In a significant move towards integrating cutting-edge energy solutions, AI infrastructure company Crusoe is investing in transformative battery technologies to improve their energy efficiency. Known for its innovative approach to utilizing energy, Crusoe is now focusing on two promising battery technologies to power its operations sustainably.
Crusoe has entered into an agreement with Form Energy to acquire 120 megawatts of iron-air batteries, which will store an impressive 12 gigawatt-hours of electricity. This novel battery type, still in its initial commercial installation phase, is expected to provide renewable energy for extended periods, addressing the need for continuous clean power in data center operations. This collaboration follows Form Energy’s recent 30-gigawatt-hour contract with a Google data center in Minnesota.
Additionally, Crusoe has shown a commitment to using recycled electric vehicle batteries for economical electricity storage. Last summer, the company deployed four modular data centers at Redwood Materials’ Nevada campus, utilizing solar panels and recycled EV battery packs for consistent clean power. Following a successful nine-month operation, Crusoe plans to expand by adding 20 more Spark data centers, leveraging the existing microgrid for enhanced computing capabilities. Redwood Materials recently announced the passing of essential safety tests for their used-battery systems, paving the way for broader adoption.
These developments, revealed at the CERAWeek energy conference in Houston, underscore how Crusoe is pioneering the use of innovative clean energy technologies to accelerate the AI market expansion. The company, founded in 2018 as a bitcoin miner using stranded energy sources, has since transitioned into the AI infrastructure sector.
Crusoe’s rapid ascent is evident, having completed a $600 million fundraising round in late 2024, valuing the company at $2.8 billion. In 2025, Oracle selected Crusoe for the ambitious Stargate project in Abilene, Texas, a collaboration involving OpenAI and other major partners, which is part of a broader $500 billion initiative. Crusoe has already delivered two data center buildings in Abilene, each requiring 100 megawatts to power GPUs.
The agreement with Form Energy marks a decisive step forward, with 12 gigawatt-hours of battery storage—exceeding any existing grid battery plant. However, the deployment specifics for the iron-air batteries remain flexible. As Form Energy’s CEO, Mateo Jaramillo, stated to Canary Media, “They have a lot of projects that they’re working on simultaneously. They can choose where these first installations happen.”
The iron-air batteries will be produced in Weirton, West Virginia, with manufacturing capacity scaling from 15 megawatts to 50 megawatts in the coming months. Initial deliveries of Crusoe’s 120 megawatts are slated for 2027, with Form Energy’s production fully committed through 2028, as per Jaramillo’s comments.
Original Story at www.canarymedia.com