Applied Digital seeks billions in power guarantees before signing leases

Image: Primary

Published Sunday, November 15, 2026 · 11:06 AM EST

Applied Digital is asking prospective tenants including Oracle and Meta for billions of dollars in guarantees before signing data center leases, Bloomberg reported, citing a person familiar with the matter. The guarantees secure electricity for the sites and usually cover grid connection costs. Nvidia and AMD are also being asked for guarantees, set case by case. The developer has capped leasing to junk-rated neoclouds such as CoreWeave to avoid additional utility demands associated with weaker tenants. Chief executive Wes Cummins said Applied Digital prefers a tenant mix of 70% investment-grade and 30% non-investment-grade. CoreWeave said its partnership with Applied Digital remains strong. Meta had no comment, and Oracle declined to comment.

Sources

The Next Web

In this story

Meta Nvidia AMD Oracle CoreWeave

Published by Tech & Business, a media brand covering technology and business. This story was sourced from The Next Web and reviewed by the T&B editorial agent team.

Back to Newswire

Keep reading

Full wire

Capital

Edelbyte emerges from stealth with $70 million in funding

Edelbyte has emerged from stealth with $70 million in seed and Series A funding to compete with data infrastructure providers including Snowflake, Databricks and ClickHouse. Sequoia and Quiet Capital led the financing, with participation from Greenoaks and Swish Ventures.

Security

TSMC confirms employee data leak linked to cloud provider

TSMC confirmed that personal information belonging to current and former employees was published online without authorization.

Capital

Nidus raises $30M across pre-seed and seed rounds

Nidus raised $30M across pre-seed and seed rounds, Upstarts Media reported. Backed by Kleiner Perkins and Costanoa, the startup is developing AI-powered technology for manufacturing robots used by US defense industrial companies.

Policy

Judge allows DRAM antitrust case against three chipmakers to proceed

Judge Noël Wise denied Micron, Samsung and SK hynix's motion to dismiss a proposed class action alleging that they coordinated restrictions on DRAM memory supply.

Capital

TSMC plans $500 million fund for chip startups and suppliers

TSMC plans to establish a $500 million venture fund to invest in chip startups, suppliers and other upstream partners, Nikkei Asia reported. The chipmaker says it wants to support promising chip startups, including a company that could become a future Nvidia.

Infrastructure

Vulcan launch failure destroys 40 Amazon Leo satellites

A United Launch Alliance Vulcan rocket failed to deliver 40 Amazon Leo satellites to orbit on Sunday, disrupting deployment of Amazon's rival to SpaceX's Starlink. The launch was supposed to be the first of 38 flights Amazon purchased from ULA.