Last week, a surprising market reaction caught some investors off guard: after Meta Platforms announced a massive expansion of its artificial intelligence infrastructure, several nuclear-energy stocks surged. The link might not be obvious at first glance, but the underlying energy economics offer a compelling explanation — and a glimpse into where long-term capital might be headed next.

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AI Needs Power — Lots of It

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Training advanced AI models and running inference at scale requires a staggering amount of energy. Meta’s push into generative AI, which now includes the development of open-source large language models and expanded data center investment, reflects a broader industry trend. AI leaders are building hyperscale infrastructure, often running tens of thousands of GPUs across vast server farms.

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To put it into perspective, a single cutting-edge AI data center can consume more electricity annually than a small city. That power demand has put utility planning back in the spotlight — and raised serious questions about how to source stable, carbon-free baseload power.

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Why Nuclear Is Back in the Conversation

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Unlike wind and solar, nuclear energy offers continuous output regardless of time of day or weather. It’s also emissions-free, aligning with long-term climate goals for companies under pressure to meet sustainability targets.

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Meta’s recent infrastructure roadmap includes plans to build or co-locate data centers in regions with zero-carbon energy grids, according to filings and public statements. That has reignited investor interest in utilities and developers focused on next-generation nuclear, including small modular reactors (SMRs) and advanced reactor designs already piloted in countries like Canada, France, and South Korea.

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Following Meta’s announcement, shares of Constellation Energy, a leading U.S. nuclear operator, rose over 7%, while BWX Technologies, which supplies nuclear components, gained nearly 5%. The move was driven not by speculative hype, but by increased demand visibility from AI infrastructure growth.

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What This Means for Investors

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Meta isn’t alone. Microsoft and Amazon have both announced AI-specific infrastructure growth tied to carbon-free energy commitments. That opens the door for nuclear operators, engineering firms, and uranium producers to capture long-term demand.

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While nuclear stocks remain volatile, the logic driving this latest rally is grounded in fundamentals. Power-hungry technologies need scalable, clean electricity — and nuclear is quietly becoming a practical answer.

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For long-term investors, this marks a shift. Nuclear is no longer just a policy issue or a climate hedge. It’s becoming a tech-driven infrastructure play, one that sits at the intersection of energy resilience, environmental compliance, and exponential AI growth.

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