Cipher Mining rockets 32% after $5.5B data center deal with Amazon

Bitcoin miner Cipher Mining saw its stock jump more than 32% after announcing a significant 15-year lease agreement with Amazon Web Services (AWS) valued at $5.5 billion. This deal requires Cipher to provide turnkey space and power for AI workloads in two phases starting in July and August of next year. The announcement coincided with Cipher reporting a narrowed net loss of $3 million and increased adjusted earnings of $41 million for the third quarter. This strategic shift toward AI and HPC hosting services follows the April 2024 Bitcoin halving, which reduced mining profitability. Cipher's CEO, Tyler Page, highlighted this deal as a major step following a previous $3 billion data center agreement with Fluidstack and Google in September. Furthermore, Cipher announced a majority stake in a joint venture to develop a one-gigawatt AI hosting site in West Texas. This trend of tech giants partnering with miners is ongoing, as IREN also signed a $9.7 billion GPU cloud services contract with Microsoft the same day.

(Source：Cointelegraph)