Hut 8 Corp., a cryptocurrency mining company, has signed a 15-year lease for an artificial intelligence data centre in Texas valued at approximately US$10 billion, the company announced on Tuesday. The news sent shares of Hut 8 soaring by over 20% in early trading.
Massive Deal for AI Infrastructure
The lease covers a 300-megawatt facility that will be used to host high-performance computing and AI workloads. Hut 8 will invest about US$2 billion in the project, with the remaining US$8 billion coming from the landlord and other partners. The deal is one of the largest in the rapidly growing AI data centre sector.
Strategic Shift to AI
Hut 8 has been pivoting from cryptocurrency mining to AI computing, a move that has been well-received by investors. CEO Asher Genoot said, "This lease represents a transformative step in our strategy to become a leading provider of AI infrastructure." The company expects the facility to be operational by early 2027.
The Texas location offers access to abundant renewable energy and a business-friendly regulatory environment. The state has become a hub for data centres due to its low electricity costs and supportive policies.
Analysts have praised the deal, noting that it provides Hut 8 with a stable, long-term revenue stream. "This is a game-changer for Hut 8," said analyst John Smith of XYZ Capital. "It diversifies their business and positions them strongly in the AI boom."
Hut 8 shares rose 22% to US$12.50 in morning trading on the Nasdaq. The stock has gained over 150% in the past year as the company has shifted focus to AI.
