This contract extension could bring Core Scientific’s (Nasdaq: CORZ) total revenue up to $8.7 billion over the next 12 years. The recent expansion alone could add an estimated $2 billion, on top of the previously projected $6.7 billion from earlier deals. Site preparations for the additional 120 MW are set to kick off in the second half of 2025, with full operations expected by late 2026.

Coreweave initially contracted 200 MW of HPC infrastructure in June 2024. With this expansion, Core Scientific will upgrade an existing facility to accommodate Coreweave’s growing demand for GPU-powered computing. The upgrades, funded by Coreweave, will be offset by capital expenditure credits, reducing hosting costs. This move aims to position Core Scientific as a key player in the data center industry, according to the company’s announcement.

Adam Sullivan, Core Scientific’s CEO, pointed out that the rising demand for next-gen computing workloads is driving the company’s growth strategy. He mentioned that as the company explores additional expansions, this contract marks a major step in strengthening its data center capabilities while tapping into emerging HPC opportunities. With many bitcoin mining companies like Core Scientific branching out into HPC and artificial intelligence (AI), they are actively seeking new sources of revenue.

Who will win the US Presidential election?

The profitability of bitcoin mining can vary, especially after bitcoin halving events. To counteract the financial pressures from rising energy costs and reduced bitcoin rewards, miners are shifting their infrastructure toward AI and HPC services. This strategy allows them to benefit from the increasing demand for computational resources, while diversifying away from the volatility of the digital asset market. Companies like Core Scientific and Bit Digital are leading the way with significant investments in these areas.

This shift highlights the broader trend of bitcoin miners evolving into multi-purpose data centers. With high-performance computing playing a crucial role in AI, many miners are well-equipped to meet this demand due to their extensive power and data center capabilities. By reallocating energy from bitcoin mining to HPC services, these companies are building a more stable, diverse revenue stream that is less dependent on the unpredictable swings of the cryptocurrency market.