Nscale, Microsoft, NVIDIA & Caterpillar to Build 1.35GW AI Data Center in West Virginia

by Daniel Perez - News Editor
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Nscale and Microsoft to Deploy 1.35GW of NVIDIA AI Compute in West Virginia

Nscale has signed a letter of intent with Microsoft to provide 1.35 gigawatts (GW) of AI compute capacity, establishing the West Virginia Monarch AI campus as a flagship deployment site for NVIDIA’s next-generation Vera Rubin GPUs. This collaboration aims to create one of the largest dedicated AI compute installations globally.

Monarch AI Campus and Infrastructure

The project centers around the Monarch Compute Campus, a 2,250-acre site in Mason County, West Virginia and the first state-certified AI microgrid in the United States. The microgrid is scalable to over eight gigawatts of power. Nscale acquired the campus from American Intelligence & Power Corporation (AIPCorp), sponsored by Fidelis Fresh Energy and 8090 Industries.

Nscale will construct and operate advanced data center infrastructure to host the large-scale GPU deployment, utilizing NVIDIA Vera Rubin NVL72 GPUs and future technologies. The deployment will occur in phases, beginning in late 2027. The infrastructure will operate under a long-term framework including a multi-year compute services term and a data center lease.

Strategic Partnerships

The project involves key partnerships with NVIDIA and Caterpillar. NVIDIA’s Vera Rubin GPUs, engineered with the DSX AI Factory reference design, will power the campus. Caterpillar will deploy G3500 series natural gas generator sets to achieve two gigawatts of power generation by the first half of 2028.

Addressing AI Infrastructure Demand

This initiative addresses the growing demand for AI infrastructure. McKinsey estimates that AI-related data center capacity demand could reach 156 GW by 2030. Nscale’s current capacity is over 1 GW, and the Monarch campus’s expansion capabilities, with a potential total power draw of 8 GW, will allow for rapid power capacity development.

Community Impact and Sustainability

Nscale is committed to positive community impact. The campus will generate power on-site, operating independently of the local grid to avoid burdening existing utility customers. The microgrid is designed to potentially export power back to the grid in the future. Nscale is as well pursuing carbon sequestration to offset emissions, leveraging sequestration capacity in West Virginia. The campus is designed for high-efficiency water usage, with no impact on municipal water supplies.

Additional GPU Contracts

In October 2025, Nscale announced contracts for approximately 200,000 NVIDIA GB300 GPUs with Microsoft, to be deployed across Europe and the U.S. This includes a $14 billion deal for a 240MW facility in Texas, housing 104,000 GB300s, and up to 12,600 GB300s at the Start Campus in Sines, Portugal.

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