Compute Capacity

AI-native cloud with software stack on top. The contracted-backlog leader (~$46B) anchored by MSFT and META through 2032.

• ~$46B contracted backlog
• ~$19B Microsoft deal
• ~$27B Meta partnership through 2032
• $2B equity check from NVDA

Cheapest power converted into GPU cloud. ~2.9 GW today, 140K-GPU buildout, MSFT-anchored ARR ramp into late 2026.

• $MSFT AI cloud contract: $9.7B, ~5 years, NVIDIA GB300 at Childress in four 50 MW phases (Horizon 1-4), 20% prepayment, ~$1.9B expected annual run-rate (announced 2025-11)
• Frontier AI lab: multi-year GPU cloud contract, customer and value undisclosed (2026-08)
• Mirantis: all-share acquisition closed 2026-08 (~$625M), cloud orchestration software and ~580 staff
• GPU financing: $3.6B investment-grade debt at ~6.0% for the Microsoft build; $2.4B facility at 9.0% for Mackenzie (2026-08)
• Sites: Childress 750 MW and Sweetwater 1 (1,400 MW) + 2 (600 MW) in Texas; Canal Flats, Prince George, Mackenzie in BC (~160 MW)
• FY2026 (to 2026-06-30): revenue $707.0M (AI cloud $128.8M, mining $578.2M); ~$4B contracted annual run-rate for 2026 capacity (release 2026-08-27)

The agentic-inference layer for the long tail of developers - 70% of $120M AI ARR comes from inference, growing 150% YoY.

• AI customer ARR up 150% YoY to $120M
• >70% of AI revenue from inference services
• $1M+ customer ARR up 123% YoY to $133M

The frontier-lab cloud - ~$67B backlog (~$88B including Anthropic) underwritten by OpenAI and Meta.

• $103.7B of remaining performance obligations (contracted backlog) at June 30, 2026: 41% expected to be recognized within 24 months, 39% in months 25 to 48, the rest in months 49 to 78 (10-Q filed 2026-08-12)
• Anchor customers: OpenAI, Meta and Anthropic
• Debt: $35.6B of principal outstanding at June 30, 2026 (recourse $31.4B and non-recourse $3.7B, net of costs), including $6.6B of convertible notes due 2031 and 2032; operating lease liabilities $16.3B (same 10-Q)

Hyperscaler data-center landlord with Google-backed capital structure: 300 MW to Fluidstack + AWS $5.5B/15-yr at Barber Lake.

• Barber Lake: 300 MW fully contracted with Fluidstack
• Google backstops $1.4B with ~5% equity stake
• Separate AWS $5.5B 15-year deal for another 300 MW

Long-term DC leases backed by Google guarantees - 360 MW Lake Mariner + 168 MW Abernathy JV ($9.5B contracted).

• Fluidstack, Lake Mariner: 378 MW of critical IT, Google credit support (backstop) on the lease obligations
• Core42 (G42), Lake Mariner: 60 MW, 10-year leases with two 5-year renewals, fully delivered
• Anthropic, Justified (Hawesville, KY): 20-year lease, ~401 MW, ~$19B first term (up to ~$33B with extensions, company estimate), first capacity H2 2027, full by early 2028 (8-K 2026-07-06)
• Abernathy, TX JV: agreement to sell the 50.1% interest to a Fluidstack-led group for ~$530M vs ~$450M invested (2026-07-06); closing not yet confirmed by filing
• Pipeline: Cayuga / Lake Hawkeye (NY, ~320 MW potential around 2029), Muskie (KY, up to 1 GW of power), Chesapeake (MD, ~210 MW station, FERC authorization 2026-07-29)
• Financing: $3.2B 7.75% senior secured notes due 2030; $2.525B convertibles due 2030-2032 (10-Q, 2026-06-30)

Purpose-built AI campus model - Polaris Forge 1 (400 MW) fully leased to CoreWeave (~$11B over ~15 yrs).

• Polaris Forge 1 (Ellendale, ND): 400 MW, CoreWeave, ~$11B, 175 MW live (Jun 2026)
• Polaris Forge 2 (Harwood, ND): 200 MW, investment-grade hyperscaler, ~$5B, ROFR on 800 MW more (signed 2025-10)
• Delta Forge 1 (Boyce, LA): 300 MW, investment-grade hyperscaler, ~$7.5B, from 2027
• Polaris Forge 3 (ND): 300 MW, same hyperscaler, ~$7.5B, from 2027
• Delta Forge 2 (southern state): 210 MW, same hyperscaler, ~$5.2B, from H1 2028
• Total: ~1,410 MW, ~$36B base term (~$86B with renewals), per the FY2026 release (2026-07-27)

Neocloud renting GPU compute capacity for enterprise AI / HPC; a pure compute-capacity supplier.

