Two major infrastructure projects announced this week show nuclear microreactors emerging as a practical solution for powering energy-hungry AI data centers, moving beyond theoretical discussions into real-world deployments across Latin America and the United States. Terra Innovatum has signed a commercial agreement with Waiken ILW to deploy its SOLO microreactors at DIRECTV Latin America data center facilities in Argentina and Brazil, while the U.S. Department of Energy has selected Amentum to build a co-located AI data center and power generation facility at Savannah River National Laboratory in South Carolina.

Why Are Data Centers Turning to Nuclear Power?

The push toward nuclear microreactors reflects a fundamental challenge facing the AI industry: data centers running artificial intelligence workloads consume vastly more electricity than traditional computing facilities. AI electricity consumption could quadruple its share of global power use, growing from 4 percent today to 20 percent by 2035, according to analysis by the Penn State Institute of Energy and the Environment. Supercomputing racks for AI applications may eventually require as much as 1 megawatt each, while entire AI factories can demand 1 gigawatt in electricity capacity, creating what experts call "wide-swinging transient load challenges" that strain conventional power grids.

Behind-the-meter nuclear power, meaning reactors built directly at or near a facility rather than connected to the public grid, offers data center operators a way to generate their own reliable, carbon-free electricity without depending on utility companies or shifting massive costs to consumers. This approach appeals to both private companies seeking energy independence and government agencies focused on national security and AI competitiveness.

What Are Microreactors and How Do They Work?

Microreactors, also called small modular reactors (SMRs), are nuclear power plants designed to be smaller, factory-built, and more flexible than traditional reactors. Terra Innovatum's SOLO platform is engineered to deliver power in 1-megawatt increments that can scale up to 1 gigawatt or more, depending on facility needs. The reactors use non-proliferant fuel and standardized factory production, which the company says enhances safety and reduces supply chain risks. SOLO is expected to become available globally within three years, according to Terra Innovatum's timeline.

Beyond electricity generation, these microreactors can supply heat for industrial applications including water treatment, desalination, and co-generation processes. They can also produce radioisotopes used in cancer treatment and oncology research, expanding their utility beyond pure power generation.

How to Evaluate Microreactor Deployments for Data Centers

• Energy Capacity Requirements: Assess whether your facility needs 8 megawatts (like DIRECTV's initial deployment) or significantly more, since microreactors scale modularly and can be deployed in increments to match actual demand growth.
• Regulatory and Licensing Pathways: Verify that your jurisdiction has established or is developing licensing frameworks for microreactors, as Terra Innovatum emphasizes its "proven licensing path" enables rapid deployment and minimizes regulatory delays.
• Long-Term Energy Independence Goals: Consider whether behind-the-meter generation aligns with your sustainability commitments and desire to reduce dependence on utility power grids, which is a key driver for both DIRECTV and the U.S. government projects.
• Industrial Heat Applications: Determine if your facility can use waste heat from the reactor for desalination, water treatment, or other thermal processes, which increases the overall efficiency and return on investment.

What Makes These Announcements Significant for the AI Industry?

The Terra Innovatum and Waiken ILW agreement represents the company's first announced commercial deployment in Latin America and signals growing international demand for standardized, factory-built nuclear power. Rather than targeting only AI data centers, the partnership emphasizes versatility across telecommunications, cloud infrastructure, financial services, healthcare, and industrial facilities, suggesting microreactors are becoming a broader infrastructure solution rather than a niche technology.

"This initiative aims to provide reliable, behind-the-meter clean energy solutions for Waiken ILW's datacenters while serving as a proof of concept for other long-term, energy-intensive operations within the Waiken ILW group of companies," said Alessandro Petruzzi, Co-Founder and CEO at Terra Innovatum Global.

Alessandro Petruzzi, Co-Founder and CEO, Terra Innovatum Global

The Savannah River project carries additional weight because it pairs AI infrastructure development with national security priorities. The U.S. Department of Energy identified 16 federal sites suitable for AI data center and energy infrastructure projects, and Amentum's selection reflects the government's view that AI dominance and energy resilience are strategically linked. The project is designed to accelerate domestic U.S. AI computing capacity while expanding power generation reliability on-site, potentially even increasing power availability to the broader grid.

"Artificial intelligence, energy resilience, and national security are becoming increasingly interconnected, creating new opportunities to strengthen America's strategic advantage," said Amentum CEO John Heller.

John Heller, CEO, Amentum

Amentum, the second-largest government services contractor in the United States after Leidos, brings decades of partnership experience with federal agencies and deep engineering expertise in mission-critical infrastructure. The company was recently selected to provide design and engineering services for Savannah River National Lab's Tritium Finishing Facility, which produces tritium for nuclear weapons and fusion experiments, underscoring its credibility in nuclear-related projects.

What Challenges Remain for Microreactor Adoption?

While these announcements demonstrate commercial momentum, microreactors still face hurdles before becoming mainstream. SOLO is not yet available globally and won't be for approximately three years, meaning current deployments are still in early stages. Regulatory approval processes vary significantly by country and region, and public perception of nuclear power remains mixed in many areas. Additionally, the initial capital costs of microreactor installation, though designed to be predictable and factory-standardized, remain substantial compared to conventional power sources.

The success of the DIRECTV and Savannah River projects will likely influence whether other hyperscalers and data center operators pursue similar paths. If these deployments demonstrate reliable, cost-effective operation, they could accelerate a broader shift toward nuclear-powered AI infrastructure. Conversely, any delays or complications could slow adoption and reinforce skepticism about microreactors as a near-term solution to the AI power crisis.

For now, these two projects represent a significant inflection point: nuclear power is moving from theoretical discussions in energy policy circles to concrete infrastructure investments supporting the world's most power-hungry computing workloads.