Hyperscale Shuts Down Bitcoin Mining at Michigan Site for $1.2B AI Deal

Hyperscale Data has stopped its Bitcoin mining operations at a Michigan site to make way for an AI co-location deal worth over $1.2 billion.

The move, announced on September 2, is part of the company's strategy to shift from cryptocurrency mining to artificial intelligence and high-performance computing (HPC) contracts.

Hyperscale has signed a ten-year contract with an unnamed neocloud provider based in California for 20 megawatts of AI computing capacity at its Michigan facility. The deal includes an option to extend the contract twice, enabling the contractor to earn up to $3 billion in revenue if the energy is acquired within two years and used throughout the extensions.

The company plans to sell its mining servers and intends to produce an estimated 340 megawatts of power at the Michigan facility. Hyperscale's CEO, William Horne, stated that the shutdown will allow the team to focus on preparing the facility for AI usage by their customer.