Dan Caplinger

Instead, they're signing deals with independent companies like NextEra Energy.

which is another supplier of modular nuclear reactors.

Nuclear is making a comeback a decade or so after Fukushima, but in a different form.

And maybe this will go over okay with the people and regulators.

I don't know.

But it's one way to get your hands on cheaper energy in the long run.

It's still not cheap to build, but it will get affordable to run.

So that's one way to get the power you need for your data centers.

Right.

And it's not exactly new.

I know for years, companies like Microsoft and Google have been building data centers with paying close attention to where they get their energy from and signing deals with local water power resources in places like Canada and northern Sweden, for that matter.

There's a Google data center up in Kiruna somewhere.

that is powered by a local waterfall, basically.

So it's not exactly new, but it's up to a new level.

So one stock I'm really excited about in this space is HP Enterprise, one half of the old Hewlett Packard conglomerate that's been around for decades.

But it split up in two parts about 10 years ago, and HPE has become a giant in building high-powered computer systems, which is perfect for the kind of data centers that AI hyperscalers need.

When you look at the top 500 list of supercomputers these days, in the top 10, about six of them, I believe, were built by HP in the last update in November.

And these guys know how to build really high powered systems.

That comes in handy at this point.

So despite the HPE's muscle in the data center space where they can provide anything from the actual supercomputers to now with Juniper Networks, the networks that put them together and the feed data from one part of the system to another and then out to the world.