Big AI energy, literally
Digi Power X says it signed a Master Services Agreement with Cerebras Systems for a purpose-built 40 MW AI data center campus in Columbiana, Alabama. Translation: this isn’t a “maybe someday” handshake — it’s a long-term capacity deal that gives Cerebras a home for its compute needs and gives Digi Power X a much clearer line of sight into future cash flow.
Why the market cares
The initial 10-year term is valued at about $1.1 billion, with total potential contract value reaching up to $2.5 billion if renewal terms get exercised. That’s the sort of number that can make a small infrastructure name suddenly look a lot less like a side project and a lot more like a recurring revenue machine.
The AI data center arms race keeps getting stranger
If you’ve been watching the AI boom, you already know the bottleneck isn’t just chips — it’s power, space, cooling, and the boring plumbing that makes the whole thing run. This deal says Digi Power X wants to play in that picks-and-shovels layer, where demand can get locked in for years instead of chasing one-off spot contracts.
Big picture
For Digi Power X, the headline isn’t just “AI” — it’s “contracted AI infrastructure revenue,” which is a much nicer sentence for investors than “we hope the demand is there.” If the buildout stays on track, this could be the kind of agreement that changes how the market values the company.