Applied Digital Corporation (APLD), a Texas-based bitcoin mining and data center company, recently saw a 12% increase in share price after announcing its third agreement in the artificial intelligence (AI) sector.
In accordance with the cooperation, Hewlett Packard Enterprises’ (HEP) supercomputers will be used by Applied Digital’s AI cloud service, which will be constructed utilizing NVIDIA H100 GPUs.
According to the news release, the HPE Cray XD supercomputers will “enhance” Applied Digital’s AI Cloud service and “effectively support critical workloads such as AI, machine learning, rendering, and HPC [high-performance computing] tasks involving digital modeling and simulation.”
Two hosting agreements for AI loads that potentially generate up to $640 million in income over the following 36 months have already been revealed by Applied Digital.
A decline in bitcoin prices and an increase in network difficulty have affected bitcoin miners’ profits, which are being shored up by AI. Earlier today, the Canadian company HIve Blockchain (HIVE) described a plan for using its GPU fleet to train massive corporate language models.
Wes Cummins, CEO of Applied Digital, noted in a press release that “this partnership comes at a pivotal time for our company as we continue to expand our current capacity pipeline of up to 200MW [megawatts] for our HPC data centers.”
A 9 MW facility designed just for GPUs has been created by Applied Digital in Jamestown, North Dakota. It intends to boost its hosting capacity for high-performance computing to 200 MW.
On June 20, HPE unveiled its supercomputing-as-a-service solution, which enables users to access supercomputing on the cloud without building the infrastructure, to train and run massive language models. According to trade newspaper HPC Wire, along with tech behemoths like Google, IBM (IBM), Intel (INTC), and Nvidia (NVDA), it is one of the last companies left standing in the supercomputing space.