Applied Digital is Scaling Up Infrastructure to Handle Growing GPU Deployment Needs

During a transformative period, Applied Digital experienced a significant increase in demand for large-scale GPU deployment. This demand required a focus on power density, as the networking within data centers, particularly for InfiniBand, necessitated that servers be located close together. Each server consumed 10.2 kilowatts of power, and the optimal performance was achieved when multiple servers were placed within 30 meters of the network core.

Wes Cummins, the CEO at Applied Digital in a conversation with David Liggitt, the Founder and CEO at datacenterHawk highlighted the challenge of finding large amounts of colocation (colo) space that could support interconnected GPUs. Despite securing some colo space from third parties to meet cloud demand for GPU deployment, it became clear that more extensive infrastructure was needed. Consequently, Wes instructed the real estate team to shift from planning 5 to 10-megawatt sites to constructing facilities with hundreds of megawatts, marking a significant strategic shift for the company.