AI cloud provider Hypertec Cloud has acquired colocation and data center provider 5C Data Centers.
The two companies have joined together to form 5C Group, through which they will develop AI data center infrastructure across the US.
Terms of the deal have not been shared.
According to the companies, 5C Data Centers has a roadmap capacity across the US of 2GW. Through the acquisition, Hypertec Cloud has spun off from its parent company Hypertec Group, and will instead be part of 5C Group.
Hypertec Cloud president Jonathon Ahdoot will head the new company as CEO which will combine Hypertec's cloud computing capabilities with 5C's data center footprint, expected to be available for deployment within the next six to 18 months.
"The biggest challenge in AI infrastructure today is alignment—between what AI compute requires and what the physical hosting environment can deliver. We've solved that by integrating the two sides together," said Jonathon Ahdoot. "With this acquisition, we bring together deep expertise in performance-optimized AI compute infrastructure and the design and operation of large-scale, world-class data center campuses. That combination allows us to accelerate deployments, push density further, and deliver unmatched efficiency for the largest and most demanding AI users for years to come."
"The spin-off of Hypertec Cloud marks a pivotal moment for Hypertec Group," added Simon Ahdoot, CEO of Hypertec Group. "With the acquisition of 5C Data Centers, the newly formed 5C Group is positioned to deliver AI Digital Infrastructure designed for the scale, speed, and complexity of tomorrow's industry. Together, as partners, we'll continue to advance compute, storage, and data center technologies—delivering real value to power the future of AI innovation."
Among the data centers announced by 5C are a 200MW campus in Columbus, Ohio, which was revealed in June 2024, and a 20MW data center in Phoenix, Arizona, announced in September.
5C was launched in 2023 and is based in Montreal, Canada. The company was founded by Steve Perez. Perez was a founding member of the Canadian firm Hypertec DCS - also part of Hypertec Group - and served as VP of sales. Hypertec's data center business in Canada was acquired by Vantage in 2020.
Hypertec Cloud originated in 1984, at the time, as an IT systems and system manufacturing business. The company launched Hypertec Cloud in 2021 following the acquisition of Cloud.co. Earlier this year, the company announced it would work with Potentia to access more than 480MW of power through Potentia data centers in the US. According to Potentia's website, the company will have campuses spanning more than 700 acres and 7GW of contract power by 2029
