Digi Power X Lands First AI Revenue Deal, Locking In $19.6M
Digi Power X (NASDAQ: DGXX) has signed its first contracted AI revenue deal: a 24‑month bare‑metal GPU rental agreement with SubQ AI carrying an expected total contract value of about 19.6 million. The contract takes effect May 15, 2026 and marks the commercial launch of the company’s NeoCloudz GPU‑as‑a‑Service platform and the operational commissioning of its Miami AI data center.
Key contract terms and economics
Under the agreement, Digi Power X will provide SubQ AI with exclusive, dedicated access to a fleet of latest‑generation NVIDIA Blackwell GPUs (192 GB HBM3e) on a bare‑metal basis at a Rated‑3 facility backed by owned power and real estate. The deal includes a non‑refundable 15% upfront payment of roughly 2.95 million, with the balance billed monthly on Net‑15 terms, giving DGXX a mix of immediate cash and recurring revenue visibility over the two‑year term.
Strategic significance for NeoCloudz
Management is positioning SubQ as an “anchor customer” for NeoCloudz and as proof that its pivot from legacy energy infrastructure to AI data‑center infrastructure is gaining commercial traction. Digi Power X has secured capacity for about 4,000 NVIDIA Blackwell B300 GPUs across 10 infrastructure “pods,” which it estimates could support up to 120 million of potential annualized revenue at full deployment and utilization. SubQ’s own roadmap, which calls for scaling to “several thousand” GPUs over the next few quarters, suggests upside optionality if the initial contract expands.
Funding and execution risk
To finance its AI build‑out, Digi Power X recently updated a 75 million at‑the‑market equity program and has previously announced a 20 million NVIDIA B300 GPU purchase from Supermicro. For investors, that means the 19.6 million, two‑year revenue win partially de‑risks the story but doesn’t eliminate dilution or execution risk; the stock is likely to trade on how quickly management can fill remaining GPU capacity, control capex, and differentiate NeoCloudz against better‑capitalized rivals such as private CoreWeave and the major cloud providers.
