Mining Giants Shift Toward AI Data Centers Amid Mixed Profitability
The Q2 mining reports show a shift towards AI data centers, but profitability is mixed.
MARA reported a net loss of $611.3 million for the quarter, including $343 million in unrealized fair value losses on Bitcoin. In contrast, Core Scientific's high-density hosting revenue increased from $10.6 million to $136.7 million, becoming the company's primary source of revenue.
Bitcoin's price drop put pressure on mining companies' revenues, with MARA seeing a 27% year-over-year decline in revenue and Riot Platforms seeing a $140.9 million to $113.7 million decrease.
However, some mining companies are transitioning from selling mined Bitcoins to renting out power and data center space. Core Scientific is leading the way, with its high-density hosting revenue accounting for 83% of total revenue in Q2.