Hyperscale Data Signs Service Agreement, Expected Revenue Over $3 Billion

Hyperscale Data announced the signing of a master services agreement, or MSA, to provide colocation and related data center services between Alliance Cloud Services, an indirect wholly owned subsidiary of the company, and a California-based neocloud provider at its Michigan data center campus. The MSA provides for the deployment of 20 megawatts of AI compute capacity that is expected to be operational during the fourth quarter of 2026. Further, the MSA provides for ACS' grant of an option to the customer to expand up to a total of 52 MW of critical AI compute capacity. The MSA has an initial term of 10 years with two five-year extension options that may be exercised by the customer. If exercised for the maximum term, the MSA is expected to generate in excess of $1.2B in revenue. The MSA also provides the customer with a right to an additional 32 MW of critical AI compute capacity which, if exercised within the first two years of the initial term and continues through the two five-year extension options, would be expected to result in total contract revenue in excess of $3B.