X-Energy raises $1.02 billion in IPO, backed by Amazon's bet on nuclear power for data centers

X-Energy, a nuclear reactor startup with Amazon as a major investor, went public and raised $1.02 billion—pricing its shares above the initial target range. The company designs small modular reactors (compact nuclear plants that are easier to build than traditional large reactors) aimed at powering data centers and industrial facilities.

Unlike conventional nuclear plants that take 10+ years to build, X-Energy's reactors are designed for faster deployment with lower upfront costs. This matters because data centers running AI models consume enormous amounts of electricity—Amazon, Google, and Microsoft are all hunting for reliable, carbon-free power sources to run their servers 24/7.

For business professionals in tech and energy: this signals that major cloud companies are moving beyond solar and wind deals into nuclear as their primary bet for powering next-generation AI infrastructure. For investors: a successful X-Energy IPO suggests the market is now willing to fund nuclear startups that promise faster, cheaper deployment than traditional utilities.