Amazon Web Services will receive up to 1,920 megawatts of electricity from Talen Energy’s Susquehanna nuclear plant in Pennsylvania under a new long-term supply agreement that runs until 2042.
The deal provides Talen with a steady revenue stream while supporting Amazon’s goal to use more carbon-free energy for its AI and cloud operations. Both companies will also explore building new small modular reactors at Talen’s existing Pennsylvania sites and expanding the current plant’s output.
U.S. electricity demand has risen for the first time in 20 years, pushed by rapid growth in AI and data centers. Technology companies are now seeking reliable energy sources to meet future needs.
Earlier in June, Constellation Energy signed a deal with Meta to keep a nuclear reactor in Illinois running for another 20 years.
Talen shares rose nearly 8% in premarket trading after the announcement.
Kevin Miller, AWS vice president of global data centers, said the company is making a $20 billion private investment in the state and creating 1,250 high-skilled jobs while working with Talen to power its infrastructure with nuclear energy.
