Digi Power X has signed a $19.6 million contract with SubQ AI for bare metal GPU capacity at one of its AI data centers.
The data center in question has not been stated. Digi Power X has facilities in operation in Alabama and New York state, as well as a site under development in North Carolina.
The contract will run for two years, starting May 15, 2026. Under the agreement, Digi Power X will deliver access to Nvidia Blackwell GPUs on a bare metal basis via Digi's NeoClouz GPU-as-a-Service platform.
The agreement has seen SubQ AI pay $2.95m upfront.
Alec Amar, president of Digi Power X, said: "This agreement with SubQ AI represents a major milestone for Digi Power X - our first contracted AI revenue and the official commercial launch of our NeoCloudz bare metal GPU-as-a-Service platform.
He added: "We intend to rapidly scale our relationship with SubQ AI and welcome additional high-growth AI customers onto our dedicated Blackwell fleet. We continue to advance discussions with additional hyperscale and frontier AI customers and expect to provide further operational updates in the coming week."
"This initial deployment is the first step in what we expect to be a much larger, long-term relationship with Digi Power X," said Justin Dangel, CEO of SubQ AI. "Our roadmap calls for scaling to several thousand GPUs over the next few quarters as we advance our proprietary architecture, and the combination of NeoCloudz's bare metal platform, the newest NVIDIA Blackwell silicon, and Digi Power X's owned power and data center capacity gives us a credible runway to grow into that footprint with a single, trusted infrastructure partner."
The contract is the first operational commissioning of Digi's AI factory offering and the first named multi-year contract. The company has thus far secured 10 GPU pods, with up to 4,000 Blackwell B3000 GPUs.
Digi Power X, like many getting into the neocloud game, finds its origins as a cryptominer. The company announced an AI and HPC-focused subsidiary, US Data Centers, in 2025, along with plans to collaborate with Super Micro to deploy customized B200 GPU rack solutions at the former’s data center in Alabama.
Formerly known as Digihost, Digi Power X was previously focused on mining cryptocurrencies and placing mining hardware at power plants for itself and other companies.
Digi Power X acquired the Alabama site, in Shelby County’s Columbiana, in June 2022 from Grede II, LLC for $2.75 million. The site came with 160,000 sq ft (14,864 sqm) of office and industrial warehouse space. Digi Power X owns and operates three data center sites across Columbiana, as well as Buffalo and North Tonawanada in New York. According to Digi's CTO, Jagan Jeyapaul, the company is also exploring a Silicon Valley location to "accelerate our AI infrastructure roadmap."
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