Shares of Applied Digital rose more than 40% after the company said it signed two long-term lease agreements with CoreWeave for artificial intelligence data centers.Nvidia-backed CoreWeave climbed more than 7% following the announcement.Financial terms of the two agreements were not provided, but Applied Digital said it expects $7 billion in total revenue over the approximately 15-year period."Through these newly signed long-term leases with CoreWeave, we are taking a step forward in our strategic expansion ...

Group 1: Microsoft’s Energy Strategy - Microsoft is considering the use of natural gas with carbon capture technology to power AI data centers, contingent on commercial viability and cost competitiveness [1] - The company aims to match all its electricity consumption with carbon-free energy by 2030 and has procured over 30 gigawatts of renewable power to achieve this goal [2] - Microsoft has also engaged in nuclear power initiatives, including a deal to support the restart of the Three Mile Island plant, although significant nuclear power development in the U.S. is not expected until the 2030s [3] Group 2: Industry Trends and Challenges - Data center developers are increasingly viewing natural gas as a near-term power solution despite its carbon emissions, with the Trump administration promoting natural gas production [4] - The cost of new natural gas plants has tripled, and the timeline for building these plants extends to 2030, presenting challenges for deployment [7] - Renewable energy sources are currently more cost-effective and available compared to natural gas, with industry leaders indicating that renewables are ready to meet immediate power needs [8] Group 3: Collaborations and Future Outlook - Exxon Mobil and Chevron are entering the data center space, planning to develop natural gas plants with carbon capture technology, indicating a trend towards integrating fossil fuels with cleaner technologies [5] - Discussions are ongoing between Microsoft and various technology providers, although specific conversations with oil majors were not confirmed [6] - The focus on accelerating the construction of power plants for data centers reflects a critical need in the industry, as highlighted by industry executives [7]