Key Points
- Core Scientific will supply an additional 70 MW to host CoreWeave’s high-performance computing operations.
- The agreement is expected to generate approximately $290 million in annual revenue and more than $3.5 billion in total revenue over 12 years.
Core Scientific, a prominent Bitcoin miner, has revealed that it will provide an additional 70 MW to host the high-performance computing operations of CoreWeave.
Details of the Agreement
The company stated that under the newly announced agreement, Core Scientific will modify a total of 100 MW of its owned infrastructure to deliver around 70 MW for CoreWeave’s NVIDIA GPUs for high-performance computing operations.
CoreWeave has chosen to exercise its first option to contract for more infrastructure as per the terms of a 12-year, 200 MW deal signed earlier this month.
“All capital investments required to modify Core Scientific’s existing infrastructure will be funded by CoreWeave,” the company said.
The Future of Core Scientific
According to Core Scientific CEO Adam Sullivan, the company is well-positioned to design for the future and build application-specific data centers (ASDCs), which are designed to support much higher rack energy densities across large footprints.
“Our ASDCs will serve clients such as CoreWeave as they deploy next generation chips with higher densities at scale,” Sullivan added.
Earlier this month, Core Scientific announced its contract with CoreWeave, an AI Hyperscaler. At that time, the company expected the agreement to generate, on average, about $290 million in annual revenue and more than $3.5 billion in total revenue over the 12 years.
Since the Bitcoin halving event in April, which reduced miner rewards by 50%, Bitcoin miners like Core Scientific have been looking to expand their revenues.
Upon the announcement, Core Scientific investors reacted positively, with its stock (ticker CORZ) rising by nearly 10%.
