Related Articles
Cipher Mining’s stock price skyrocketed over 32% after inking a monumental 15-year agreement with Amazon, the latest tremor in a seismic shift of alliances between tech titans and crypto’s energy-hungry miners.
Cipher just landed a colossal $5.5 billion deal with Amazon Web Services, locking in a 15-year lease! Forget mining Bitcoin – Cipher is pivoting to power the AI revolution. Get ready for a two-stage launch next summer (July & August), as Cipher transforms into a turnkey solution for AWS’s ever-hungry AI workloads. This Bitcoin miner is about to become a major player in the AI infrastructure game.
Cipher Mining dramatically slashed its net loss to $3 million in the third quarter, a stark contrast to the $46 million loss of the previous quarter. Adjusted earnings also surged to $41 million, eclipsing the previous quarter’s $30 million and signaling a powerful upward trajectory.
Cipher’s stock price experienced a meteoric rise Monday, soaring 32% from $18.65 to a dizzying peak of $24.80. Investors scrambled to buy in as the trading day unfolded, but the excitement proved fleeting. By the closing bell, the stock had cooled slightly, settling at $22.76, leaving investors wondering if the initial surge was a sign of things to come or just a temporary burst of energy.
Source: Cipher Mining
Bitcoin miners, squeezed by the recent halving’s reward cut to a meager 3.125 BTC, are plugging into a new gold rush: AI and high-performance computing (HPC). Facing profitability pressures, these energy-hungry operations are pivoting their power capacity towards the booming AI and HPC hosting markets, seeking fresh revenue streams to stay afloat.
Cipher and Google are in business as well
Google just made a bold move in the AI arena, scooping up a 5.4% slice of Cipher Mining. The deal? A hefty $3 billion investment in Fluidstack, powering the next generation of AI data centers. September marked more than just the changing of leaves; it signaled Google doubling down on its AI future.
Cipher CEO Tyler Page announced Monday that a landmark deal with Fluidstack and Google has catapulted the company to the forefront of the high-performance computing arena. “This pivotal transaction,” Page stated, “irrefutably cements Cipher’s position as a major player in the HPC landscape.”
“Building on that momentum, we’ve just inked our inaugural direct lease with a Tier 1 hyperscaler a landmark deal that catapults us to the next level.”
Beyond the Amazon agreement, Cipher’s forging a path into AI infrastructure with “Colchis,” a massive one-gigawatt hosting site planned for West Texas. Cipher’s bankrolling the project, securing a commanding 95% stake in the venture, effectively planting its flag in the burgeoning AI landscape.
Miners and tech giants making deals
This year, Silicon Valley is digging for digital gold. Bitcoin miners are striking lucrative deals with tech titans, evidenced by IREN’s monumental $9.7 billion GPU cloud services agreement with Microsoft, inked just this Monday.
Meanwhile, TeraWulf announced a $3.7 billion hosting agreement in August with Fluidstack, backed by Google parent company Alphabet.
Thanks for reading Cipher Mining rockets 32% after $55B data center deal with Amazon
