TLDR
- Applied Digital stock jumped 15-17% after announcing a $3 billion AI computing facility in North Dakota
- Construction on the 280-megawatt Polaris Forge 2 campus begins in September 2025
- The facility will span over 900 acres near Harwood, North Dakota and create 200+ full-time jobs
- Company is in advanced negotiations with a U.S. investment-grade hyperscaler for the campus
- Full operations expected by early 2027, with initial operations starting in 2026
Applied Digital stock rocketed higher on August 18, gaining between 15% and 17% after the data center company unveiled plans for a massive new AI computing facility. The $3 billion project represents a major expansion of the company’s infrastructure footprint in North Dakota.
The company will break ground on Polaris Forge 2 next month, with construction scheduled to begin in September 2025. The 280-megawatt facility will be located near Harwood, North Dakota, expanding Applied Digital’s presence in the state.
Applied Digital has secured more than 900 acres for the new campus. The company partnered with Cass County Electric Cooperative to provide power for the facility.
The timeline for the project spans several years. Initial operations are planned for 2026, while full capacity is expected in early 2027.
This new campus builds on Applied Digital’s existing operations in the region. The company already operates the Polaris Forge 1 facility in Ellendale, North Dakota.
CEO Wes Cummins revealed the company is in advanced negotiations with a U.S.-based investment-grade hyperscaler. This suggests customer commitments may already be taking shape for the new facility.
Customer Demand Drives Expansion
The expansion comes as demand for AI computing infrastructure continues to grow rapidly. Hyperscalers, enterprises, and research organizations are all seeking more computing power.
Applied Digital designs and operates data centers specifically for AI workloads. The company also handles cloud computing and blockchain applications.
The facility is designed with scalability in mind. While starting with 280 megawatts, the campus can expand beyond its initial power allocation as needed.
Applied Digital uses proprietary waterless cooling technology in its operations. The company focuses on creating economic opportunities in underserved communities.
Job Creation and Economic Impact
Once fully operational, the new campus will create more than 200 full-time jobs in North Dakota. This adds to the economic development the company brings to rural areas.
The project represents one of the largest AI infrastructure investments announced in the region. The $3 billion price tag reflects the scale of modern AI computing requirements.
Applied Digital’s stock has performed strongly this year, gaining 112% year-to-date before the latest announcement. The company trades on the NASDAQ under the ticker APLD.
Wall Street analysts maintain a Strong Buy consensus rating on the stock. Ten analysts cover the company, with nine Buy ratings and one Hold recommendation issued in recent months.
The average price target of $17.45 suggests potential upside of about 8% from current trading levels. This reflects analyst confidence in the company’s growth trajectory.
Applied Digital’s expansion in North Dakota positions the company to capture growing demand for specialized AI computing infrastructure. The Polaris Forge 2 facility represents the company’s latest move to scale its operations for the AI boom.
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