Nuclear Power Could Be a $10 Trillion Industry That ‘Holds the Answer to the World’s Power Shortages’
Nuclear energy represents a $10 trillion potential market opportunity that could hold “the answer to the world’s power shortages,” according to a new report from Bank of America. To meet the growing demand for global electrification stoked by energy-intensive projects like the data centers underpinning the AI arms race, global nuclear capacity will have to triple by 2050, the firm estimated. Investment is expected to reach more than $3 trillion in the next 25 years. Small Modular Reactors, or SMRs are typically designed to produce around 500 megawatts or less of energy compared to a traditional nuclear power plant’s 1,000 MW or more. Unlike traditional nuclear power plants that may take years — if not decades — to bring online, SMRs are cheaper and faster to build, with “modular” parts that can be mass-produced and slotted together on an assembly line. Nuclear power could be a $10 trillion industry that ‘holds the answer to the world’s power shortages’
The rapid advancement of artificial intelligence (AI)—particularly the training of large-scale “frontier models”—is driving renewed growth in electricity demand. This report analyzes the technical drivers of AI power consumption, projects future demand trajectories for individual training sites and broader AI needs, and highlights energy sector implications. Their analysis found not only that the power demands of AI have increased steadily, but also that they will keep increasing. While training large, advanced AI models currently requires between 100 and 150 megawatts each, they are projected to require more than four gigawatts apiece by 2030.This Product is publicly available at Electric Power Research Institute (EPRI): 