Bit Digital secures $40M Québec data center for AI partnership

Bit Digital, Inc. has secured a lease-to-own agreement for a 202,000-square-foot site in Saint-Jérôme, Québec, to develop a Tier 3 data center.

This facility will support a 5MW colocation contract with Cerebras Systems, a leading artificial intelligence (AI) infrastructure firm.

The data center, dubbed MTL-3, is part of Bit Digital’s strategy to expand its high-performance computing (HPC) infrastructure.

The project involves retrofitting the site to Tier 3 standards at an estimated cost of CAD $55 million (approximately $40 million USD) and is expected to be operational by July 2025.

Cerebras has contracted for 5MW of built-to-suit infrastructure under a five-year colocation agreement, with a right of first refusal for any additional capacity that becomes available at the site.

This partnership reflects Bit Digital’s broader shift towards diversifying its operations into AI and HPC ventures, leveraging the Montréal region as a growing hub for AI innovation.

“This milestone represents continued momentum in our strategy to deliver purpose-built AI infrastructure at scale,” emphasised Bit Digital CEO Sam Tabar, highlighting the strategic importance of the project.

The company aims to capitalise on the rapidly growing demand for AI infrastructure while maintaining its presence in bitcoin mining across the U.S., Canada, and Iceland.

The lease agreement includes a 20-year term with two optional five-year extensions and a fixed-price purchase option exercisable within the first 12 months.

This development underscores Bit Digital’s commitment to expanding its data center footprint and enhancing its position in the AI sector.

The company’s shares responded positively to the announcement, rising by about 7% on the news.