• 2023 : Boost Run founded in Northbrook, Illinois; builds GPU-cloud infrastructure for enterprise AI and HPC
• 2026-04-15 : software license and support agreement, $100M payable in five annual installments from October 2026 (vendor not named in the 10-Q)
• 2026-04-17 : partnership agreement with minimum purchase commitments of about $1.44B over five years ($578M in year 1, $215.5M in each of years 2 to 5); reported at listing as the GPU procurement agreement with $DELL
• 2026-05-08 : de-SPAC with Willow Lane Acquisition Corp closes; net proceeds about $114.1M; bridge and related-party loans repaid
• 2026-05-11 : trading begins on Nasdaq as BRUN
• 2026-06-08 : GPU rental agreement, about $207.6M for the initial term, 240 GPU servers from 2026-11-30 ($19.0M prepaid); amended 2026-06-27 to add 18 CPU nodes and about 6.27 PB of NVMe storage
• 2026-07-09 : order form, about $222.5M over 48 months (plus a one-year option worth about $30.6M), 192 servers with 1,536 NVIDIA B300 GPUs from March 2027
• 2026-07-16 : Rock Island, Illinois lease, 6.5 MW total load, 60 months
• 2026-07-21 : public warrants called for redemption on 2026-08-20; warrants removed from Nasdaq after the call (Form 25, 2026-08-25)
• 2026-08-13 : Pryor, Oklahoma data center lease, 144 months from 2026-12-15
• Q2 2026 (to 2026-06-30) : revenue $31.1M (Q2 2025: $8.4M); operating loss $12.9M; net loss $75.0M including a $55.7M deferred tax charge; cash $120.2M plus $13.0M restricted; finance lease liabilities $238.1M; customer deposits $128.4M (10-Q filed 2026-08-18)
• 2026-08-18 : Q1 10-Q amended: disclosure controls not effective, three material weaknesses (IT general controls, segregation of duties, finance and accounting staffing); Q1 and Q2 reports both filed after an NT 10-Q
• 2026-08-19 : resale registration of 58.7M Class A shares and 4.0M private warrants by selling holders (424B3)
• 2026-08-27 and 2026-09-14 : Sean Goodrich sells 198,200 shares at $20.15 and 500,000 shares at $14.00 (Form 4); no open-market insider purchases on file
• 2026-09-29 : RSU grants of 2.89M (CFO), 1.40M (CTO) and 0.30M (COO) shares, plus a $1M cash award to the COO (8-K filed 2026-10-05)
• 2026-09-30 : Cohere service agreement, about $525.6M over about five years per rack, acceptance from Q2 2027; Cohere may terminate and recover prepayments if a minimum is not accepted by 2027-07-15 (8-K filed 2026-10-06)
• Share count : 49,954,423 Class A and 29,533,018 Class B shares per the 10-Q cover (2026-08-17)

• 2026-05-28 AMC - Q1 FY27 PRINT: Revenue $43.8B vs $35.6B est (+23% beat); EPS $4.86 vs $2.94 est (+65% beat); AI Server segment sales $16.1B (+757% YoY)
• 2026-05-28 - FY27 guidance issued: Revenue $167B vs $144B est (+16% above); EPS $17.90 vs $13.16 est (+36% above)
• ISG (Infrastructure Solutions Group) - AI server orderbook expansion; xAI Colossus deployment publicly anchored; Microsoft + Meta hyperscaler order flow disclosed in prior quarters
• CSG (Client Solutions Group) - PC / laptop / workstation; mature low-growth segment, the structural overhang vs pure AI server names
• Pre-print setup: spot $317.67 (parabolic from ~$160 over recent weeks); mcap ~$222B at print time; analyst PT mean $212 trailed spot by $100+ - print delivered the AI server beat + raised forward guide, validating the parabolic move ahead of the data
• Setup tension RESOLVED: print delivered on the AI server segment ($16.1B vs trajectory expectations) AND the forward guide; the structural read on ISG as the AI capex beneficiary is now post-print confirmed
• Customer concentration: xAI (Colossus deployment) + Microsoft + Meta + undisclosed hyperscalers; concentrated but counterparties have multi-year capex commitments
• Source: @StockSavvyShay tweet 2026-05-28 20:11 UTC - https://x.com/StockSavvyShay/status/2060091643014037991
• Editorial deep-dive opportunity: post-print recap via earnings-recap skill (FY27 guide validates the bull structural read)
• 2026-05-28 post-print reaction - close $402.73 (+~30% vs prior $317.67); @KobeissiLetter breaking flag; the AH/next-session move validates the FY27 guide read at scale

Penguin Computing builds and integrates the AI compute clusters that hyperscalers, governments, and neoclouds deploy: a capacity-buildout supplier (mirrors DELL).

