Constellation Energy secures a 20-year power deal with Microsoft, highlighting rising demand for carbon-free nuclear energy.
Constellation Energy (NASDAQ: CEG) is capitalizing on surging demand for reliable, carbon-free power driven by AI data centers. The company, which operates the largest U.S. nuclear fleet, signed a 20-year power purchase agreement with Microsoft (NASDAQ: MSFT) to supply energy from the reactivated Three Mile Island facility in Pennsylvania.
Data centers, critical to AI infrastructure, require continuous, large-scale electricity, outpacing current supply. Nuclear power, unlike intermittent wind or solar, provides a stable, emissions-free solution. Microsoft’s long-term commitment underscores the urgency for scalable clean energy sources.
The deal reflects broader industry trends, as hyperscalers seek to balance 24/7 operational needs with sustainability goals. Constellation’s nuclear assets position it as a key player in meeting this demand.