Amidst concerns of an AI overvaluation, financing flows uninterrupted to the sector’s backbone: GPU-rich datacenters. Macquarie, a leading financial company in Australia, announced its decision to invest up to $5 billion in US-based datacenter operator Applied Digital. This capital will advance the construction of new high-performance computing facilities.

Applied Digital, a relative newcomer, echoes the industry trajectory of peers like CoreWeave, capitalizing on Nvidia’s technology to offer cutting-edge cloud services. The funding embodies an initial $900 million for Applied’s Ellendale Campus in North Dakota, while securing Macquarie preemptive rights on future AI datacenter projects.

Wes Cummins, CEO of Applied Digital, highlighted these investments will back the creation of over two gigawatts of datacenter capacity. While some locations remain undisclosed, Nvidia’s equipment is anticipated to play a pivotal role.

Macquarie’s strategic move garners a 15% stake in this venture. Anton Moldan from Macquarie expressed confidence in forging a top-tier datacenter entity poised to excel in the burgeoning HPC market. The demand for GPU resources underscores a lucrative potential, fueling fervent investments from financial players like Macquarie to capitalize on the growth opportunity.