iPower Opens New AI Era with Five-Year Services LOI Targeting $21.90 Million in Potential Annualized Services
Key Highlights
- ➤Potential annualized services fees reach $21.90 million at full 396-unit buildout
- ➤Customer plans initial 48-unit AI fleet, expanding to approximately 396 units during 2027
- ➤Non-binding five-year LOI proposes $4,608 per unit monthly service fees
- ➤Initial 48 units represent approximately $2.65 million in annualized fees
- ➤Commercial terms are non-binding and not committed revenue, backlog, profit, or guidance
Expert Statements
Lawrence Tan, Chief Executive Officer of iPower
“This is the opening of a new era for iPower. We are not simply adding AI to our existing business. We are working to make AI infrastructure and services a central driver of what iPower becomes. This proposed relationship puts a concrete operating model behind that direction: managing computing infrastructure for customers and building recurring service revenue as their deployments grow.”
RANCHO CUCAMONGA, Calif., Oct. 15, 2026 (GLOBE NEWSWIRE) -- iPower Inc. (Nasdaq: IPW) ("iPower" or the "Company") today announced that its wholly owned subsidiary, iPower AI LLC, has received a customer-signed, non-binding letter of intent for a five-year AI equipment services and management relationship. The proposed engagement marks a step forward in iPower’s transformation into an AI infrastructure and services company.
The customer has identified an initial fleet of 48 AI computing equipment units and expects to expand to approximately 396 units in total during 2027. At the proposed fee of $4,608 per unit per month, assuming the full build out, the target fleet would represent up to approximately $1.82 million in monthly service fees, or up to $21.90 million on an annualized basis for five years. The initial 48 units would represent approximately $2.65 million in annualized fees, or $13.27 million if all 48 remain billable for the full 60-month cooperation period.
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