Bitcoin mining firm Core Scientific updated its agreement with AI hyperscaler CoreWeave to provide the latter with 270 megawatts (MW) of total infrastructure access, according to a June 25 press release.
Core Scientific said that CoreWeave exercised its first option to contract for an additional 70 MW of infrastructure access, expanding the earlier 12-year agreement for 200 MW of high-performance computing (HPC) hosting contracts from June 3.
Core Scientific will modify 100 megawatts (MW) of infrastructure to provide the additional 70 MW of power and host CoreWeave’s NVIDIA GPUs.
The agreement also allows CoreWeave to exercise options to access another 230 MW of infrastructure at other Core Scientific sites. If the companies proceed with the entire contract, Core Scientific will reportedly rank among the largest US data centers.
Core Scientific expects to begin site modifications in the latter half of 2024 and intends to start operating in the latter half of 2025.
Projected revenue
Core Scientific expects $1.2 billion in projected cumulative revenue over the 12-year contract, plus $3.5 billion in projected cumulative revenue from previous agreements with CoreWeave.
CoreWeave will fund modifications of Core Scientific’s existing infrastructure. Additionally, the firm estimates that $105 million associated with the additional contract will be credited against hosting payments at no more than 50% of monthly fees until full repayment, with opportunities for two five-year renewal terms.
A previous press release about the agreement estimated a similar credit program at $300 million.
Broader plans
Core Scientific CEO Adam Sullivan said the firm is “well positioned to design for the future and build application-specific data centers.” Core Scientific intends to serve clients, including CoreWeave, that pursue high-density next-generation chip deployments.
Sullivan highlighted the role of Core Scientific’s high-power infrastructure and team of highly experienced data center experts in its rapid and effective operations, noting that it delivered its Austin data center to CoreWeave 30 days earlier than planned.
Core Scientific currently can provide 500 MW of its 1.2 gigawatts of contracted power to HPC hosting.