Adds share movement Amazon.com (NASDAQ:AMZN) has said it will continue to back a deal for an Amazon Web Services data center in Pennsylvania powered by Talen Energy's (NASDAQ:TLN) nuclear power plant.

Big tech companies need lots of electricity for their data centers, which are processing increasingly complex artificial intelligence applications.

Federal regulators blocked part of a plan for Talen Energy to sell nuclear power directly to an adjacent Amazon data center in Pennsylvania. How We Got Here The Amazon-Talen plans had accelerated interest in so-called behind-the-meter deals,

Discover if Talen Energy (TLN) remains a buy after FERC's Amazon deal block. Analyze key price levels and future prospects.

Talen Energy (TLN) shares pull back after US regulators rejected a deal that would have allowed Amazon's (AMZN) cloud business, Amazon Web Services (AWS), to buy power for its data centers. Catalysts Hosts Seana Smith and Madison Mills break down the news and what it means as Big Tech companies turn to nuclear energy to power their AI data centers.

Nuclear-power stocks fell after regulators voted against a deal between Amazon and Talen Energy. The deal would permit a Talen nuclear plant to provide an Amazon data center with extra power. Nuclear stocks have surged this year as AI data centers boost energy demand.

Constellation Energy will continue to pursue deals to develop data centers on the sites of its U.S. power plants, days after federal regulators dealt a blow to the so-called co-located arrangements, company executives said on Monday.

The Federal Energy Regulatory Commission has rejected a request to increase the energy sent to Amazon's data centers from a Pennsylvania nuclear plant.

The commission agreed with opponents of the proposal, citing concerns about grid reliability and cost fairness.

Talen said it believed FERC had erred and was evaluating its options. The company can still restructure its expanded deal with Amazon, according to Oppenheimer analysts.