Small modular reactors (SMRs) are expected to account for about one-quarter of new global nuclear capacity by 2050 as rising electricity demand from artificial intelligence, expanding data centres and accelerating electrification fuel a renewed wave of nuclear investment.
The smaller footprint, lower upfront capital costs, modular design, shorter construction times and greater deployment flexibility of SMRs have made them one of the most closely watched technologies in the nuclear sector.
SMRs are increasingly viewed as a suitable option for powering hyperscale data centres, energy-intensive industries and remote locations where uninterrupted electricity supply is critical. Several SMR projects have also entered licensing, demonstration or early construction phases, although large-scale commercial deployment is expected to accelerate during the 2030s.
According to data from the World Nuclear Association (WNA), global installed nuclear capacity could reach 1,446 gigawatts (GW) by 2050. That would require around 1,043 GW of additional nuclear capacity beyond today’s operating fleet of approximately 403 GW. Around 260 GW of the new capacity is expected to come from SMRs, representing roughly one-quarter of all planned capacity additions.
Achieving global nuclear expansion targets is expected to require around $6 trillion in cumulative investment across the nuclear value chain between 2025 and 2050.
Of that total, approximately $5.3 trillion is projected to be invested in reactor projects, including $3.5 trillion for large conventional nuclear reactors and around $1.5 trillion for SMRs.
