Nuclear is ‘overblown’ as energy source for data centers, AES CEO says [Video]

The euphoria over nuclear energy as a power source for data centers is “overblown,” the CEO of a major power provider for large tech companies told CNBC in an interview Monday.

AES Corporation CEO Andrés Gluski said renewable energy is the future, though natural gas will also play a role as a transition fuel. Nuclear power, on the other hand, faces challenges in meeting the growing power demand from data centers, Gluski said.

AES is a major power provider for large tech companies building out data centers, with more than 40% of its 12.7 gigawatt backlog coming from customers including Amazon, Microsoft and Google, according to its most recent earnings presentation to investors.

Some Wall Street analysts have predicted a nuclear renaissanceas power demand increases thanks to artificial intelligence, …