• 2026-05-18 : Reaffirmed FY2026 guidance; sales and EPS now expected at the high end of prior ranges. Shares +18.8% on the update
• 2026-05-18 : David Heard (President, Network Infrastructure at Nokia) appointed to the board to help converge the memory + AI-infrastructure strategy
• 2026 : AI-factory demand from hyperscalers, governments, and neocloud providers; new customer wins including a Tier One financial institution; triple-digit YTD share gains
• Analyst targets : Stifel raised to $66 (from $24); Rosenblatt raised to $65 (from $54)
• 2026-07-08 : CFO Nate Olmstead to step down (offset by the AI board hire)
• Segments : Penguin Computing (AI / HPC cluster design + integration), SMART Modular (advanced memory modules), LED / optoelectronics

GPU-cloud provider adding about 132 MW of AI-factory capacity: a pure compute-capacity supplier.

• 2025-12 : de-SPAC with Roth CH Acquisition closes; the company becomes SharonAI Holdings (Nasdaq: SHAZ)
• Q1 2026 : $1.26B customer services arrangement with ESDS Software Solution Limited; about $720M of expected capex (10-Q, Note 20)
• 2026-05 : about $950M, five-year contract with a global technology company in Asia-Pacific; about $400M of hardware, about 20% deposit paid (10-Q, Note 20)
• 2026-05 : $350M 6.00% Convertible Senior Notes due 2031
• 2026-06 : $700M 4.75% Convertible Senior Notes due 2032
• 2026-06 : six-year AI infrastructure compute collaboration with NVIDIA, about $4B of committed hardware procurement (10-Q, Note 20)
• 2026-06-30 : cash and equivalents $1.86B; convertible notes carried at $1.0065B (10-Q)
• Q2 2026 : revenue $1.93M (Q2 2025: $0.38M), gross profit $1.17M, operating loss $24.8M, net loss $430.4M including a $400.4M change in fair value of convertible notes (10-Q)
• After 2026-06-30 (subsequent events in the 10-Q) : about $1.32B five-year contract with a global AI laboratory (New Zealand, revenue from Q1-Q2 2027, about $765M of commitments) and about $373M five-year contract with a global AI platform (2,048 NVIDIA Blackwell Ultra B300 GPUs, revenue from Q1 2027, about $217M of commitments)
• Capacity : about 132 MW of AI-factory capacity, about 116 MW contracted; 15 MW with GreenSquareDC (ready-for-service target 2026-09-26, 120-month term); 72 MW with NEXTDC (about $623M, five phases April to August 2027); 14 MW in New Zealand
• 2026-09-23 : Ernst & Young engaged as auditor for fiscal 2026, replacing HoganTaylor (8-K filed 2026-09-24)
• 2026-09-28 : syndicated facility for up to $356M senior secured term loans (Facility A up to $150M at 7.25% rising to 9.95%, Facility B up to $206M at 9.95%), 42-month bullet maturity, 18-month make-whole; non-recourse to the parent once Facility A is repaid (8-K filed 2026-10-01)
• Share count : 35,667,164 Class A and 136,341 Class B shares per the 10-Q cover (2026-08-05)

Mass-capacity HDD storage = AI cold-storage layer underneath the GPU compute tier. Every hyperscaler AI program needs petabytes/exabytes of warm + cold storage backing the training corpus and inference state.

• 2024-2025 - Mozaic 3+ (HAMR) drives qualified at multiple hyperscalers; ramping production volumes through CY2025
• 2025 - Long-term capacity-commitment agreements signed with hyperscaler set (specific terms undisclosed; pattern visible in Seagate IR commentary on "multi-year visibility")
• 2025-Q4 - HAMR mix climbing on a per-quarter basis; ASP per drive lifting independent of unit volume
• 2026-Q1 - Quarterly print + HAMR roadmap update (Mozaic 3+ → next-generation areal density)
• 2026 - STX guides multi-year HAMR ramp into 4-5 TB/platter generation; duopoly structure (STX + WDC) holds

Mass-capacity HDD = AI cold-storage layer of the compute stack. Post-SanDisk-spinoff WDC is pure-play HDD; same datacenter capacity demand as $STX.

• 2025-Q1 - SanDisk spinoff completed; WDC now pure-play HDD + enterprise
• 2025 - ePMR drives shipping at scale; HAMR drives qualified at hyperscalers, ramping production
• 2025 - Multi-year hyperscaler capacity commitments (specific terms undisclosed; visible in 10-Q "multi-year visibility" commentary)
• 2026-Q1 - HAMR mix climbing per quarter; ASP per drive lifting on mix-shift
• 2026 - Duopoly structure (WDC + STX) intact; multi-year HAMR ramp roadmap