The Texas-based company is building 50 MWe power plants comprising five Aalo-1 reactors that are housed in ‘Aalo Pods.’
According to the company, these sodium-cooled reactors will use low-enriched uranium fuel and are designed to be manufactured in factories and transported via standard shipping methods, which can then be set up on-site at data centres.
“We are aiming to do for nuclear reactors what Henry Ford did for cars,” said Matt Loszak, CEO of Aalo Atomics “Currently, many utilities are shying away from building large nuclear plants because of the uncertainty in cost and schedule. By making reactors in factories, we make the process fast, repeatable, and predictable, decreasing costs without sacrificing quality or safety.”
Nuclear power is increasingly being eyed as a long-term solution to addressing power supply challenges for data centres. Hyperscale giants Microsoft, Amazon, and Google have all pledged to step up their use of nuclear energy, with modular projects like SMRs expected to become a reality for data centres within the next decade.
Founded in 2023, Aalo Atomics is attempting to help support the demand for nuclear power. The company's approach focuses on standardised manufacturing to address challenges typically associated with nuclear construction projects, which have historically faced delays and cost overruns.
The startup has already secured several partnerships, having been selected as one of four partners to develop nuclear energy generation at the Texas A&M RELLIS Campus. It has also signed a memorandum of understanding with Idaho Falls Power to support a potential 75MW deployment.
The US Department of Energy (DOE) recently identified a site at the Idaho National Laboratory capable of housing an Aalo-1 microreactor, with construction potentially starting as early as 2026 with operations starting in 2027.
The company has raised approximately $36 million from investors, including 50Y, Valor Equity Partners, and several venture capital firms.
It plans to break ground on its first nuclear reactor next year and aims to expand its workforce to 70 employees by the end of 2025.
“We believe that to address today’s massive data centre market demand, another category of nuclear reactor is needed, one that blends the benefit of the factory manufacturing of microreactors, the power levels of SMRs, and the economic targets of a large reactor,” Loszak said.
The Trump administration is looking to expand the country’s nuclear energy supply to power AI data centres, with the DOE identifying 16 federal locations that could house either data centres or new energy facilities.
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