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Big Tech Goes Nuclear!⚡️
Big Tech Goes Nuclear!⚡️
Hey there! 👋
Big tech companies like Amazon, Google, and Microsoft are making a huge move into nuclear power, particularly focusing on small modular reactors (SMRs). This is pretty big news for the energy sector and creates some exciting opportunities for future lawyers!
Let's dive into what happened, and how law firms could be involved.
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Why are tech companies suddenly interested in nuclear power? 🤔
It all comes down to AI! Artificial Intelligence is consuming massive amounts of energy. we're talking about AI queries using up to 10 times more power than regular searches. According to Goldman Sachs, this could lead to a 160% increase in power demand from data centres by 2030. The International Energy Agency even says we're entering an "age of electricity"!
What exactly are these companies doing? 🏭
Amazon is partnering with utilities in Washington state and Virginia to build four next-generation SMRs and has invested in X-energy
Google has committed to buying power from Kairos Power's SMRs
Microsoft signed a 20-year deal with Constellation Energy to reopen a unit at the Three Mile Island nuclear plant
There are even plans to restart the Holtec Palisades nuclear plant in Michigan by late 2025!
Why nuclear energy instead of other options? ☢️
While tech companies have invested heavily in renewable energy like wind and solar, these sources aren't always consistent and reliable for data centres and AI operations. Nuclear power offers a constant, low-carbon energy source that can keep their data centres running around the clock.
SMRs are particularly attractive because:
They are smaller (up to 300 megawatts compared to 1,000 for traditional plants).
They are designed for cost-effectiveness and faster deployment.
They can be built closer to where the power is needed such as existing coal plant sites already connected to the grid.
What are the challenges? 🚧
Investing in nuclear is not without risks:
They're expensive and time-consuming to build.
There are strict regulatory hurdles as nuclear projects must meet stringent safety standards which could lead to more costs and delays in obtaining design approval.
Some critics argue that the money would be better spent on wind and solar.
How would a law firm be involved? ⚖️
With tech giants jumping into the nuclear sector, there are a range of ways in which law firms could get involved.
Law firms can help advise tech companies ensuring they meet all safety and environmental standards as it is one of the most heavily regulated industries.
Lawyers are essential in drafting and negotiating these agreements to protect their clients' interests. Building SMRs and partnering with utilities involve complex contracts that lawyers can manage the process by handling all the paperwork and liaising with regulatory bodies.
Lawyers can help secure patents and protect their intellectual property rights if tech companies are developing new nuclear technologies.
Funding nuclear projects is a big deal! Lawyers can help structure investments, secure financing, and ensure compliance with financial regulations.
🗞 Other news…
New Buy-Now, Pay-Later rules 👜
In recent years, Buy-Now, Pay-Later products have become increasingly popular as they let customers spread out the expenses of their purchase over time. However, a number of important protections offered by other consumer credit products are not available to these consumers. The government has proposed new rules that will allow the Financial Conduct Authority to apply affordability on companies that use Buy-Now, Pay-Later. This means that they would have to check that shoppers are able to afford repayments before offering a loan. Customers will also benefit from protections if they receive faulty goods.
FTC adopts new “Click to Cancel” rule for subscriptions ❌
A new rule has been introduced that forces US sellers to make it easy for consumers to cancel their subscriptions as it was to sign up. Businesses have been making subscription cancellations overly difficult while making sign-ups almost instantaneous. This will be implemented in early 2025.
European Central Bank lowers interest rates 📉
The ECB has lowered interest rates by 0.25% to 3.25%. The bank is confident that cutting interest rates won't result in an inflationary rise because inflation has been continuously falling and remaining low.
I hope you enjoyed this article. See you next week! 👋
Written by Santhosini S