Applied Digital to Build $3.6 Billion AI Data Center Campus in Rapides Parish, Central Louisiana
Applied Digital Corporation has announced plans to develop a USD 3.6 billion artificial intelligence dta center campus in Rapides Parish, Louisiana, marking the company's first entry into the state and one of the largest economic development investments in the region's recorded history.
A Purpose-Built Facility for Large-Scale AI Workloads
The campus, named Delta Forge 1, is described as purpose-built for large-scale AI training and inference workloads.
The initial phase will include two facilities totaling 300 megawatts of critical IT load across approximately 300 acres, with direct access to energy infrastructure.
Applied Digital, which is headquartered in Dallas and listed on Nasdaq under the ticker APLD, designs, builds, and operates data centers and colocation services for artificial intelligence, cloud, and high-performance computing workloads.
The company was founded in 2021 and was named Best Data Center in the Americas 2025 by Datacloud. Its technology approach for Delta Forge 1 relies on a closed-loop cooling system designed to support high-density computing environments.
Applied Digital has characterized this system elsewhere in its operations as proprietary waterless cooling technology.
Site development on the campus began in January 2026, and initial operations are expected to begin in mid-2027. The Boyce, Louisiana, location in Rapides Parish will serve as Applied Digital's first Louisiana facility.
Recently, Applied Digital surpassed 1 GW of contracted capacity with a new data center after securing a 300 MW hyperscaler lease for its Polaris Forge 3 AI Factory campus, pushing the company’s total contracted capacity across four campuses to 1.2 GW of critical IT load
Jobs and Economic Impact
The project is expected to directly support 200 new full-time, on-site jobs.
Those positions are projected to carry salaries at 150 percent of the state average wage.
Louisiana Economic Development has estimated that an additional 218 indirect jobs will be generated, bringing the total projected employment impact to 418 new job opportunities in the Central Region. The project is also expected to create more than 1,000 construction jobs at peak construction activity.
Louisiana Central President and CEO Chris Masingill said the project has the potential to be one of the most transformational in Rapides Parish history, describing it as surpassing even the major industrial investments of the 1950s and 1960s in both scale and impact.
Energy Infrastructure and the Role of Cleco
Cleco, the regional utility provider, will supply power to support the data center campus. The company's President and CEO, Bill Fontenot, described the project as the largest economic development opportunity in Cleco's more than 90-year history.
Fontenot said the investment reflects the competitive position Central Louisiana has been building for major infrastructure and technology projects, while adding that Cleco remains committed to maintaining affordability and reliability for existing customers.
The scale of power demand associated with a 300-megawatt AI and high-performance computing operation places significant weight on the region's energy infrastructure planning, and Cleco's involvement signals a coordinated approach between utility and technology partners at the outset of the development.
State Incentives and Legislative Framework
Applied Digital qualified for Louisiana's state and local sales and use tax exemption on qualifying purchases or leases of data center equipment.
That exemption was established through Act 730 of the 2024 Regular Legislative Session.
The incentive structure was cited as part of the broader package of conditions that made Louisiana an attractive destination for the investment.
Governor Jeff Landry referenced President Trump's Ratepayer Protection Pledge in his remarks on the announcement, stating that Louisiana is committed to protecting reliability, affordability, and the long-term interests of consumers while leading what he described as America's industrial renaissance. Landry framed the project as evidence that global companies are choosing Louisiana because every region of the state is prepared to deliver at scale.
Louisiana Economic Development Secretary Susan B. Bourgeois said the announcement reinforces that global technology companies view Louisiana as a place where they can expand, scale, and invest with confidence, describing the current period as one of unprecedented momentum and growth reaching every region of the state.
Local and Regional Development Context
The England Economic and Industrial Development District, known as EEIDD, is positioned as a key local partner in the project.
EEIDD Executive Director Ralph Hennessey said the Delta Forge 1 investment is a defining moment for Central Louisiana and for the district as a driver of innovation and opportunity, calling it the type of economic progress the organization was built to attract.
Applied Digital Chairman and CEO Wes Cummins directed his remarks specifically at the Central Louisiana community, citing the region's strong roots, abundant potential, and understanding of long-term investment value as factors that made it the right location.
Cummins said the company hopes Delta Forge 1 will become a source of opportunity and pride for the people of Central Louisiana for generations, and described Applied Digital's intended role as that of a supportive, engaged community partner.
Louisiana Economic Development has pointed businesses in the state to SourceLouisiana.com as a registration portal to enter the pipeline for contract and vendor opportunities connected to development projects statewide, a mechanism that allows local suppliers to compete for work tied to projects of this scale.