Riot Platforms signs $9.1 bn AI lease, shares jump 25%

Riot Platforms’ stock surged 25% to $24.40 after the company disclosed a 20‑year, $9.1 bn lease of 191 MW of Texas data‑center capacity to Anthropic, a leading frontier AI lab, shifting revenue from volatile Bitcoin mining to a long‑term AI tenant【2】.

Lease details and revenue outlook

Riot’s filing shows the lease runs through June 2048 and is expected to generate $9.1 bn of contract revenue over the base term, with two five‑year extension options that could raise total contract value to about $16.1 bn【1】. The company estimates net operating income of $7.3‑$8.2 bn during the base period, roughly $365‑$411 million annually. Delivery will be staged, with 96 MW available by December 2027 and the full 191 MW by June 2028【1】. Morgan Stanley is providing $573 million of interim financing for early development, while an investment‑grade credit backstop is being arranged【1】.

Shift from mining to AI‑focused power leasing

Riot’s Rockdale campus, originally a 700‑MW Bitcoin mining operation, is being repurposed for data‑center tenants. AMD already holds a 50‑MW contract, bringing total leased capacity to 241 MW and base‑term contracted revenue to about $9.8 bn【1】. The move follows a broader industry trend: miners such as Hut 8 and Core Scientific are also converting power assets to AI infrastructure amid tightening mining margins. By locking in a tenant that brings its own hardware, Riot reduces exposure to Bitcoin price swings, network difficulty, and halving‑driven reward cuts, trading mining volatility for a bond‑like cash‑flow stream【2】.

Market reaction and broader implications

Riot’s shares rose sharply on the news, reflecting investor belief that the AI lease re‑defines the company’s economic identity. The stock’s 25% jump contrasts with Bitcoin’s near‑flat price of $64,000 and $22 bn daily trading volume, underscoring that the market is rewarding the shift toward power‑capacity contracts rather than mining output alone【2】. The deal is not an industry record—Hut 8’s 352‑MW, $9.8 bn Texas lease is larger—but it signals a growing valuation focus on miners’ real‑estate and power assets, which now dominate many crypto‑industry ETFs【1】.

What to watch

• Capacity rollout: First 96 MW becomes operational in December 2027; full 191 MW by June 2028. Delays could affect revenue timing.
• Extension exercise: Whether Anthropic exercises both five‑year extensions will determine if total contract value reaches $16.1 bn.
• Bitcoin mining performance: Riot’s mining revenue fell to $113.7 million from $140.9 million YoY, and the company posted a $237.2 million net loss, highlighting the incentive to pivot away from mining volatility【1】.

The lease anchors Riot’s future cash flow to AI demand rather than Bitcoin’s price, but the ultimate impact will hinge on construction progress, tenant performance, and the broader evolution of power‑capacity markets in Texas.