BluSky AI signs LOI for Utah data center site to expand AI capacity

Published 23/09/2025, 15:22
BluSky AI signs LOI for Utah data center site to expand AI capacity

SALT LAKE CITY - BluSky AI Inc. (OTCID:BSAI), a $134.7 million market cap company whose stock has surged over 4,460% in the past six months, announced Tuesday it has executed a non-binding Letter of Intent to lease approximately 16,000 square feet in Nephi, Utah for a new modular data center. According to InvestingPro analysis, the stock currently appears overvalued relative to its Fair Value.

The proposed site, measuring approximately 0.375 acres, would be leased from TNT Land and Holdings LLC at an initial base rate of $4,000 per month, increasing to $28,000 monthly upon full activation of 4 megawatts of capacity, according to the company’s press release.

The lease terms include a 10-year agreement with two optional 5-year extensions, a 2% annual escalation, and a 120-day inspection period for site evaluation. Either party may terminate the agreement if module installation does not begin within 12 months of execution.

"Nephi offers the right mix of scalable power, geographic resilience, and community alignment to support our mission," said Trent D’Ambrosio, CEO of BluSky AI.

The company stated it would be responsible for all site modifications, power upgrades, and module activation costs including engineering, permitting, and construction to ensure operational readiness.

BluSky AI describes itself as a provider of GPU-as-a-Service through its SkyMod data centers, which are designed to support AI workloads. The Nephi location represents part of the company’s multi-state infrastructure development plan.

The agreement remains subject to final terms and conditions, as noted in the forward-looking statements section of the company’s announcement.

In other recent news, BluSky AI Inc. announced multiple strategic initiatives and appointments. The company signed a Letter of Intent with Lilac to monetize its idle cloud computing resources, enabling BluSky AI to rent out its unallocated GPU inventory through Lilac’s marketplace. Additionally, BluSky AI has signed a Letter of Intent to purchase a 15-acre industrial site in Camp Verde, Arizona, which includes existing electrical infrastructure with plans to expand capacity. The company also plans to acquire 25 acres of land in the Delta Data Center Development in Utah, providing access to significant scalable power for its infrastructure.

In terms of leadership, BluSky AI appointed Andrea Huels as Chief AI and Growth Officer, bringing her extensive experience from roles at Lenovo, General Electric, and other companies. Furthermore, Dan Gay, a veteran in the telecom and technology sectors, has been appointed to the Board of Directors after serving as the company’s Chief Operating Officer. These developments underscore BluSky AI’s ongoing efforts to expand its capabilities and strengthen its leadership team.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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