Digi Power X Inc. 8-K

What Happened
Digi Power X Inc. announced on May 4, 2026 that it entered into a Data Center Colocation and Master Services Agreement with Cerebras Systems Inc. to deploy approximately 40 megawatts (MW) of AI computing capacity at Digi Power X’s AI data center campus in Columbiana, Alabama. The Agreement gives Cerebras an exclusive license to access the data center, has an initial 10-year term (from the later of two phase commencement dates), and allows Cerebras to extend for additional periods. The company estimates approximately $1.1 billion in contract value during the initial term and a total potential contract value of about $2.5 billion assuming a seven-year extension, subject to Digi Power X meeting its obligations.

Key Details

• Agreement date: May 4, 2026; Material Change Report filed May 8, 2026.
• Capacity and timing: Phase 1 = 15 MW targeted ready-for-service Dec 15, 2026; full deployment to 40 MW targeted by end of Q1 2027.
• Payment structure: one-time payments for Phase 1 and Phase 2 construction plus monthly colocation fees based on kilowatts (part of fees prepaid).
• Condition: the additional 25 MW in Phase 2 is conditioned on Digi Power X securing adequate financing for Phase 2 operations.

Why It Matters
This is a large, multi-year customer contract tied to AI data center capacity and represents a meaningful revenue opportunity if built out as planned (company-estimated $1.1B initial term, up to $2.5B if extended). The agreement includes exclusivity for Cerebras and sets concrete project milestones, but Phase 2 expansion depends on Digi Power X obtaining sufficient financing. Investors should note the timelines, the company’s capital needs to reach full 40 MW, and that portions of the formal agreement are filed with redactions in the 8-K.