Applied Digital onboards first major customer for cloud service

Applied Digital announced the successful onboarding of its previously-announced first major AI Cloud Services customer, Character.AI. The onboarding, which includes the activation of the first compute cluster for Character.AI, comes just two months after the Company signed its first major AI customer in May 2023. In conjunction, Applied Digital received the first prepayment of its 24-month, $180 million contract, and the services are expected to be fully in place by year-end. The Company will receive additional prepayments as servers are commissioned. “We are happy to support Character.AI with our first H100 deployment and look forward to supporting their trajectory toward immense growth within the AI market,” said Applied Digital CEO and Chairman, Wes Cummins. “This milestone serves as a strong validation of Applied Digital’s mission of providing cutting-edge solutions for key players in the AI field through our cloud service.”