Earlier on Monday, Riot announced that it had finalized a 20-year contract to provide 191 megawatts of computing—enough to power approximately 143,000 homes at any given time—from its Rockdale, Texas facility to a “leading frontier AI” entity. This entity is Anthropic, as per unnamed sources discussing confidential information.
Riot refrained from commenting. Anthropic did not reply to a request for comment. Following news of the deal with Anthropic, Riot’s stock surged 25% to $24.40 in after-hours trading.
Anthropic has recently established multiple agreements with AI cloud computing providers to enhance its computing resources after facing challenges in meeting customer demand for AI solutions. The company recently signed a $10 billion contract with Volta Infra Holdings Ltd., a new infrastructure startup, and committed to purchasing nearly $45 billion in computing power from Elon Musk’s xAI in May.
Riot Platforms stated on Monday that the agreement with the AI developer extends until June 2048, projected to yield $9.1 billion in revenue. The contract also offers options to extend twice, each by five years, potentially bringing total sales to $16.1 billion.
Riot, which previously manufactured diagnostic equipment for the biotech sector under the name Bioptix, has transitioned significantly to Bitcoin mining and is among several cryptocurrency firms venturing into cloud computing to take advantage of the AI surge. The developer has also announced a separate partnership with Advanced Micro Devices Inc. to develop computing capabilities.
Riot exceeded sales expectations in the second quarter, partly due to its data center operations. Also Read: India seizes thousands of Diageo whisky, vodka bottles in food safety crackdown
