Duos Technologies and Hydra Host Partner for $176m GPUaaS Project

Duos Technologies Group, Inc. has signed a non-binding letter of intent (LOI) with Hydra Host to deploy a high-density NVIDIA GPU cluster for a major global technology client. The project, which supports a GPU-as-a-Service (GPUaaS) partnership, is projected to generate approximately $176 million in revenue over a three-year term. This collaboration also establishes a path for an estimated $25 million in incremental colocation revenue and serves as a key validation for Duos' recently launched High-Power Edge Data Center (EDC) business line.

In addition to the GPUaaS deployment, the collaboration establishes a pathway for incremental colocation revenue, which we expect to total approximately $25 million over the 36-month term. This LOI serves as a validation of Duos' recently launched High-Power Edge Data Center ("EDC") business line, designed to serve AI companies and high-performance compute tenants requiring premium rackspace and dedicated high-density power, delivered in an industry-leading 90 days with guaranteed power access.

The Company has also entered into a non-binding letter of intent for a ground lease in Iowa with access to up to 10MW of utility power, establishing a strategic high-density deployment site. Additional locations are under evaluation as Duos advances toward its long-term objective of building up to 75MW of distributed capacity.

Building on this milestone, Duos has appointed Doug Recker as Chief Executive Officer, effective April 1, 2026, as the Company accelerates its transformation into a focused Edge AI and digital infrastructure platform. Mr. Recker succeeds Chuck Ferry, who will continue to serve as a member of the board of directors. Mr. Recker will lead Duos' next phase of growth focused on scaling modular EDCs, expanding GPU hosting capabilities, and executing a disciplined capacity expansion strategy.

"We are thrilled to partner with the Duos team on this opportunity," said Aaron Ginn, Chief Executive Officer & Co-Founder of Hydra Host. "Their ability to deliver immediate access to power combined with an industry-leading deployment speed makes them a standout in the market. We see significant runway ahead as we look to expand our collaboration around colocation and Duos' High-Power EDC model, which we believe is purpose-built to address a market where demand for AI compute capacity is fundamentally outpacing the speed at which traditional data center supply can be delivered."

"This initial customer marks a pivotal step in accelerating the buildout of Duos Edge AI and strengthens our ability to execute on our distributed infrastructure strategy," said Doug Recker, Chief Executive Officer. "We are now entering an exciting phase of execution, further reinforced by our recently announced LOI with Hydra Host, which underscores growing third-party demand for our distributed AI infrastructure model and validates the scalability of our platform. With secured power, rapid deployment capabilities, and expanding strategic partnerships, we believe Duos is well positioned to pursue high-value infrastructure opportunities. Our focus remains on disciplined expansion, capital-efficient growth, and delivering sustainable long-term value for our shareholders."

Under Mr. Recker's leadership, Duos and its operating subsidiaries, including Duos Edge AI, Inc., are entering into a commercial partnership with Hydra Host to provide GPU hosting and GPU-as-a-Service solutions. The partnership includes structured hardware financing arrangements designed to accelerate deployment and support growing demand for distributed AI compute.

"I would like to congratulate Doug on his promotion to CEO and for securing this milestone agreement with Hydra Host", said Craig Nixon, Chairman of the Board. "I would also like to thank Chuck Ferry for his leadership in transitioning Duos from its original business model to the focus on Data Centers and Power which has paved the way for the much-improved financial results in 2025 and expected significant growth in 2026 and beyond."

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