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    Core Scientific to host more CoreWeave infrastructure, targets $8.7B revenue

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    Bitcoin miner Core Scientific has expanded its contract with AI computing company CoreWeave, providing an additional 120 MW power for a total of 500 MW across six sites. This could yield up to $8.7 billion in revenue for Core Scientific over the next 12 years. The expansion, set to start in late 2025 with completion expected by late 2026, will be funded by CoreWeave through $180 million offset against hosting fees. Core Scientific will use 700 MW of its total 1.2 gigawatts to host CoreWeave’s operations, with the remaining 500 MW used for its own Bitcoin mining.

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    Core Scientific, a Bitcoin miner, is expanding its contract with CoreWeave, a company that uses computing for artificial intelligence (AI). The extension of their deal means more power – 120 megawatts (MW) extra to be exact – for CoreWeave’s work, bringing in a total power of 500 MW across six Core Scientific sites. This huge power boost could bring up to $8.7 billion revenue for Core Scientific over the next 12 years.

    Core Scientific’s stock, known as CORZ, also increased by 5.1% and is now trading at $13.48 on the Nasdaq exchange.

    Changes to Core Scientific’s sites are set to start in the last part of 2025 to handle the extra power. The new facilities are expected to be up and running by the latter half of 2026.

    CoreWeave will shoulder the costs needed to upgrade Core Scientific’s data centers, with $180 million to be offset against hosting fees. The extended contract also includes two potential five-year renewal terms.

    CoreWeave delivers cloud infrastructure solutions for AI, machine learning along with other data-intensive apps. This deal will help it grow its infrastructure. As for Core Scientific, this agreement extends its AI services and adds variety to its sources of revenue. This is a welcome development especially since a few months ago, it emerged from bankruptcy due to the unstable Bitcoin prices last 2022.

    Core Scientific plans to use about 700 MW of its total power of 1.2 gigawatts to host CoreWeave’s operations. The remaining 500 MW will be for its own Bitcoin mining activities.

    Critically, the companies first began working together in June 2024, signing a 12-year contract valued at $3.5 billion. At that time, the infrastructure offered to CoreWeave represented around 18% of Core Scientific’s total operational capacity.

    Source: Cointelegraph

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