Core Scientific Ditches Mining for $14 Billion AMD Deal

Core Scientific, a major player in Bitcoin mining, has announced a massive shift towards artificial intelligence (AI) infrastructure. The company has signed a 15-year deal with tech giant AMD, worth over $14 billion in base revenue.

The agreement allocates 529 megawatts of capacity across facilities in Texas and Oklahoma, with AMD leasing 377 megawatts directly and an unnamed cloud provider reserving 152 megawatts. This move marks a significant pivot for Core Scientific, which has scaled down its traditional mining operations to focus on AI infrastructure.

The partnership also grants AMD the right to reserve an additional 1,925 megawatts of capacity under certain conditions, potentially expanding the deal to 2.5 gigawatts. This transformation is more than just a strategic partnership; it signals Core Scientific's commitment to abandoning its past mining goals and shifting resources towards AI.

The company has terminated its 15 EH/s mining chip agreement with Block (XYZ), resulting in a loss of $41.9 million. Financial data shows that in the second quarter, 83% of Core Scientific's revenue came from hosting services, while self-mining revenues dropped 66% to $21.5 million.