Key insights
- The author highlights Applied Digital (APLD) as a potentially undervalued AI infrastructure play. APLD focuses on building HPC data centers for AI and crypto workloads, addressing the growing demand for compute, cooling, and power. While smaller than hyperscalers, APLD could benefit significantly from successful execution in a market facing data center capacity constraints. This could lead to increased investor interest in APLD and similar infrastructure providers.
Been looking into Applied Digital (APLD) lately and honestly surprised it’s not talked about more in the AI space.
Everyone’s focused on chips (NVIDIA, AMD, etc.), but the part that keeps catching my attention is the infrastructure side the actual data centers and power needed to run all this AI compute. That’s where APLD seems to be positioning itself.
From what I can tell, they’re not trying to compete directly with hyperscalers like AWS or Azure. Instead, they’re building out high-performance computing (HPC) facilities designed specifically for heavy workloads like AI and crypto.
Why it caught my eye:
AI demand = massive need for compute + cooling + power
Data center capacity is becoming a real bottleneck
Smaller company → more leverage if they execute well