Business
Core Scientific to Provide Approximately 200 MW of Infrastructure to Host CoreWeave’s High-Performance Computing Services, Capturing Significant AI Compute Opportunity
Transforms and Expands Core Scientific’s Hosting Business and Earnings Power While Maintaining Bitcoin Mining Capacity and Growth Potential Long-Term Hosting
About this update from Core Scientific, Inc.
[{"type":"text","content":"\nTransforms and Expands Core Scientific’s Hosting Business and Earnings Power While Maintaining Bitcoin Mining Capacity and Growth Potential\n\n\nLong-Term Hosting Agreements Expected to Generate Total Cumulative Revenue for Core Scientific of More Than $3.5 Billion During Initial 12-Year Contract Terms\n\n\nPositions Core Scientific as a Leading Player in the AI Data Center Space\n\n\n AUSTIN, Texas--(BUSINESS WIRE)--\nCore Scientific, Inc. (NASDAQ: CORZ) (“Core Scientific” or the “Company”), one of the largest owners and operators of high-powered digital infrastructure for bitcoin mining and hosting services in North America, today announced the signing of a series of 12-year contracts with CoreWeave, the AI Hyperscaler.\n\n\nUnder the terms of the agreements, Core Scientific will deliver approximately 200 megawatts (“MW”) of infrastructure to host CoreWeave’s high-performance compute (“HPC”) operations. Core Scientific will modify multiple existing, owned sites to host CoreWeave’s NVIDIA GPUs. The site modifications are expected to commence early in the second half of 2024 and achieve operational status in the first half of 2025.\n\n\n“Our new contracts with CoreWeave position us to transform our hosting business and our earnings power by capturing exciting growth opportunities in AI compute, one of today’s most dynamic technology segments, while also maintaining our strong bitcoin mining franchise,” said Adam Sullivan, Core Scientific’s Chief Executive Officer. “As demand for ready, high-power sites continues to outpace supply, we believe Core Scientific is well positioned to meet customer needs with a much shorter time to power than greenfield data center projects. Our expanding relationship with CoreWeave creates a pathway for Core Scientific to diversify our business model and balance our portfolio between bitcoin mining and alternative compute hosting, positioning us to maximize cash flow and minimize risk while maintaining our significant exposure to bitcoin’s upside potential.”\n\n\n“The agreements announced today also provide CoreWeave with options over the next 60 to 90 days to further expand its hosting footprint with Core Scientific at additional select sites, and we are continuing discussions with other potential clients regarding additional HPC hosting contracts to capitalize on our significant pipeline of power...