As the demand for artificial intelligence (AI) surges, Big Tech companies are grappling with the challenge of powering data centers without exacerbating climate change. Despite commitments to sustainability, the rapid growth of AI is pushing these firms to reconsider their energy sources, balancing between renewable energy advancements and the immediate availability of fossil fuels. This tension highlights the broader implications of AI's energy consumption on global environmental goals.

Underground nuclear reactors represent an innovative approach to nuclear power generation, offering potential benefits in safety, security, and public acceptance while presenting unique engineering and operational challenges. As reported by New Atlas, startup Deep Fission is developing a novel concept of placing small reactors a mile underground in drill shafts, aiming to address economic and safety concerns associated with traditional nuclear power plants.

Fund managers are increasingly betting on nuclear energy stocks, an area traditionally off-limits for investors with environmental mandates, as they recognize its potential role in achieving net-zero emissions and meeting the growing energy demands of technologies like AI.

According to recent reports, the rapid growth of artificial intelligence is driving an unexpected revival of nuclear power, as exemplified by the planned reopening of the Three Mile Island nuclear plant to fuel Microsoft's AI operations. This development marks a significant shift in the energy landscape, driven by the tech industry's growing demand for sustainable and reliable power sources to support their expanding AI and data center operations.

According to reports, electric utility Vistra (NYSE: VST) has emerged as the top-performing S&P 500 stock in 2024, with a 315% year-to-date surge driven by expectations of increased power demand from AI data centers.