Hyperscale Data Invests $70 Million to Launch Michigan AI Facility

The Michigan Facility, operated by the subsidiary Alliance Cloud Services, is currently preparing to deploy an initial 20 megawatts of compute capacity. This contract spans an initial 10-year term with options for two five-year extensions. Should the agreement persist for the full 20-year duration, the company projects revenue exceeding $1.2 billion. This figure could climb to $3 billion if the client exercises its right to increase capacity to 52 megawatts.

CEO Will Horne described the current capital deployment as a focus on operational execution. While the initial 52 megawatts represent less than 20% of the site’s total 340-megawatt potential, the company views the remaining 270 megawatts as a significant runway for future growth. Executives are now weighing long-term strategies for the subsidiary, including potential strategic partnerships, a separate initial public offering, or a full sale of the Michigan assets to maximize shareholder value.