applied digital toronto ai data center
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applied digital toronto ai data center
Estimated 200 permanent jobs with average salary of $64,000. No zoning currently exists in Deuel County, which must be addressed before construction. Company has offered tours of existing facility in Ellendale, North Dakota.
| Investment | $16.0B |
| Power Capacity | 430 MW |
| Location | Toronto, Deuel County, South Dakota |
| Status | Planned |
project overview
Estimated 200 permanent jobs with average salary of $64,000. No zoning currently exists in Deuel County, which must be addressed before construction. Company has offered tours of existing facility in Ellendale, North Dakota.
location and scale
| Location | Toronto, Deuel County, South Dakota |
| Region | Eastern South Dakota |
| Status | Planned |
| Total Investment | $16.0B |
| Power Capacity | 430 MW |
| Total Area | 1.8M sq ft |
key stakeholders
| Sponsors | Applied Digital |
| Operators | Applied Digital |
investment breakdown
The $16.0 billion investment is distributed across multiple components:
| Component | Amount | Percentage |
| IT Equipment (GPUs, servers, networking) | $10.4B | 65% |
| Building and Construction | $3.2B | 20% |
| Power Infrastructure | $1.6B | 10% |
| Other (cooling, security, land) | $800M | 5% |
equipment refresh cycles
IT equipment typically requires replacement every 3-5 years, meaning:
- Initial deployment: $10.4B
- 3-year refresh: Additional $8.3B estimated
- Total over 10 years: $26.0B in equipment
infrastructure requirements
power capacity
The facility requires 430 MW of power capacity:
| Total Power Capacity | 430 MW |
| Equivalent Homes Powered | 358,333 |
| Annual Energy Consumption | 3,766 GWh/year |
| Renewable Energy | Yes - committed to renewable sources |
facility specifications
| Total Area | 1.8M sq ft |
| Raised Floor Space | 1.3M sq ft (estimated) |
| Power Density | 338 W/sq ft |
sustainability and cooling
| Cooling Technology | Air cooling systems |
| Renewable Energy | Yes - renewable energy integration |
Cold climate reduces cooling costs and water consumption. Site selected near gas turbine and pipeline infrastructure.
construction timeline
| Announced | 2025-04 |
| Construction Start | 2026 |
| Expected Completion | 2027-2028 |
economic impact analysis
job creation
| Peak Construction Jobs | 32,000 |
| Permanent Operations Jobs | 86 |
| Average Salary (estimated) | 120,000 |
economic multiplier effects
The project’s total economic impact extends beyond direct investment:
| Direct Investment | $16.0B |
| Total Economic Impact (2.5x multiplier) | $40.0B |
| Estimated Annual Tax Revenue | $80M |
| 30-Year Tax Revenue | $2.4B |
regional benefits
The project brings significant benefits to South Dakota:
- Supply chain development: Local suppliers for construction materials, equipment, and services
- Infrastructure investment: Improved power grid, roads, and telecommunications
- Technology ecosystem: Attracts related tech companies and talent
- Educational partnerships: Training programs and university collaborations
- Real estate development: Increased commercial and residential development
technical specifications
workload types
| Workload Type | Description |
| AI-ML | Artificial Intelligence and Machine Learning training and inference |
| HYPERSCALE | Large-scale cloud computing and storage |
| CLOUD | Public cloud services and platforms |
ai/ml capabilities
This facility is specifically designed for AI/ML workloads with:
- High-density GPU computing: NVIDIA H100, H200, or GB200 GPUs
- Advanced cooling: Direct-to-chip liquid cooling for high power densities
- High-speed networking: 400G/800G Ethernet or InfiniBious InfiniBand
- Massive storage: Multi-exabyte storage capacity for training data
- Low-latency architecture: Optimized for distributed training workloads
rack density and power
| Rack Power Density | 30-100+ kW per rack (AI-optimized) |
| Cooling Technology | Direct liquid cooling (DLC) / Immersion cooling |
| PUE Target | 1.1 - 1.3 (industry leading) |
strategic importance
competitive positioning
This mega-project represents a strategic investment by Applied Digital to:
- AI Leadership: Establish dominance in AI infrastructure and capabilities
- Compute Capacity: Scale compute resources for next-generation AI models
- Competitive Response: Match or exceed competitor AI infrastructure investments
- Cloud Expansion: Grow public cloud market share and regional presence
- Customer Proximity: Reduce latency for regional enterprise customers
- Service Diversity: Enable new services requiring massive compute resources
national infrastructure significance
As a mega-project (>$10B investment), this facility:
- Represents a major commitment to US technology infrastructure
- Contributes to national AI competitiveness and security
- Demonstrates South Dakota’s emergence as a datacenter hub
- Sets new standards for scale and efficiency in datacenter design
regional integration
South Dakota datacenter ecosystem
This project integrates into South Dakota’s growing datacenter infrastructure:
- Power grid integration: Connection to regional transmission infrastructure
- Fiber connectivity: Access to major internet backbone routes
- Skilled workforce: Leverage regional technical talent and training programs
- Supply chain: Integration with local construction and equipment suppliers
community relations
Large-scale datacenter projects require strong community partnerships:
- Local hiring commitments: Priority hiring for construction and operations roles
- Educational partnerships: STEM programs and technical training initiatives
- Infrastructure improvements: Road, water, and utility infrastructure upgrades
- Tax revenue sharing: Property tax and incentive agreements with local governments
Deuel County impact
The project specifically impacts Deuel County through:
- Direct property tax revenue and economic development incentives
- Increased demand for housing, retail, and professional services
- Enhanced infrastructure that benefits broader community
- Recognition as a technology and innovation center
stakeholder analysis
project sponsors
Applied Digital
The sponsoring organizations bring complementary capabilities:
- Applied Digital: Strategic partner and stakeholder
operators and tenants
Primary Operators: Applied Digital
The operators manage day-to-day facility operations including power, cooling, security, and network management.
sources and references
- Applied Digital proposes multi-billion-dollar data center in South Dakota - Data Center Dynamics - https://www.datacenterdynamics.com/en/news/applied-digital-proposes-multi-billion-dollar-data-center-in-south-dakota/
- Potential $14 Billion Data Center Could Transform Deuel County’s Economy - KXLG - https://www.mykxlg.com/news/local/potential-14-billion-data-center-could-transform-deuel-countys-economy/article_2a031739-b2ae-4932-95f5-57e4f280b7c7.html
- Deuel County Commission hears proposal for multi-billion-dollar data center - Dakota News Now - https://www.dakotanewsnow.com/2025/04/17/deuel-county-commission-hears-proposal-multi-billion-dollar-data-center/
- New AI data center wave could transform rural South Dakota, advocates say - South Dakota Public Broadcasting - https://www.sdpb.org/business-economics/2025-05-27/new-ai-data-center-wave-could-transform-rural-south-dakota-advocates-say
- Company says data center could bring millions to state, Deuel County - South Dakota Public Broadcasting - https://www.sdpb.org/business-economics/2025-05-02/company-says-data-center-could-bring-millions-to-state-deuel-county
related pages
analysis current as of October 2025