May 06, 2026 | Posted by Abdul-Rahman Oladimeji
Wafer-scale chip company and cloud provider Cerebras has signed an agreement to lease 40MW of capacity at a Digi Power X data center in Columbiana, Alabama. The contract has an initial term of 10 years and is valued at $1.1 billion, with the potential to be extended to a total value of $2.5 billion. The data center is still under development, with Digi Power X planning a two-phase delivery. Phase one will provide 15MW of IT load, while phase two will add a further 25MW, bringing total IT capacity to 40MW.
Digi Power X's chairman and CEO, Michel Amar, said: "This agreement is transformational for Digi Power X. Signing a $1.1 billion anchor contract with a premier AI compute company is validation of everything we have built - our team, our sites, our infrastructure capabilities, and our vision for what a next-generation data center operator looks like. We are no longer building toward the top tier of this industry. We are in it."
"This deal is a statement. Closing a contract of this magnitude with one of the prominent emerging companies of the AI era signals Digi Power X is a serious player operating at the highest level. This is the kind of landmark transaction that we believe will open the door to additional sophisticated tenants, lenders, and partners," added Alec Amar, president of Digi Power X Inc.
Digi Power X acquired the Alabama site in Columbiana, Shelby County, in June 2022 from Grede II, LLC for $2.75 million. The property includes around 160,000 sq ft (14,864 sqm) of office and industrial warehouse space. The company also owns and operates three existing data center sites in Columbiana. The agreement with Cerebras comes just weeks after Digi Power X announced SubQ AI as a customer at one of its facilities for bare metal GPU capacity.
