Core Insights - Applied Digital is transitioning from a focus on cryptocurrency to becoming a significant player in AI infrastructure, particularly in next-generation data centers [1] - The company is experiencing rapid revenue growth, with Wall Street projecting nearly 50% upside potential for its stock [1] - Investors are closely monitoring whether Applied Digital can convert its current growth momentum into sustainable profitability [1] Company Overview - Applied Digital is positioned as a key player in the AI data center market, indicating a strategic shift in its business model [1] - The company is leveraging its capabilities to meet the increasing demand for AI infrastructure, which is critical for various industries [1] Market Outlook - Wall Street analysts are optimistic about Applied Digital's future, forecasting significant stock price appreciation of nearly 50% [1] - The focus on AI data centers aligns with broader industry trends, suggesting a favorable market environment for growth [1] Financial Performance - The company is currently experiencing rapid revenue growth, although the specifics of this growth in terms of dollar amounts or percentages are not detailed [1] - The key challenge remains in translating this growth into lasting profitability, which is a critical factor for investor confidence [1]

A consortium consisting of the Artificial Intelligence Infrastructure Partnership (AIP), MGX, and BlackRock’s Global Infrastructure Partners (GIP) has agreed to acquire Aligned Data Centers for an enterprise value of around $40bn. The deal will help increase the scale of next-generation cloud and AI infrastructure. Aligned’s current owners Macquarie Asset Management (MAM) and its co-investment partners will sell their entire equity stake. In an interview with Reuters, MAM head Ben Way said the sale “was ...

Core Insights - Meta Platforms Inc. is finalizing a nearly $30 billion financing package for its Hyperion data center in Louisiana, marking the largest private capital deal on record [1] - The financing structure involves a special purpose vehicle (SPV) where Meta retains only 20% ownership of the data center, with Morgan Stanley arranging over $27 billion in debt and approximately $2.5 billion in equity [2][5] Financing Structure - The SPV allows Meta to avoid directly borrowing capital, as the financing entity will take on the debt, while Meta will act as the developer, operator, and tenant of the project, expected to be completed by 2029 [5] - This structure is increasingly popular among tech companies to manage large capital expenditures without significantly impacting their credit ratings [4][6] Market Context - In the U.S. bond markets, tech companies raised about $157 billion through late September, a 70% increase from the previous year, indicating a trend of borrowing to meet rising costs [4] - The bonds for this financing are priced at approximately 225 basis points over Treasuries, with S&P Ratings assigning an investment grade rating of A+ to the securities [8] Data Center Details - Hyperion will be Meta's largest data center, covering 4 million square feet and capable of drawing up to 5 gigawatts of power, equivalent to the energy needs of about 4 million U.S. homes [9] - Meta is also expanding its data center footprint with additional projects in El Paso, Texas, and Ohio [10]

Market Overview - European equity futures are experiencing significant declines, with the EuroStoxx 50 down 0.9%, DAX falling 1.2%, and FTSE declining 1.0%, indicating a risk-off sentiment among investors [2][10] - In the United States, five-year Treasury yields have dropped to a one-year low, reflecting a flight to safety due to concerns over the stability of US regional banks and ongoing geopolitical uncertainties related to trade tensions [3][10] Company Developments - Google (Alphabet Inc.) is under scrutiny for its rapid data center expansion in India, which is reportedly exposing critical gaps in AI safeguards and raising regulatory concerns in emerging markets [4][10] - Iberdrola, the owner of Scottish Power, is exploring a deal for its UK retail energy unit, indicating strategic moves within the energy sector [5] - Venture Global, a key player in the LNG market, is addressing client suspicions regarding its LNG contracts, highlighting challenges in maintaining client trust [5] Financial Risks - The collapse of First Brands has led to significant warnings from investors about the risks associated with leveraged loans, indicating potential vulnerabilities in the private credit market [6][10] - Europe is facing adverse effects from the ongoing US-China rare earth wars, which are negatively impacting European industries and supply chains [7][10]

Core Viewpoint - Bitfarms Ltd. has announced the pricing of a US$500 million offering of 1.375% convertible senior notes due 2031, with an option for initial purchasers to buy an additional US$88 million [1][2] Summary by Sections Convertible Notes Offering - The offering size was increased from the previously announced US$300 million to US$500 million, with a potential total of US$588 million if the option is fully exercised [1] - The offering is expected to close around October 21, 2025, subject to customary closing conditions [1] Terms of the Notes - The Convertible Notes will accrue interest at a rate of 1.375% per annum, payable semi-annually starting July 15, 2026, and will mature on January 15, 2031 [2] - The Company has the right to redeem the notes under certain conditions and must offer to repurchase them upon specific events [2] Conversion Features - The initial conversion rate is set at 145.6876 common shares per US$1,000 principal amount, equating to an initial conversion price of approximately US$6.86 per share, representing a 30% premium to the last reported price of US$5.28 [4] - The conversion rate may be adjusted under certain circumstances, and the Company can settle conversions in cash, shares, or a combination [4] Use of Proceeds - Net proceeds from the offering will be used for general corporate purposes and to cover costs associated with capped call transactions [5][7] Capped Call Transactions - The Company has entered into cash-settled capped call transactions to cover the number of common shares underlying the Convertible Notes, with a cap price of US$11.88 per share, a 125% premium to the last reported price [6][9] - These transactions aim to reduce potential economic dilution upon conversion of the notes [9] Company Overview - Bitfarms is a North American energy and digital infrastructure company focused on building and operating data centers for high-performance computing and Bitcoin mining, with a significant portion of its energy pipeline based in the U.S. [14][15]

