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In the mining sector of Bitcoin ($BTC), an important change is being made in its industry. In a new report published in industry, mining companies are increasingly turning to artificial intelligence (AI) and high-performance computing (HPC) infrastructure as cost pressures increase and profitability decline.
By the fourth quarter of 2025, average production cost for publicly traded mining companies is expected to increase to around $80,000 per coin (in a way that Bitcoin price would likely hover around $170,000). That is about $20,000 per coin loss across the industry, a reduction of around that same figure as this for . The context of this situation seriously asks into question the sustainability of the current business model.
In this difficult environment, mining companies have begun to radical change their business models in a way that is not uncommon. companies are looking to diversify their revenue streams by focusing on artificial intelligence and data center infrastructure. So far contracts of more than $70 billion have been signed across the sector for this change, with some firms aiming at making 70% their revenue from AI activities by the end of 2026. This strategy is causing mining companies to grow into data center operators as they become more and more of the same.
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This change is mostly funded by leveraged financing and Bitcoin sales, with the conversion being largely supported in conjunction with its use of leverage. data show that publicly traded mining companies have sold more than 15,000 $BTC in total, according to. But top industry players such as Core Scientific, Bitdeer and Riot Platforms still maintain their reserves to finance AI projects. According to estimates, these sale of s have raised around $7 billion in funding for them.
Nevertheless, this change also poses some risks for s as well. Hashrate is an important indicator for network security, as it has been pushed by the shift of miners’ processing power to other areas. Approximately 1160 EH/s in 2025, network power has recently fallen to about 920 Eh/S and an increase in mining difficulty has also been observed. New debates about network security and decentralization are also brewing with the development of this new term, .
Conversely, a major divergence is evident in market valuations. AI mining companies are trading at an estimated 12-year valuation of the company, which is focusing on artificial intelligence activities. During their future revenue, this ratio is 3 times the amount they will make; 5 per cent of s remain. for mining only companies, a 9 for the company.
*This is not investment advice.
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