Crusoe and ON.energy are deploying 5 gigawatts of patented AI UPS technology across multiple hyperscale data center camp
Crusoe, the AI factory company, and ON.energy announced a partnership on July 21, 2026, to deploy 5 gigawatts of AI UPS technology across multiple hyperscale campuses, with commissioning beginning in 2026 and extending into 2027.
AI data centers present new challenges for the power grid. During GPU training, thousands of processors ramp up and down in synchronized bursts, creating significant power demand fluctuations. From the grid's perspective, large AI training facilities produce load patterns unlike traditional facilities, switching between high and low power use hundreds to thousands of times daily. If unmanaged, these fluctuations can propagate back through the interconnection point into the transmission system, placing additional demands on grid equipment and limiting grid operators' ability to manage other changing variables.
ON.energy's AI UPS is a patented medium-voltage uninterruptible power system that sits inline between power sources and AI data centers. By decoupling the facility from the grid, the system rides through voltage faults and protects data center equipment without disconnecting, while simultaneously preventing internal GPU load swings from affecting the grid.
Chris Dolan, Chief Data Center Officer of Crusoe, stated: "We evaluated the full landscape of power solutions with one priority in mind: reliability at hyperscale for the data center while ensuring stable, predictable behavior for the grid and the communities around these campuses. ON.energy stood apart because it solves a set of key technical problems at the system level. This technology protects our infrastructure, it protects our generation assets, and it aligns with where grid requirements are heading."
The AI UPS has been validated against ERCOT's Large Load Interconnection requirements and meets grid stability and voltage ride-through standards, including compliance with NOGRR 282 and ERCOT's Low Voltage Ride-Through protocols. The system stores enough energy to power an entire campus for extended durations, significantly reducing grid variability during peak hours.
Alan Cooper, Co-Founder and CEO of ON.energy, said: "Hyperscale AI is introducing power quality dynamics the grid was never designed to handle. AI UPS is built for this moment. It keeps data centers online through disturbances while ensuring the grid sees stable, predictable behavior."