Core Insights - The collaboration between Samsung Electronics and OpenAI aims to develop floating data centers to address land scarcity and high energy costs associated with cooling AI hardware [1][2] - The project intends to utilize cold seawater for cooling, which could significantly reduce energy consumption in data centers [3][4] Group 1: Project Overview - The partnership includes Samsung SDS, Samsung C&T, and Samsung Heavy Industries, initiated after OpenAI CEO Sam Altman's visit to Korea [2] - The floating data centers are expected to cut energy use by up to 70% and reduce land and construction costs by 30-40% [4] Group 2: Industry Context - This initiative is part of a broader search for sustainable energy solutions in the tech industry, driven by the increasing energy demands of AI [5] - Concerns have been raised about the strain on terrestrial power grids, with predictions that electricity rates could double in the next five years without new approaches [5]

Core View - CoreWeave reaffirms its commitment to acquiring Core Scientific, emphasizing the financial benefits and strategic rationale for Core Scientific stockholders [1][2][6] Acquisition Details - CoreWeave entered into a definitive agreement to acquire Core Scientific in an all-stock transaction on July 7, 2025, which is positioned as the best path forward for Core Scientific stockholders, providing immediate premium value and long-term growth potential [2][4] - The acquisition is expected to create synergies through vertical integration, operational efficiencies, and expanded industry expertise, enhancing long-term value creation for shareholders [2][4] Response to Misleading Claims - CoreWeave addresses misleading statements made by Two Seas Capital regarding the acquisition, asserting that their offer is final and will not be modified [3][4] - The company argues that Core Scientific's standalone value-creation plan is riskier compared to the proposed acquisition, which mitigates significant execution risks and capital expenditure challenges [4][6] - CoreWeave highlights that its partnership has already led to a ~150% increase in Core Scientific's stock price over the 13 months prior to the acquisition announcement, compared to ~25% for peers [4][5] Market Position and Future Outlook - CoreWeave is confident that no alternative buyer can match its scale and ability to unlock value from Core Scientific's assets, reinforcing the strategic importance of the acquisition [5][9] - The upcoming Special Meeting on October 30, 2025, will allow stockholders to vote on the transaction, with CoreWeave urging them to support the merger proposal [7][8]

Core Viewpoint - TeraWulf Inc. has announced a $3.2 billion offering of senior secured notes to finance the expansion of its data center at the Lake Mariner campus in New York, with the offering expected to close on October 23, 2025, subject to market conditions [1][2]. Group 1: Offering Details - The offering consists of 7.750% senior secured notes due in 2030, priced at par, and will be sold privately to qualified institutional buyers under Rule 144A of the Securities Act [1][5]. - The notes will be fully guaranteed by WULF Compute's subsidiaries and secured by first-priority liens on substantially all assets of WULF Compute and the Guarantors [3][4]. Group 2: Use of Proceeds - The net proceeds from the offering will be utilized to finance a portion of the data center expansion at the Lake Mariner campus [2]. Group 3: Guarantees and Conditions - TeraWulf will provide customary completion guarantees to ensure the timely completion of the data center buildings involved in the expansion [4]. - The offering is subject to market and other conditions, with no assurance on the completion timeline or terms [4].

Core Viewpoint - The discussion emphasizes the critical need for power in the context of expanding data centers, particularly in Texas, and highlights the potential of photonics and quantum computing to address these challenges [1][4][6]. Power Demand and Supply - Open Air requires 20 gigawatts of power, costing $16 billion for every 2 gigawatts [1] - Texas is experiencing a grid problem, complicating the expansion of data centers [3] - Oracle's co-CEOs noted that the challenge lies in supply rather than demand, as data centers cannot be built quickly enough to meet the growing needs [4] Photonics and Quantum Computing - Cohere is focused on photonics for quantum computing, which adds complexity to the power requirements [6] - The company has launched a strategy called macro cycle opportunities, targeting themes such as space, robotics, quantum, and nuclear, all integrated with AI [6] Investment Strategies - Quanta Services has a $36 billion backlog for modernizing existing power grids [8] - The portfolio construction includes established leaders (40-50%), enablers (20-25%), and speculative names (10-20%) to mitigate risk [10] Market Dynamics - The expectation for transformation in technology is significant, with predictions of more change in the next decade than in the last century [9] - Meta's pivot to AI and its impact on revenue generation remains uncertain, despite attracting high-level talent [14][15]

whole pool side. It just announced it's going to build a massive data center complex with coreweave which gets most of its GPUs from Nvidia. Nvidia is an investor in both coreweave and poolside.And joining me now to discuss it isocant co-CEO of poolside. Can you describe that. To me it it seems like too good to be true.Fracking a country to build a data center. It's like, do you even need a I mean, it's right there, right. >> Absolutely, Joe.Uh, if you look at this, you know, the the key layers that are are ...