Latest News In Cloud AI - Applied Digital Expands AI Infrastructure with $5 Billion Partnership

Applied Digital Corporation has announced a substantial investment partnership with Macquarie Asset Management to enhance its high-performance computing (HPC) capabilities, with funding commitments reaching up to $5 billion. This strategic initiative involves an initial investment of up to $900 million to develop the Ellendale HPC Campus, with provisions for additional investments totaling $4.1 billion across future projects. The partnership aims to solidify Applied Digital's position in the rapidly evolving cloud AI sector, focusing on next-generation data centers capable of handling advanced AI workloads. The agreement underscores the growing demand for robust digital infrastructure tailored to support AI, machine learning, and other complex computational processes.

In other market news, Beijing Kingsoft Office Software (SHSE:688111) was trading firmly up 8.2% and ending trading at CN¥276.00. In the meantime, GDS Holdings (NasdaqGM:GDS) trailed, down 18.2% to close at $21.89.

GDS Holdings could enhance liquidity through international expansion and monetizing assets. Discover the full narrative by clicking here.

As a follow-up, be sure to check out our Market Insights article, "The AI Capex Cycle Shows No Signs Of Slowing Down," where we explored the ongoing investment in Cloud AI infrastructure by major tech companies and the impact of this on both winners and losers within the AI value chain.

Best Cloud AI Stocks

• Microsoft (NasdaqGS:MSFT) settled at $417.19 down 0.4%. Last week, the company expanded its partnership with HCLTech to enhance AI-driven customer service solutions.
• Alphabet (NasdaqGS:GOOGL) settled at $191.01 down 0.5%.
• Super Micro Computer (NasdaqGS:SMCI) settled at $31.08 down 4.7%.

Key Takeaways

• Discover the full array of 151 Cloud AI Stocks, featuring Seagate Technology Holdings, Jabil and NEC, right here.
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Sources:

• Simply Wall St
• "Applied Digital Agrees to Build a Partnership with Macquarie Asset Management for Funding of up to $5.0 Billion to Drive HPC Growth" from Applied Digital Corporation on GlobeNewswire (published 14 January 2025)

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