Ubitus K.K, a cloud computing service company supported by nvidia, plans to establish a new datacenter in japan, emphasizing the need for the new datacenter to be located near a nuclear power plant.
According to the Zhongtong Finance APP, Ubitus K.K, a cloud computing service company supported by nvidia (NVDA.US), plans to establish a new datacenter in japan, highlighting the importance of the new datacenter being close to a nuclear power plant. Wesley Kuo, CEO of Ubitus, mentioned in an interview that the company is considering purchasing land in Kyoto, Shimane Prefecture, or Kyushu Island as these areas have abundant nuclear energy resources. Kuo believes that despite the controversy surrounding nuclear energy, it remains the most competitive energy choice in terms of cost and supply scale, especially for the artificial intelligence sector requiring continuous high-capacity electrical utilities.
Ubitus already has two game datacenters and plans to build a third one specifically to serve generative artificial intelligence. Kuo pointed out that nuclear energy, compared to renewable energy sources like cecep solar energy and wind power, is more stable and crucial for industrial purposes, especially in the field of artificial intelligence. With the increasing demand from artificial intelligence and datacenters for zero emissions and stable electricity supply, Ubitus has joined the ranks of technology companies like nvidia actively exploring the use of nuclear energy.
Despite the challenges to nuclear energy safety in japan following the Fukushima nuclear accident in 2011, Ubitus plans to select the location for the new datacenter in the first quarter of next year and has visited multiple potential sites. Kuo mentioned that the regions where datacenters are established will be able to access cheap and stable electricity from nearby nuclear facilities. Unlike the approach of American tech giants directly purchasing or building nuclear power plants, Ubitus prefers to utilize existing nuclear energy resources.
It is understood that areas in western japan like Kansai and Kyushu with nuclear power plants typically have lower electricity prices, providing cost advantages for datacenter operations. Ubitus's new datacenter is expected to have a power receiving capacity of 2-3 megawatts and plans to expand to 50 megawatts. As the electricity consumption of artificial intelligence models continues to rise, nuclear energy is becoming increasingly popular due to its ability to provide stable and on-demand large amounts of power.
In recent times, there has been increasing cooperation between public utility companies and tech giants, signing a series of nuclear energy agreements aimed at achieving clean energy goals while driving forward the ambitious goals of artificial intelligence (AI) technology.
Artificial intelligence models consume massive amounts of energy as they need to process vast amounts of data to generate responses. Due to this, nuclear energy is a more preferred energy option than wind power or cecep solar energy as it can provide stable and continuously available large amounts of power.
In this field, amazon recently announced a $0.5 billion investment in the nuclear energy industry, including an agreement with dominion resources company (D.US) involving the discussion of building a small modular nuclear reactor near the North Anna station.
Google is also not lagging behind, reaching an agreement with nuclear energy startup Kairos Power to purchase the electricity generated by multiple small modular reactors built by the company. Microsoft, on the other hand, is collaborating with Constellation Energy (CEG.US) to restart a unit at the Three Mile Island nuclear power plant in Pennsylvania.