Bitcoin Miner Hyperscale Ditches Site for Lucrative AI Deal

Hyperscale Data has halted Bitcoin mining operations at its Michigan data center to accommodate an unnamed AI customer. The shutdown, which occurred on September 1, allows the company to focus on preparing the facility for its new purpose.

The agreement with the California-based provider of cloud computing services for AI could generate more than $1.2 billion over 20 years, with options to add 32 megawatts within the first two years and five-year extensions that could bring total contract revenue above $3 billion.

Hyperscale plans to sell its mining servers and expects gains from those sales. The company's CEO, William Horne, believes that the shift to AI operations will increase the company's market capitalization, which currently trades at a significant discount to other data center companies.