Core Scientific Pivots Bitcoin Mining Infrastructure to AI Data Centers
The Texas-based firm is converting gigawatt-scale power capacity from cryptocurrency mining to AI compute hosting, though reported AMD deal lacks Western confirmation.
Core Scientific is converting hundreds of megawatts of Bitcoin mining infrastructure into AI data center capacity, leveraging existing power connections as cryptocurrency miners pivot toward higher-margin artificial intelligence hosting.
Confirmed Expansion Moves
The company acquired Polaris DS LLC for approximately $421 million to secure 440 megawatts of contracted power capacity in Muskogee, Oklahoma, specifically for AI data center expansion. Core Scientific is also pivoting its Pecos, Texas campus from Bitcoin mining to AI and high-performance computing hosting, expanding the site from 300 megawatts toward 1.5 gigawatts of capacity.
Core Scientific has already established significant AI hosting partnerships, most notably with CoreWeave, with approximately 1.3 gigawatts contracted. The company joins other Bitcoin miners including Riot Platforms and Hut 8 in transitioning infrastructure toward AI data center hosting as the industry faces a critical shortage of power-ready data center space.
AMD Deal Reports Unconfirmed
Russian-language technology publications including techora.ru, forklog.com, and finestia.ru reported on July 28, 2026, that Core Scientific and AMD announced a capacity agreement starting at 529 megawatts with an option for an additional 1,925 megawatts by December 2028, potentially totaling approximately 2.5 gigawatts. However, this transaction has not been confirmed by major Western financial outlets including Reuters, Bloomberg, or CNBC, nor by official investor relations announcements from either company.
The lack of corroboration from mainstream financial press represents a significant gap for a transaction of this reported scale. Investors and industry observers typically expect gigawatt-scale infrastructure deals involving publicly traded companies to appear in official press releases and SEC filings.
Why Power Matters for AI
Bitcoin miners possess a strategic advantage in the AI infrastructure race: they already own massive electrical grid connections and cooling systems that AI chips require. AI processors like AMD's Instinct MI series demand immense power density and specialized thermal management, making converted mining facilities attractive for chipmakers seeking to offer guaranteed infrastructure to enterprise customers.
For AMD specifically, securing power-ready capacity would help compete with Nvidia's ecosystem, which has locked in substantial data center resources through partnerships with cloud providers and hyperscalers. AMD's confirmed two-gigawatt partnership with Anthropic remains a separate announced deal.
Industry-Wide Pivot
The transition from cryptocurrency mining to AI hosting reflects changing economics in both sectors. Bitcoin mining margins have compressed following the 2024 halving event, while AI compute demand has surged, with pricing for hosted GPU capacity commanding premium rates. Firms that can repurpose existing power infrastructure face lower capital expenditure than building greenfield data centers, which typically require 18 to 36 months for permitting and construction.
Core Scientific's moves position it as an infrastructure neutral host, providing power and cooling while chipmakers and AI companies deploy their own hardware. This model differs from integrated cloud providers but addresses the immediate bottleneck: available megawatts, not just available chips.