Mr. Michel Amar reports

DIGI POWER X ISSUES LETTER TO SHAREHOLDERS

Digi Power X Inc. has released a report to shareholders by Michel Amar, chairman and chief executive officer.

Dear shareholders,

Over the past calendar year, Digi Power X has accelerated its transformation toward prioritizing AI, where it aims to become a leader in advanced AI infrastructure. I am pleased to share an update on our AI developments, the planned rollout of our ARMS 200 clusters and how our certified platform positions us in the market.

ARMS 200 -- Tier III certified AI infrastructure

The company is proud to announce that the ARMS 200 (AI-ready modular solution) has achieved Tier III certification under the globally recognized ANSI/TIA-942 standard, validated by EPI. This milestone makes ARMS 200 one of the few modular AI data centre platforms in the world with Tier III certification, which upon deployment would ensure:

• High availability (99.982 per cent) with redundant and concurrently maintainable systems;
• Enterprise-grade reliability for mission-critical AI, cloud and blockchain workloads;
• Customer trust and compliance, with certification validated by EPI, the global leader in data center audits.

This certification validates ARMS 200 as a market-ready, enterprise-grade solution, a critical differentiator as demand for AI compute accelerates worldwide.

Deployment timeline

• The first Tier III certified ARMS 200 pod is scheduled for delivery at our Alabama facility by the end of November, 2025, with commissioning planned for December, 2025.
• From this foundation, Digi Power X plans to expand into ARMS 500 (five megawatts) and ARMS 1000 (10 MW) clusters, offering customers flexible scaling options with Tier III reliability.
• Each pod solution is designed as a modular building block within a cluster, enabling customers to scale seamlessly from one MW (ARMS 200) to five MW (ARMS 500) and 10 MW (ARMS 1000). Every unit is engineered for rapid deployment within approximately 180 days of delivery, providing a faster path to capacity than traditional data centres.

Business model and market positioning

Digi Power X's business model is built on two complementary pillars:

• GPU-as-a-service: on demand access to high-performance GPUs without owning the infrastructure;
• Cluster solutions: delivering turnkey delivery of ARMS 200/500/1000 units at competitive rates, with optional management services.

Through the company's wholly owned subsidiary, U.S. Data Centers Inc., its goal is to commercialize and distribute the ARMS modular AI data centre platform globally through the company's purchase order agreement with Super Micro Computers Inc. (Nasdaq: SMCI). The company has also obtained a provisional patent to protect the ARMS solution cluster line, underscoring its uniqueness and long-term commercial potential. Each ARMS unit is engineered as part of the company's NeoCloud data centre architecture, purpose-built for AI infrastructure and hyperscale compute.

By combining Tier III reliability, low-cost power, patent-protected design and modular scalability, Digi Power X is positioning itself as a first mover in modular AI infrastructure, clearly differentiated from traditional hyperscalers.

Strategic partnership and hardware readiness

The company has deepened its strategic partnership with Supermicro to integrate AI-optimized rack-scale systems into the ARMS platform.

Strong asset position

The company currently holds approximately $29.4-million in cash, deposits and digital assets, with no long-term debt, as of the date hereof. In addition, the company is staking 1,000 ethereum.

Looking ahead

As the company enters the final quarter of 2025, the company's focus remains on:

• Commissioning the first Tier III certified ARMS 200 pod in Alabama by year-end;
• Expanding to larger ARMS cluster deployments in 2026;
• Growing recurring revenues through the company's GPU-as-a-service platform;
• Advanced AI customer discussions -- the company is in advanced discussions with multiple AI customers to secure long-term infrastructure contracts, which are expected to increase revenue growth once finalized.

Digi Power X is focused on building not just data centres, but the foundation of the next generation of AI infrastructure. The Tier III certification of ARMS 200, combined with the company's provisional patent and NeoCloud engineering, is a defining milestone that positions the company to capture meaningful market share as AI compute demand scales globally.

All initiatives Digi Power X is in the process of executing are focused on delivering real value to its shareholders. The company appreciates your support as it is preparing to enter the next chapter of DGXX.

Thank you for your continuing trust and support.

Michel Amar, chairman and chief executive officer

About Digi Power X Inc.

Digi Power X is an innovative energy infrastructure company developing AI infrastructure and energy-efficient modular data centres. Through its wholly owned subsidiary, U.S. Data Centers, Digi Power X develops and manufactures the ARMS (AI-ready modular solution) platform, a Tier 3-certified modular data centre line purpose-built for AI, hyperscale and blockchain workloads. With rapid deployment timelines, customizable configurations, ANSI/TIA-942 certification and strategic partnerships, the company can deliver cutting-edge compute infrastructure to enterprises, cloud providers and hyperscalers worldwide.

We seek Safe Harbor.