Cipher Mining Surges 19% $5.5B Amazon Web Services HPC Deal

Cipher Mining (CIFR) experienced a 19% stock surge following the announcement of a significant $5.5 billion lease agreement with Amazon Web Services (AWS). This 15-year deal requires Cipher to deliver 300 megawatts (MW) of power capacity to AWS by late 2026, incorporating both air and liquid-cooled racks essential for high-performance computing (HPC) AI models.

This strategic move underscores a broader industry trend where crypto miners leverage their existing large-scale energy contracts and computing infrastructure to serve the growing needs of big tech firms pursuing ambitious AI goals. Cipher also announced taking majority control of a joint venture to build a 1 gigawatt site in West Texas, named "Colchis," slated for completion in 2028.

Financially, Cipher reported $72 million in Q3 revenue and $41 million in adjusted earnings. Including this AWS deal and a prior $3 billion contract with Fluidstack and Google, the company's total AI-hosting contracts now total approximately $8.5 billion, with a pipeline capacity of 3.2 gigawatts (GW). CEO Tyler Page expressed confidence that Cipher is well-positioned to capitalize on the growing power shortfall by serving Tier 1 hyperscalers.

(Source：CoinDesk)