Why Rolls-Royce is Using Nuclear Power for AI Data Centres

Rolls-Royce is positioning itself to become the first UK firm to use nuclear power for AI operations through Small Modular Reactors.
The company aims to address the growing energy consumption of AI data centres, which currently rely on fossil fuels for 56% of its power according to the Environmental and Energy Study Institute.
Tufan Erginbilgic, CEO at Rolls-Royce, tells the BBC: “There is no private company in the world with the nuclear capability we have.”
“If we are not the market leader globally, we did something wrong."
How small modular reactors provide scalable nuclear solutions
Rolls-Royce plans to build its nuclear energy supply using Small Modular Reactors, which are smaller installations that can be constructed more quickly than traditional nuclear power plants.
SMRs typically generate up to 300 megawatts of electricity.
The company has signed agreements to develop three SMRs in the UK and six in the Czech Republic.
Tufan estimates the world will require 400 SMRs by 2050 to meet growing energy demands.
Several US companies have announced similar plans, with Google partnering with Kairos Power to bring its first SMR online by 2030 to support AI development.
Rolls-Royce expanding its existing AI applications across operations
Rolls-Royce has used AI since 1999 to predict maintenance requirements and schedule care for aircraft engines.
The company now deploys AI-powered robots to perform quality inspections on components in manufacturing facilities.
The engineering firm has invested in mtu EnergetIQ technology, which determines the optimal composition of power generation, storage and requirements based on weather forecasts, electricity prices and customer energy needs.
Jan Henker, Senior Expert Automation and controls at Rolls-Royce, explains: “If you want to achieve perfect interplay in leveraging the strengths of the different technologies, not just today, but tomorrow, next week and beyond, then what you need isn't a fixed operating strategy but one that constantly recalculates itself automatically.
“That requires an over-arching, data-driven solution – in other words, the optimiser function of mtu EnergetIQ.”
SMR technology promising significant economic impact
Each SMR that Rolls-Royce creates will generate enough energy to power one million homes for a minimum of 60 years whilst producing no carbon emissions during operation.
The company reports its SMRs will produce 470 megawatts of low-carbon energy, equivalent to the output of 150 onshore wind turbines.
The SMR fleet could contribute up to £54bn to the UK economy between 2025 and 2105.
Production of the three SMR plants is forecast to create 40,000 regional UK jobs by 2050.
Rolls-Royce plans to conduct 90% of manufacturing and assembly in factories to maintain quality standards and reduce on-site disruption whilst supporting international deployment.
Tony Blair, Executive Chairman at the Institute for Global Change, supports the SMR approach for long-term energy planning, saying: “SMRs can be a cornerstone of the long-term, secure and low cosy decarbonised energy system that can power the future economy.”



