Applied Digital Announces $3 Billion Data Center, Shares Surge 16.1%

Applied Digital's stock surged 16.1% on Monday after announcing a new $3 billion AI data center, Polaris Forge 2, in North Dakota. The company plans to break ground in September, open for business in 2026, and reach full capacity in 2027. Applied Digital isn't profitable and won't be for years, but its revenue has more than doubled last year and is up 1500% over two years.

Applied Digital Corporation's stock surged 16.1% on Monday following the announcement of a new $3 billion AI data center, Polaris Forge 2, in North Dakota. The company plans to commence construction in September 2025, with initial operations slated for 2026 and full capacity expected by early 2027 [1].

Polaris Forge 2 will be a 280-megawatt (MW) facility, designed with the capability to scale beyond its initial capacity. The new campus is part of Applied Digital's rapid expansion in North Dakota, driven by surging demand for AI computing power. The project builds on the success of Polaris Forge 1 in Ellendale and underscores the state's strategic importance for AI infrastructure in the U.S. [1].

The company has secured power through Cass County Electric Cooperative and plans to employ over 200 full-time employees once fully operational. The development includes two facilities with capacity for future expansion and is expected to contribute significantly to North Dakota's economy [1].

While Applied Digital is not yet profitable and expects to remain so for years, its revenue has more than doubled in the past year and increased by 1500% over the last two years. The company's stock performance reflects investor confidence in its growth prospects and strategic positioning in the AI infrastructure market [1].

The announcement of Polaris Forge 2 highlights Applied Digital's commitment to sustainable, high-performance digital infrastructure, which powers innovation and delivers economic and community benefits. The project is expected to strengthen the company's operations and enhance its ability to scale [1].

References:
[1] https://ir.applieddigital.com/news-events/press-releases/detail/127/applied-digital-to-break-ground-on-3-billion-polaris-forge