BTC miner Bit Digital (NASDAQ: BTBT) has introduced the acquisition of a brand new information middle in Montreal, Canada, the place it should host AI infrastructure.
Bit Digital acquired the 160,000-square-foot website, beforehand used as an encapsulation manufacturing facility, for $23.3 million. It intends to develop it right into a 5-megawatt Tier-3 information middle fitted with the newest cooling know-how, together with direct-to-chip liquid cooling for enhanced effectivity, the corporate said in a press launch.
The positioning can be absolutely powered by hydroelectric energy from Hydro-Quebec, one of many world’s largest hydropower producers. Bit Digital expects to finish development by Could this 12 months.
CEO Sam Tabar described the acquisition as “an essential step ahead in our information middle progress plans.” The corporate goals to have 32MW of high-performance computing (HPC) information facilities and 288MW total throughout all its operations by the top of the 12 months.
“By leveraging the present infrastructure, together with over CAD $750 thousand price of superior HVAC tools included within the buy, we’re in a position to decrease our improvement prices and speed up our time to market – a key benefit and core tenet of our improvement technique. The event timeline aligns with the calls for of a brand new buyer that intends to fill the capability with new technology Nvidia GPUs,” Tabar added.
Bit Digital has been venturing into HPC information facilities, acquiring Enovum Information Facilities in October for $46 million.
In a separate announcement, the corporate revealed that it had signed an settlement with AI Compute Fund, a division of DNA Holdings, to supply Nvidia H200 GPUs (NASDAQ: NVDA) price over $20 million. Bit Digital will present the GPUs beginning in February in a deal that runs for the subsequent two years.
“This strategic collaboration underscores our dedication to delivering high-performance computing options tailor-made to our shoppers’ evolving wants,” Tabar commented.
“This contract is a significant step towards attaining our long-term progress targets. Whereas we now count on to succeed in our $100MM annualized income run-rate objective for our HPC enterprise in early 2025, this timeline displays a deliberate technique to prioritize high-quality income alternatives and disciplined capital administration.”
Bit Digital, which operates BTC mining operations within the U.S., Iceland, and Canada, is among the many many BTC miners pivoting to AI. In late 2023, it launched Bit Digital AI, a devoted AI division that formally began operations in January 2024. Its AI enterprise was generating round $5 million month-to-month within the latter a part of final 12 months.
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