Digital Power Optimization (DPO) is to deploy data centers in Texas directly powered via on-site wind.
DPO, a developer and operator of AI and cryptomine data centers, this week announced a new partnership with Schneider Electric to design, construct, and deploy ‘modular AI data centers’ behind-the-meter at multiple Texas wind farms.
Together with Schneider Electric, DPO will customize modules (likely Schneider’s EcoStruxure offering) for deployment at utility-scale wind sites to support its recently announced 100MW Power Purchase Agreement (PPA) and related data center build-out.
DPO said its GPU-focused HPC facilities will draw “a majority” of their energy directly from the adjacent wind farms, rather than simply offsetting energy use via PPAs from sites elsewhere on the grid.
"We're extremely excited to have Schneider Electric's support in this project," said Andrew Webber, DPO's CEO. "Working with partners who have deep expertise in this space is a key piece of addressing these critical challenges at scale. We're delighted to work with an experienced team to bring to life this new class of renewable-powered computing facilities."
In January 2023, DPO announced a PPA with an unnamed “major, multinational producer of renewable energy” that would see up to 100MW of data center deployments across as many as six of the energy firm’s Texas wind assets – though locations weren’t shared.
Funding for the first phase build-out at the initial project site has been secured and data center operations are expected to begin in 2024, with the remaining sites coming online over the following 12-18 months.
Beyond the initial 100MW being developed at Texas wind facilities, DPO said it expects to deploy additional modular HPC data centers at DPO clients' various solar, wind, and hydroelectric sites.
Formed in 2020, DPO places data centers – often cryptomining facilities – behind-the-meter at renewable energy sites to utilize any spare capacity, and can turn down its facilities during times of high demand. The company closed a $2.5 million Series A funding round led by bitcoin company NYDIG in early 2022.
Last month DPO acquired a controlling interest in a second hydroelectric facility in the US via its Cascade Digital Power subsidiary – though details weren’t shared. The purchase was funded by an affiliate of Aegon Asset Management Real Assets.
Cascade has been managing a hydroelectric power generation facility in Hatfield, Wisconsin, since early 2022 on behalf of institutional investors, where DPO has a behind-the-meter data center.
