# Applied Digital is Scaling Up Infrastructure to Handle Growing GPU Deployment Needs

By Software And Technology · Published 2024-05-20 · Updated 2026-06-22 · Engineering & Construction on MarketScale
Canonical: https://www.marketscale.com/industries/engineering-and-construction/applied-digital-is-scaling-up-infrastructure-to-handle-growing-gpu-deployment-needs
Creator hub: Applied Digital

> The company is racing to build out physical infrastructure capable of supporting the massive power and proximity requirements that modern AI compute demands

## Key points

- Applied Digital is enhancing its infrastructure to support increased GPU deployment.
- The focus is on fulfilling the significant power and proximity needs of AI technologies.
- Rapid infrastructure development is essential to sustain AI advancements.

Block Field

During a transformative period, [**Applied Digital**](https://applieddigital.com/) experienced a significant increase in demand for large-scale GPU deployment. This demand required a focus on power density, as the networking within data centers, particularly for [InfiniBand](https://en.wikipedia.org/wiki/InfiniBand), necessitated that servers be located close together. Each server consumed 10.2 kilowatts of power, and the optimal performance was achieved when multiple servers were placed within 30 meters of the network core.

[**Wes Cummins**](https://www.linkedin.com/in/wes-cummins-63114481/), the CEO at **Applied Digital** in a conversation with [**David Liggitt**](https://www.linkedin.com/in/davidliggitt/), the Founder and CEO at [datacenterHawk](https://datacenterhawk.com/) highlighted the challenge of finding large amounts of colocation (colo) space that could support interconnected GPUs. Despite securing some colo space from third parties to meet cloud demand for GPU deployment, it became clear that more extensive infrastructure was needed. Consequently, Wes instructed the real estate team to shift from planning 5 to 10-megawatt sites to [constructing facilities](https://marketscale.com/industries/software-and-technology/ellendale-hpc-data-center/) with hundreds of megawatts, marking a significant strategic shift for the company.

> More extensive infrastructure was needed.
> *— Wes Cummins, CEO at Applied Digital*

Tags: Applied Digital, datacenterHawk, David Liggitt, GPU, graphical processing units, Wes Cummins

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