Everyone’s chasing the next AI stock — Nvidia (NVDA), AMD (AMD), Super Micro (SMCI) — but the truth is, the artificial intelligence (AI) boom is running into a power crisis. Behind every data center, every GPU cluster, and every AI training model is one resource that’s suddenly in short supply: electricity.
As AI infrastructure expands, the demand for power has become Wall Street’s newest frontier — and the next big investment theme emerging is the “BYOP Trade” — Bring Your Own Power.
The “Bring Your Own Power” Era
Four U.S. governors representing Pennsylvania, Maryland, New Jersey, and Virginia recently backed a proposal to fast-track new data centers on one condition: they must generate their own energy and contribute it back to the grid.
That policy, intended to ease the strain on PJM Interconnection (the largest power grid in the U.S.), effectively means future hyperscale data centers will need to be part energy company, part tech company.
In other words, AI firms can’t just bring data anymore — they have to bring the power to fuel it, too.
Big Tech Is Already Moving
That means hyperscalers like Meta (META), Amazon (AMZN), and Microsoft (MSFT) are ahead of the curve.
Meta Platforms just signed a deal for 100% of the energy from Engie North America’s $900 million solar project, and Amazon locked in a long-term solar energy supply agreement with Avangrid for its Pacific Northwest data centers.
But this is no longer just an ESG headline. It’s an operational necessity. Data centers need reliable, uninterrupted power, and renewables alone can’t meet that load just yet.
That’s where nuclear energy enters the story.
The Nuclear Revival
Nuclear power is quickly becoming one of the most talked-about “old tech meets new tech” trades on the market.
- Major players like Amazon, Alphabet (GOOG) (GOOGL), and Microsoft are already investing in nuclear energy — including small modular reactors (SMRs) that can be built faster and deployed closer to where power is needed.
- NuScale Power (SMR) has emerged as a key player in this field, hoping to secure government contracts for SMRs designed to support defense installations and future data center hubs.
- GE Vernova (GEV) and Hitachi (HTHIY) are building their BWRX-300 reactors, with construction already underway in Canada and applications filed for the U.S.
- The Tennessee Valley Authority (TVA) is partnering with both GE Vernova and Hitachi to bring new SMRs onto the grid, while Duke Energy (DUK) and American Electric Power (AEP) are invested in the project, as well.
- And Microsoft made perhaps the biggest move of all — partnering with Constellation Energy (CEG) to restart a reactor at Three Mile Island, one of the most notorious nuclear sites in the U.S.
As one analyst noted, “This is where AI meets atomic.”
The Bridge to the Grid
These nuclear and renewable projects will take years to come fully online. In the meantime, investors are looking for what experts call the “bridge trade” — companies modernizing the existing grid and maintaining the country’s aging power infrastructure.
To that end, Hitachi Energy recently acquired a stake in Blackstone (BX)-owned Shermco, a leading U.S. electrical maintenance and testing firm. Their combined mission is simple: keep the grid running while new energy capacity comes online.
According to Hitachi Energy’s leadership, over two-thirds of U.S. transmission lines are at or beyond their intended lifespan. That means grid modernization is no longer optional. It’s the biggest infrastructure story on the market.
The Bottom-Line Power Play
For investors, the AI boom’s next phase isn’t about chips; it’s about charging the entire system that powers them.
That’s why stocks like GE Vernova (GEV), Hitachi (HTHIY), and NuScale Power (SMR) are emerging as critical names to watch in the AI energy ecosystem. These companies are positioned at the intersection of data, energy, and infrastructure — the three pillars driving the modern digital economy.
Track the Power Behind AI
You can monitor these developments directly on Barchart:
- Use the Power & Electricity Infrastructure Watchlist to track grid modernization and clean energy stocks.
- Explore top picks like GE Vernova (GEV) and related ETFs.
- Watch Nuclear Energy Stocks to see how demand and pricing align with the AI expansion.
Key Takeaway
AI’s next bottleneck isn’t data. It’s power. As data centers multiply, the companies controlling energy production, transmission, and maintenance could be the real winners of the AI decade.
Watch our latest reel to see how energy, AI, and infrastructure are converging — and where the biggest opportunities might emerge:
On the date of publication, Barchart Insights did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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