipeline of agreements without an immediate need to raise capital.
NuScale’s history includes a high-profile project cancellation: the Carbon Free Power Project with the Utah Associated Municipal Power Systems, which fell apart due to escalating costs. NuScale’s modular approach is designed to mitigate construction risk by manufacturing reactor components in factories and assembling them on-site, rather than custom-building everything from scratch.
Why data center operators are paying attention #
NuScale’s partnership discussions with TVA and ENTRA1 represent the most ambitious test of this thesis yet. A 6 GW deployment would be transformative, not just for NuScale, but for the entire SMR industry. The September 2025 target date for the TVA-ENTRA1 agreement will be the next major milestone to watch.
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