Hypertec Cloud, an AI cloud provider, has acquired colocation and data center provider 5C Data Centers to form 5C Group. The acquisition aims to develop AI data center infrastructure across the US. Although the acquisition cost remains undisclosed, it includes 5C Data Centers’ roadmap capacity of 2GW in the US. Hypertec Cloud will become part of 5C Group, while Hypertec Cloud president Jonathon Ahdoot will be the new company’s CEO. The merger aims to solve alignment issues between AI computing needs and hosting environments, enabling efficient, dense deployments within six to 18 months. According to Simon Ahdoot, CEO of Hypertec Group, this move allows 5C Group to offer optimized AI Digital Infrastructure for future industry demands.
5C Group has already announced plans for two significant data centers: a 200MW campus in Columbus, Ohio, set to launch in June 2024, and a 20MW facility in Phoenix, Arizona, revealed in September. 5C Data Centers, founded in Montreal in 2023 by Steve Perez, former VP of sales at Hypertec DCS, adds significant expertise to the new entity. Hypertec’s Canadian data centers were acquired by Vantage in 2020. Hypertec Cloud transitioned to cloud services in 2021 after purchasing Cloud.co. Earlier this year, Hypertec Cloud partnered with Potentia to access over 480MW of power in the US, with an expansion plan for 700 acres and 7GW of power by 2029.
This acquisition and formation of 5C Group highlight the strategic moves by Hypertec Cloud to address the escalating demand for AI-optimized infrastructure in the tech industry, indicating robust growth prospects and a forward-thinking approach to data management and AI computing.