Digi Power X Inc (NASDAQ:DGXX, FRA:1NQ0, TSX-V:DGX) is expanding its business with the recently announced US Data Centers transaction, CEO Michel Amar told shareholders on Monday.
The company’s newly formed subsidiary, US Data Centers Inc (USDC), will operate solely as a manufacturer and distributor of modular artificial intelligence data center systems, Digi Power X said.
The unit has no ownership or revenue rights tied to the company’s operating data center sites, it noted, and will be limited to producing and selling its ARMS modular AI data center system to enterprises, utilities and developers with powered land.
The subsidiary will not own or operate data center sites or participate in site-level revenue generated by Digi Power X.
“All ARMS pods deployed at Digi Power X-owned sites, all GPUs within those sites and all related revenues — including colocation, managed services and contracted deployments — belong 100% to Digi Power X,” the company said in a statement.
Digi Power X currently holds a 55% majority stake in USDC, while the co-founding management team — including former Verizon Communications chief executive Hans Vestberg — holds about 35% in founder equity. Seed institutional investors hold the remainder.
The company said the creation of USDC, first announced in February 2025, was part of a long-term strategy to establish a standalone platform focused on selling modular AI infrastructure equipment rather than operating facilities.
USDC will commercialize the ARMS system, a turnkey modular data center platform designed to convert powered sites into operational AI data centers more quickly than conventional construction. Customers purchasing the systems will own and operate their own sites.
“Digi Power X is not sharing its business — it is expanding it,” Chairman and CEO Michel Amar said. “Every asset, every pod, every GPU and every dollar of revenue at our sites belongs entirely to Digi Power X.”
The company said separating the manufacturing unit into an independent entity allows it to raise capital at the subsidiary level without diluting Digi Power X shareholders, while also supporting procurement requirements from enterprise and government customers.
Digi Power X added that the new structure does not affect its existing revenue streams because USDC will generate revenue from equipment sales that would otherwise not be part of the company’s operations.
As of the date of the announcement, Digi Power X said it held about $80 million in cash and cash equivalents, including digital assets, with no outstanding debt. The company said it has spent $15 million in capital expenditures so far in fiscal 2026, funded from existing cash.
The firm also said its ARMS200 system in Alabama is in commissioning, with operations expected to begin in late March and first revenues anticipated in April.
Digi Power X said it owns four sites with about 400 megawatts of secured power capacity.