SMR Developer Oklo Secures 13.2 GW in Power Deals with Meta and Switch to Fuel Data Center Expansion

The artificial intelligence boom has collided with the physical limits of the American electrical grid. As hyperscalers race to build billion-dollar superclusters capable of training next-generation AI models, their insatiable appetite for electricity has exposed a critical chokepoint: the lack of firm, clean, 24/7 power.[3]

Wind and solar energy, while abundant, are inherently intermittent. AI data centers cannot afford to power down when the sun sets or the wind stops blowing; they require constant "baseload" electricity to prevent catastrophic interruptions in computing workloads.[3]

Enter advanced nuclear technology. In a massive validation of the commercial viability of small modular reactors (SMRs), developer Oklo has secured agreements totaling 13.2 gigawatts (GW) of power capacity to fuel data center expansions for tech giant Meta and infrastructure operator Switch.[1][5]

The sheer scale of these agreements marks a turning point for the nuclear industry. To put 13.2 GW into perspective, it is equivalent to the output of roughly a dozen traditional, large-scale nuclear power plants, all earmarked exclusively for digital infrastructure.[1][6]

The cornerstone of this pipeline is a binding agreement with Meta to develop a 1.2 GW power campus in Pike County, Ohio. The facility will directly support Meta's operations in the region, including its Prometheus AI supercluster in nearby New Albany, which is expected to consume at least 1 GW of power on its own.[2][5]

What separates the Meta deal from a standard letter of intent is a $25 million customer prepayment. This upfront capital, designated for fuel procurement, site preparation, and early development activities, meaningfully de-risks the project and signals that hyperscalers are willing to shoulder early-stage financial burdens to secure future power.[4]

Wall Street analysts view this prepayment structure as tangible proof that the SMR industry is transitioning from speculative concept to commercial execution. By funding generation directly, large energy users are bypassing the traditional utility model entirely.[4]

Alongside the Meta campus, Oklo has inked a landmark 12 GW non-binding Master Power Agreement with Switch, one of the largest corporate clean power agreements in history. Valid through 2044, the framework envisions deploying reactors across the United States to power Switch's expanding footprint of enterprise and AI data centers.[1][5]

To meet this staggering demand, Oklo is commercializing its "Aurora powerhouse," a liquid-metal-cooled fast reactor designed to produce between 15 and 75 megawatts of electricity per unit. Unlike the massive, bespoke concrete domes of the 20th century, SMRs are designed to be manufactured in factories and assembled on-site, theoretically driving down costs through economies of scale.[3][5]

Oklo's deployment strategy relies on a "Build, Own, Operate" (BOO) model. Rather than selling the reactor technology to a utility, Oklo will construct and run the facilities itself, selling the electricity directly to Meta and Switch through long-term Power Purchase Agreements (PPAs).[2][3]

Crucially, these reactors will be deployed "behind the meter"—built in close physical proximity to the data centers they serve. This allows the tech companies to avoid the notoriously congested grid interconnection queues, which can delay new power projects by up to a decade.[2]

The Aurora design also features a unique approach to the industry's most persistent challenge: nuclear waste. Oklo's fast reactors are capable of running on recycled spent nuclear fuel. The United States currently houses over 90,000 metric tons of spent fuel, which Oklo aims to convert into a usable power source, simultaneously securing a domestic fuel supply and reducing long-term waste.[2][3]

Despite the commercial momentum, the path to deploying 13.2 GW of advanced nuclear power is fraught with regulatory uncertainty. The U.S. Nuclear Regulatory Commission (NRC) oversees a licensing process that is notoriously long, expensive, and tailored to traditional light-water reactors.[3]

Oklo experienced this friction firsthand when its initial custom combined license application was denied by the NRC in 2022. The rejection highlighted the regulatory mismatch between innovative fast-reactor designs and a framework built for legacy technology.[3]

In response, Oklo has pivoted its regulatory strategy. The company is now pursuing a faster authorization pathway through the Department of Energy (DOE) for its first pilot plant at the Idaho National Laboratory. This allows Oklo to begin construction and gather vital operational data while the longer commercial NRC license proceeds in parallel.[2][3]

Financial execution presents another massive hurdle. Building out 13.2 GW of nuclear capacity will require tens of billions of dollars in capital over the coming decades. While Oklo currently holds roughly $1.6 billion in liquidity following its public market debut, it will need to secure massive project-level debt or DOE loan guarantees to fulfill its pipeline.[2][6]

The competitive landscape is also intensifying. Meta's agreement with Oklo is part of a broader 6.6 GW nuclear procurement strategy that includes deals with existing fleet operator Vistra and rival SMR developer TerraPower, indicating that hyperscalers are spreading their bets across multiple technologies and vendors.[1][6]

Ultimately, the success or failure of these SMR deployments will dictate the ceiling of the AI revolution. If developers like Oklo can navigate the regulatory gauntlet and deliver reactors on time and on budget, they will unlock the firm, clean power necessary to sustain exponential growth in computing.[3][6]

If they stumble, the physical constraints of the electrical grid may force a hard limit on the scale of artificial intelligence, leaving billions of dollars of data center infrastructure stranded without the power to operate.[3]