Data center operators are facing an unprecedented power crunch as AI and cloud workloads surge. Hyperscale companies like Google, Microsoft, and Meta are responding with deep partnerships in the energy sector through massive renewable power purchase agreements (PPAs) and early investments in clean energy technologies.
These collaborations marry Big Tech's compute loads with utility-scale clean energy projects, aiming to ensure 100% carbon-free, reliable power for data centers while stabilizing the grid. At the same time, these early commitments give energy companies the confidence and financing to build at scale, and when you build more, costs come down faster.
This is the same story the energy industry faced decades ago with solar. What started out as an expensive new technology became affordable once enough big buyers jumped in. Now, by putting their confidence in geothermal, advanced nuclear, and long-duration storage, Big Tech is helping those industries scale up more quickly.
Below are some examples of partnerships between Google, Microsoft, and Meta, and clean technology companies.
NV Energy and Fervo: Google and NV Energy proposed a first-of-its-kind utility tariff to procure clean firm capacity. NV Energy would contract 115 MW of enhanced geothermal from Fervo and deliver its capacity value under the CTT to serve Google's Nevada data centers. The CTT is a contract, a part of the utility relationship, and is designed to be replicable by other utilities in the US.
Kairos Power: In 2025, Google announced a three-party structure where TVA will buy power from Kairos Power's Hermes-2 (GEN-IV fluoride-salt-cooled) plant, and Google will procure clean attributes through TVA to serve nearby data centers. This is the clearest template yet for utility-mediated nuclear for data centers.
Commonwealth Fusion Systems: Google signed what CFS calls the first commercial fusion offtake: 200 MW from the inaugural ARC plant planned in Chesterfield County, VA (early 2030s operational grid date), paired with increased equity investment and options for future units.
Microsoft
Constellation and Three Mile Island: Microsoft signs a long-term deal that underpins Constellation's restart of the retired TMR-1 reactor. This is a landmark transaction linking AI demand growth to nuclear re-entry on the grid.
Meta
Constellation and Clinton Clean Energy Center: Meta and Constellation agreed upon a 20-year PPA that gives Meta 1,211 MW of nuclear energy. The PPA also supports the relicensing and continued operations of the power plant, which would otherwise have been retired when the zero-emission tax credit expires in 2027.
Sage Geosystems: The geothermal energy company will provide 150 MW of new geothermal power to Meta to power its data center growth. This is the first use of next-gen geothermal east of the Rocky Mountains and is expected to significantly expand the use of geothermal power in the US.
For the energy sector, these strategic partnerships enable technologies to come online sooner and cheaper than if they had waited for traditional utility procurement alone. In other words, hyperscalers aren't just buying clean power for their own data centers; they're speeding up the cost curve for everyone else, too.