Amazon-backed X-Energy prices nuclear startup IPO at $1.02 billion as AI data centers drive demand for reliable power

X-Energy, a nuclear reactor startup, priced its initial public offering (IPO) above the originally planned range, raising $1.02 billion. Amazon is a major backer, signaling corporate confidence in the company's ability to deliver small modular reactors (compact nuclear plants designed for industrial use) within the next decade.

Unlike traditional large nuclear plants that take 10+ years to build, X-Energy's modular design aims to supply power to data centers faster and with smaller upfront costs. This matters because AI training and inference (the process where AI models produce answers) consume enormous amounts of electricity—a single large language model query can use 10x more power than a regular web search.

Data center operators and cloud companies now have a concrete alternative to grid power or fossil fuels: X-Energy's reactors could power AI operations without the carbon emissions of coal or the volatility of renewable-only grids. For businesses building AI infrastructure, this means potential access to stable, carbon-free electricity starting in the 2030s—a major shift from today's power-constrained AI expansion.