The cryptocurrency mining company transitioning to AI infrastructure, TeraWulf, announced on Monday that it has signed a 20-year data center lease agreement with artificial intelligence firm Anthropic, with a total contract value of approximately $19 billion. Following the news, TeraWulf's stock price surged significantly, continuing its recent strong market performance.
Under the agreement, TeraWulf will provide Anthropic with data center facilities located in Kentucky. The center has a capacity of approximately 400 megawatts, with the first power supply expected to be available in the second half of 2027. Anthropic will utilize the facility to support the training and inference workloads for its Claude large language model. The lease terms cover power, cooling, and network infrastructure, with TeraWulf also responsible for the facility's daily operations and maintenance.
This deal represents TeraWulf's largest data center hosting agreement to date and marks a significant milestone in the company's transition from cryptocurrency mining to becoming an AI infrastructure provider. TeraWulf's CEO stated that the partnership with Anthropic validates the company's data center assets and technical capabilities, and this long-term agreement will provide a stable and predictable revenue stream.
Anthropic is a major competitor to OpenAI, and its Claude series of models has seen rapid adoption in the enterprise market. The company has previously established computing power partnerships with cloud service providers like Amazon and Google. This direct lock-up of dedicated data center capacity reflects the urgent need of AI companies for large-scale, stable computing infrastructure. Anthropic's Chief Operating Officer stated that the collaboration with TeraWulf will ensure the company has ample dedicated computing power to support model development and product iteration for years to come.
TeraWulf was previously focused primarily on Bitcoin mining operations but has been leveraging its high-efficiency data center resources in recent years to gradually transition into the AI and high-performance computing sectors. The annualized revenue contribution from this lease is expected to exceed $900 million, which will fundamentally transform the company's revenue structure and profit outlook. Boosted by this positive development, TeraWulf's stock price rose by more than 20% at one point on Monday, bringing its year-to-date gain to over 110%.
Market analysts noted that this transaction not only validates the feasibility of TeraWulf's transition strategy but also reflects the strong demand from AI companies for dedicated data center resources. TeraWulf is currently advancing expansion plans for several data centers and stated it will continue to seek partnership opportunities with other AI and cloud computing clients. The signing of this lease is expected to further strengthen market confidence in TeraWulf's long-term growth prospects.
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