Bitcoin miners are diversifying into artificial intelligence (AI) operations by leveraging their existing energy-intensive data centers and infrastructure. Core Scientific, a major Bitcoin miner, recently announced a 12-year deal with CoreWeave, an AI cloud provider backed by Nvidia, expected to generate over $3.5 billion in revenue. Core Scientific will provide around 200 megawatts of infrastructure to host CoreWeave's GPU servers for AI workloads.[1][2][3][4][5][6]

The overlap between Bitcoin mining and AI has led to competition for data center rack space, as AI operations require up to 20 times more capital expenditure but are more profitable.[1] Other miners like Bit Digital, Hive, Hut 8, and TeraWulf are also retrofitting facilities for AI to boost revenue streams after the recent Bitcoin halving event reduced mining rewards.[2][3]

While the transition is complex due to differing infrastructure needs, Bitcoin miners situated in energy-secure data centers find these facilities ideal for AI operations.[1][3] Core Scientific's CEO views their mining facilities as "power shells" suitable for the data center industry, enabling a shorter deployment time compared to new data center projects.[5]

Sources [1] Bitcoin miners sink millions into AI businesses, seeking billions in return https://www.cnbc.com/2024/06/03/bitcoin-miners-sink-millions-into-ai-business-seek-billions-in-return.html [2] AI And Bitcoin Mining: What Core Scientific's Unexpected ... https://www.tradingview.com/news/benzinga:80e3fe5ae094b:0-ai-and-bitcoin-mining-what-core-scientific-s-unexpected-partnership-with-nvidia-backed-ai-firm-coreweave-tells-us/ [3] Bitcoin Miners Invest in AI, Eye $3.5B Deal with CoreWeave https://supersearchx.com/en/articles/2024/06/04/bitcoin-miners-invest-in-ai-eye-3-5-b-deal-with-core-weave [4] Bitcoin Miner Core Scientific Surges After AI Deal, Report of Over $1 ... https://www.coindesk.com/business/2024/06/04/bitcoin-miner-core-scientific-surges-after-ai-deal-report-of-over-1b-buyout-offer-from-coreweave/ [5] Core Scientific's stock pops as company will help hot AI player host ... https://www.morningstar.com/news/marketwatch/2024060469/core-scientifics-stock-pops-as-company-will-help-hot-ai-player-host-nvidia-chips [6] Bitcoin Miner Core Scientific Surges After AI Deal, Report of Over $1 ... https://finance.yahoo.com/news/bitcoin-miner-core-scientific-surges-132904025.html