Applied Digital Secures $112.5M to Expand AI Data Center

Applied Digital Secures $112.5M to Expand AI Data Center

Applied Digital has announced a significant milestone in its mission to build advanced AI infrastructure, securing $112.5 million in initial funding to expand its AI data center campus, Polaris Forge 1, in North Dakota. This funding, part of a larger $5 billion agreement with Macquarie Asset Management (MAM), will fuel the development of one of the most ambitious AI data center projects in the United States.

The Polaris Forge 1 campus, located in Ellendale, North Dakota, is designed to scale up to an impressive 1 gigawatt of power. This expansion is critical as demand for AI and high-performance computing (HPC) capacity continues to surge. The initial phase of the project, which includes 400MW of critical IT capacity, has already been leased to CoreWeave, a leading AI hyperscaler.

Strategic Funding and Partnership

The $112.5 million funding marks the first installment from MAM, significantly reducing Applied Digital’s need to contribute equity for future development projects. This financial backing is expected to accelerate the completion of Polaris Forge 1 and pave the way for additional campuses. Wes Cummins, Chairman and CEO of Applied Digital, highlighted the strategic importance of this funding, stating, "Securing asset-level funding allows us to complete Polaris Forge 1 and scale our vision for future AI Factories.">

Anton Moldan, Senior Managing Director at Macquarie Asset Management, expressed enthusiasm about the partnership. He noted that Applied Digital’s portfolio and leadership team position it as a key player in meeting the growing demand for AI and HPC capacity. This collaboration is expected to drive innovation and support the rapidly evolving technology landscape.

Future Prospects and Industry Impact

Saidal Mohmand, CFO of Applied Digital, emphasized that the capital structure provided by MAM will enable the full delivery of Polaris Forge 1 and support the scaling of future campuses. The company aims to drive transformative progress across its pipeline of next-generation AI Factories, positioning itself at the forefront of the AI infrastructure race.

The expansion of AI data centers like Polaris Forge 1 is critical as industries increasingly rely on AI for everything from data analysis to advanced computing tasks. By investing in state-of-the-art facilities, Applied Digital is not only meeting current demand but also preparing for the future growth of AI technologies.

Conclusion

Applied Digital’s $112.5 million funding represents a major step forward in the development of AI infrastructure. With the support of Macquarie Asset Management, the company is poised to deliver cutting-edge data centers that will support the growing needs of the AI and HPC industries. As the Polaris Forge 1 campus takes shape, it will serve as a model for future AI Factories, driving innovation and technological progress.