Crusoe and Redwood Materials Expand Strategic Partnership, Scaling to 7x the Original AI Infrastructure Density

SPARKS, NV - Tuesday, March 24, 2026 - Crusoe, the AI factory company, and Redwood Materials, the company building the U.S. stockpile of critical materials and deploying large-scale domestic energy storage, today announced a significant expansion of their partnership to scale renewable-powered AI compute.

Following the successful deployment of a Redwood Energy 12 megawatts / 63 megawatt-hour (MWh) microgrid in June 2025, the companies are expanding the campus deployment from 4 to 24 Crusoe Spark™ modular data centers, bringing total compute capacity to nearly 7x the original deployment.

The project originally debuted as the largest second-life battery system in the world, combining solar and repurposed electric vehicle (EV) batteries to power four Crusoe Spark modular data centers on Redwood Materials' campus in Sparks, Nevada. Since commissioning, the system has delivered 99.2% operational availability over seven months of continuous operation with minimal unplanned downtime, exceeding reliability expectations and demonstrating consistent, around-the-clock performance.

That performance also validates a core premise behind the partnership: that repurposed EV batteries can be orchestrated through Redwood Energy's Pack Manager technology to deliver reliable, 24/7 power for high-performance compute workloads like Crusoe Spark™ modular AI factories for Crusoe Cloud.

"Since launch, the Redwood Energy and Crusoe system has demonstrated that repurposed EV batteries can reliably power high-performance compute workloads at scale," said JB Straubel, Founder and CEO of Redwood Materials. "Achieving 99.2% uptime validated our approach and gave us the confidence to expand compute capacity nearly sevenfold on the same energy infrastructure. Together with Crusoe, we're demonstrating a faster, more flexible, and lower-cost way to build and power AI infrastructure."

"By expanding our work with Redwood Energy to 20 megawatts, we are proving that the 'AI factory' of the future can be quickly scaled through the convergence of innovative energy solutions and modular infrastructure deployment," said Cully Cavness, Co-Founder, President and Chief Strategy Officer of Crusoe. "This expansion allows us to quickly and predictably deliver high-performance Crusoe Cloud compute capacity to our customers through Crusoe Spark modular data centers."

Key highlights of the expanded partnership:

• 7x increase in compute: The deployment is expanding from four to 24 total Crusoe Spark modular data centers; nearly 7x the original compute capacity.
• Proven reliability: The existing 12 MW / 63 MWh microgrid has maintained 99.2% operational availability since its June 2025 launch.
• Sustainable resource efficiency: The project continues to utilize Redwood Energy's second-life EV battery systems integrated via Redwood's Pack Manager technology, combined with on-site solar power.
• Rapid scalability: The modular nature of both Crusoe Spark data centers and Redwood Energy's storage systems allows for deployment in months rather than typically year-long construction builds, offering a blueprint for rapid, responsible AI infrastructure growth.

About Crusoe

As the AI factory company, Crusoe is on a mission to accelerate the abundance of energy and intelligence. The company provides a reliable, scalable, cost-effective, energy-first solution for AI infrastructure. By harnessing large-scale energy sources, building AI-optimized data centers, and delivering a powerful AI cloud platform, Crusoe empowers its customers and partners to build the future faster.

About Redwood Materials

Redwood Materials, founded by JB Straubel, is creating a circular supply chain to make batteries sustainable and affordable. Redwood Energy, its newest division, repurposes used EV battery packs into low-cost, large-scale energy storage systems, helping to power the energy transition and the age of AI.