Hyperscale Data Has Spent $70M to Ready Michigan's 340 MW AI Campus — Operations Start November
Hyperscale Data (NYSE: GPUS) confirmed on September 17 that it has invested more than $70 million into its Michigan AI data center campus as of September 15, acquiring a substantial portion of the equipment required to bring contracted capacity online. The company says operations under the master services agreement are on track to begin in November 2026 — roughly six weeks away.
The Michigan Facility, operated by Alliance Cloud Services (a wholly owned Hyperscale subsidiary), is anchored by a single California-based neocloud customer under an MSA with an initial term of 10 years and two five-year extension options. The deal is structured around 20 MW of critical AI compute capacity at launch, expandable to 52 MW at the customer’s option.
The Numbers
The revenue math on a full 20-year, 52 MW deployment: more than $3 billion. The initial 20 MW, maintained across the full 20-year maximum term (10-year initial plus both five-year extension options), is projected at more than $1.2 billion.
The 52 MW at full exercise would represent less than 20% of the Michigan Facility’s approximately 340 MW total potential capacity. The remaining 270+ MW is uncommitted, waiting on additional power, infrastructure investment, and new tenant relationships.
Context
Hyperscale Data was until recently a Bitcoin mining company. The Michigan campus is the pivot vehicle — converting stranded power infrastructure into AI compute supply. The June 2026 announcement of the original MSA laid out the deal framework; today’s update confirms the $70M-plus capital commitment has been deployed and hardware is in place.
For AI infrastructure observers, the Hyperscale story fits a broader pattern: former crypto miners converting power-heavy facilities into GPU clusters, using long-term compute leases to de-risk the capex. The unnamed neocloud customer has contracted all current capacity. Whether the remaining 270 MW ever gets filled depends on power permitting, financing, and whether the neocloud market stays tight enough to make large forward leases attractive.
The company has not disclosed the chip vendor or cluster configuration for the November deployment.