Riot stock jumps nearly 9% as Starboard urges AI data center expansion

Riot Platforms (RIOT) shares increased by almost 9% after activist investor Starboard Value LP sent a letter urging the company to expedite its shift from bitcoin mining to providing AI infrastructure. Starboard believes Riot's 1.7 gigawatts of available power capacity, particularly at its Corsicana and Rockdale Texas sites, positions it perfectly for high-margin artificial intelligence and high-performance computing (AI/HPC) hosting deals. The investor suggested that monetizing this power could generate over $1.6 billion in annual EBITDA for Riot. Starboard, a significant shareholder, has previously pushed for this transition, noting that Riot has underperformed peers who moved faster toward AI strategies. The firm urged CEO Jason Les and Executive Chairman Benjamin Yi to act urgently to secure Riot's position as a long-term infrastructure provider for AI workloads.

(Source：CoinDesk)