At first glance, US$650 billion is a huge number. One that raises a lot of questions. But the biggest one in this case is, where will all that money be directed?
Big Tech companies are expected to spend roughly that amount on artificial intelligence (AI) infrastructure, data centres, chips, and related systems in 2026. The problem is that data centres need electricity, and lots of it. That is why the AI buildout is no longer just a technology story. It is a power story.
Going nuclear
The International Energy Agency expects global data centre electricity consumption to more than double by 2030, reaching about 945 terawatt-hours. That would be slightly more than Japan’s total electricity consumption today. AI is the biggest driver of that growth, alongside rising demand for other digital services.
Electricity supply can become the limit on AI growth. A company can build faster chips and smarter models, but if there is not enough reliable power available, the buildout slows. That’s already changing how technology companies think about energy.
For instance, in 2024, Constellation Energy announced a 20-year power purchase agreement with Microsoft to help restart Three Mile Island Unit 1, now renamed the Crane Clean Energy Center. The restarted nuclear plant is expected to supply carbon-free power for Microsoft’s data centre electricity needs in the PJM grid.
That deal sent a clear signal. The biggest technology companies are looking for long-term, reliable, low-carbon electricity. Wind and solar can help meet rising demand, but data centres need power around the clock. That’s where nuclear power enters the picture.
CCO
For Canadian investors, this points to Cameco (TSX:CCO). Cameco stock is one of the largest global providers of uranium fuel needed for nuclear power. The company says its position is built on controlling ownership of large high-grade reserves, low-cost operations, and investments across the nuclear fuel cycle, including its ownership interest in Westinghouse Electric. And it seems more growth is on the way.
Cameco stock said about 116 million pounds of uranium were placed under long-term contracts by utilities in 2025, with increased activity late in the year. Cameco does not need every AI data centre to connect directly to a nuclear plant. It just needs nuclear demand to rise, utilities to sign long-term contracts, and uranium markets to remain tight enough to support better realized prices.
In the first quarter of 2026, Cameco stock reported net earnings of $131 million, adjusted net earnings of $203 million, and adjusted EBITDA of $509 million. Its uranium segment generated adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) of $423 million, up from $286 million in the same quarter of 2025.
More to come
The Westinghouse stake also gives Cameco stock a broader role in the nuclear value chain. Westinghouse is tied to reactor technology and services, giving Cameco stock exposure beyond uranium mining alone. That could matter if more countries and companies push nuclear power back into growth mode.
Still, investors should not treat Cameco as a low-risk utility. Cameco stock has already priced in a lot of optimism trading at 93.5 times trailing earnings at writing. That valuation is the main risk. If uranium prices weaken, contracting slows, production disappoints, or investors lose interest in nuclear power themes, Cameco stock could pull back sharply.
There is also execution risk. Uranium mining can be affected by production disruptions, regulatory approvals, geopolitical issues, and cost inflation. Nuclear power is gaining attention, but reactors and fuel-cycle investments take years, not months, to develop. Even so, Cameco stock remains one of Canada’s most interesting long-term AI infrastructure plays.
Bottom line
The data centre buildout may start with chips. But it cannot scale without power. If nuclear energy keeps moving from a policy debate into a practical solution for reliable electricity, Cameco stock could be one of the Canadian companies best positioned to profit from that shift. Investors looking years ahead may want to watch Cameco stock on any pullback while the AI power problem keeps getting bigger.
