$BTC Bitcoin mining company Core Scientific has rejected a $1 billion buyout offer from artificial intelligence firm CoreWeave.

This decision follows a recent partnership between the two companies that was expected to generate significant revenue.

The offer to buy CoreWeave, valued at $5.75 per share, was rejected by Core Scientific, with the board saying it undervalued the company and was not in the interests of shareholders.

Despite the rejected offer, Core Scientific and CoreWeave maintain a strong partnership. They signed a 12-year contract in which Core Scientific will provide 200 megawatts of capacity to enhance CoreWeaves' high-performance computing. This agreement is expected to bring in around 3.5 billion dollars. The market reacted positively, with Core Scientific's share price jumping 40%. Core Scientific's rejection of the acquisition underscores its strategic positioning in the emerging AI and cryptocurrency markets. In addition to mining, the company's robust infrastructure supports high-performance computing, making it a key player in the technology landscape.

As AI technology continues to grow, evidenced by Nvidia's recent rise to become the second most valuable public company in the US, Core Scientific's infrastructure positions it well for future advancements.

Despite the takeover offer, Core Scientific shares remained stable, reflecting investor confidence in the company's direction and potential.