Price adjustment in Phase II GPU lease agreement
Company: Applied Digital
What the later record shows
Not a promise: a reported event · happened April 29, 2024
The claim describes a Second Addendum that the claim itself says was entered into on April 29, 2024. It reports a past event, as alleged in litigation, rather than a commitment.
Checked October 9, 2026 against filings, releases and reporting published after the claim was made. Quotes are verbatim from the linked documents.
The claim, verbatim
On April 29, 2024, Applied Digital and Character Tech. entered into Second Addendum updating Phase II pricing to $2.25 per GPU per hour for 1,024 GPUs over 16 months, with total Phase II contract value of $26,910,720.00, and lease term extended from March 2024 to August 2025.
Source (primary)
Character Technologies, Inc. v. Applied Digital Corporation — Entry #32: OPINION AND ORDER: Applied Digital's Partial Motion to Dismiss in Character Tech., Court No (RECAP, court_filing)
View cached copy (2026-09-10)Live source ↗
Quote: “Applied Digital alleges that the Second Addendum provided a price of $2.25 per GPU, per hour, assessed on a 24-hour per-day, 7-day per-week basis for the 1,024 GPUs over the remaining 16 months of the Agreement, with a total Phase II Tranche value of $26,910,720.00. Applied Digital asserts that pursuant to the Second Addendum, Character Tech. would continue to lease both the Phase I Tranche and the Phase II Tranche GPUs from March 2024 to August 2025.”
How we checked this
Checked on October 11, 2026. The cited source supports part of this claim, but not all of it.
The opinion confirms that a Second Addendum updating Phase II pricing was entered on or around April 29, 2024. The specific price, term, and value are presented only as Applied Digital's allegations, and the opinion describes a continued lease period, not an extension.
Confirmed in the source:
- Both parties allege that on or around April 29, 2024, they entered into a Second Addendum updating the pricing and payment terms of the Phase II Tranche.
We could not confirm this from the cited source:
- The $2.25 per GPU per hour price, 1,024 GPUs over 16 months, and $26,910,720.00 total Phase II value are only Applied Digital's allegations; the court made no finding on them.
- The opinion does not say the lease term was 'extended.' It reports Applied Digital's assertion that Character Tech. would continue leasing both tranches from March 2024 to August 2025.
That does not mean it is false — only that this source does not establish it, as of the date above. If we find a source that settles it, we will re-check and update this page.
What we did: Read our cached copy of RECAP (https://archive.org/download/gov.uscourts.ded.89549/gov.uscourts.ded.89549.32.0.pdf) in full (48,875 characters, retrieved September 10, 2026) and checked each assertion in the claim against it.
Additional evidence
confirms Character Technologies, Inc. v. Applied Digital Corporation — Entry #32: OPINION AND ORDER: Applied Digital's Partial Motion to Dismiss in Character Tech., Court No
Quote: “Applied Digital alleges that the Second Addendum provided a price of $2.25 per GPU, per hour, assessed on a 24-hour per-day, 7-day per-week basis for the 1,024 GPUs over the remaining 16 months of the Agreement, with a total Phase II Tranche value of $26,910,720.00. Applied Digital asserts that pursuant to the Second Addendum, Character Tech. would continue to lease both the Phase I Tranche and the Phase II Tranche GPUs from March 2024 to August 2025.”