Applied Digital announced it has signed a new 15-year take-or-pay lease agreement with the same U.S.-based high investment-grade hyperscaler that previously partnered with the company at Delta Forge 1. The agreement covers Applied Digital’s fourth AI Factory campus, Polaris Forge 3, which is designed to deliver 300 MW of critical IT load supported by approximately 430 MW of grid-connected utility power.
The new agreement is valued at approximately $7.5 billion in base-term contracted revenue over the estimated 15-year term. If all renewal options are exercised, the total potential contract value could reach approximately $18.2 billion.
With the Polaris Forge 3 agreement, Applied Digital said its total contracted lease revenue now stands at approximately $31 billion across four AI Factory campuses, with potential value rising to approximately $73 billion if all renewal options are exercised in accordance with their terms.
The company also said the transaction pushes its total contracted capacity across four AI Factory campuses to 1,200 MW of critical IT load on a net basis and approximately 1,670 MW of utility power on a gross basis. Approximately 65% of contracted revenue is backed by U.S.-based investment-grade hyperscalers.
Applied Digital described Polaris Forge 3 as a more-than-600-acre campus purpose-built for large-scale AI training and inference workloads. The site incorporates the company’s proprietary waterless cooling technology, high-density power delivery systems, and advanced liquid-cooling architecture designed to meet the demands of next-generation AI infrastructure.
The company said Polaris Forge 3 builds upon the same AI Factory model already deployed at Polaris Forge 1, Polaris Forge 2, and Delta Forge 1. Initial operations at the new campus are expected to begin in August 2027.
Applied Digital, headquartered in Dallas, Texas, designs, builds, and operates high-performance data centers and colocation services for artificial intelligence, cloud, networking, and blockchain workloads.
KEY QUOTES:
“Polaris Forge 3 is a direct extension of what we’ve proven works: a disciplined, repeatable AI Factory model that delivers large-scale capacity to the world’s most demanding compute customers. This second 300 MW lease with the same U.S. based high investment-grade hyperscaler we partnered with at Delta Forge 1 reflects the confidence we’ve built through disciplined execution and our ability to consistently advance large-scale AI infrastructure projects. We’ve earned a seat at the table with blue-chip customers, and we intend to keep that position through flawless execution and long-term operational reliability.”
Wes Cummins, Chairman and Chief Executive Officer, Applied Digital
“Momentum continues to build for our Company. While executing leases representing 1.2 GW in the past eleven months has been a monumental achievement, we are actively marketing more than 1.7 GW of grid-connected utility power across sites recently added to our portfolio, as well as existing sites.”
Wes Cummins, Chairman and Chief Executive Officer, Applied Digital
