Google has partnered with nuclear startup Careros Power to build an advanced nuclear plant in Tennessee, marking a historical change for the US’s stalled nuclear industry. Tennessee, Jack Daniel’s Whiskey’s house, built in Lynchberg, is famous worldwide. Its memphis-style barbecue and visible Great Smokey Mountains are known for the National Park, the state now adds a new claim for fame: hosting the advanced atomic reactor of Google.
The Hermes 2 reactor is expected to be connected to the Tennessi Valley Authority (TVA) grid by 2030, which supplies electricity to Google’s data centers in Tennessi and Alabama.
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This development is important because the United States has not built new reactors in decades. Final major project, Georgia’s Plant Vogel raced $ 18 billion on the budget and opened seven years late in 2023 and 2024. Its troubles contributed to the bankruptcy of the industry leader Westinghouse, doubling about the future of nuclear construction.
Under the agreement, TVA Hermes will buy electricity from 2 to 50 MW, which is sufficient to supply about 36,000 homes. According to CNBC, this is the first time an American utility has signed an power purchase agreement with an advanced nuclear reactor. Electricity will support the increasing demand for clean energy to run artificial intelligence operations and cloud services.
Why does this project matters
The project aims to solve one of the biggest challenges in the nuclear sector: heavy financial risk of new construction. Instead of taxpayers or utilities affecting the burden, the Google and Kairos will fund the plant, while TVA ensures stable revenue through its long -term purchase deal.
Startups such as Cairos believe that small, more efficient reactors can avoid traditional plants delay and fugitive costs. Hermes 2, who received construction approval from the Atomic Regulatory Commission in November 2024, has been slated to start operations by 2030, although an operating license will be required before it goes live.
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For Google, nuclear power is becoming central for its clean energy strategy. The company is turning to advanced atoms as a reliable, carbon-free option, with the AI workload advancing the demand of a data center to record high records. Google has already ordered with Careos for a total of 500 MW of future capacity, targeting rollouts by 2035.
