Core Scientific secures AMD AI infrastructure deal as bitcoin mining winds down

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Core Scientific AMD AI deal

Highlights

Core Scientific signed a 15-year infrastructure partnership with AMD for 529 MW of AI capacity, potentially generating over $14 billion in contracted revenue starting in 2027.
Total leased customer capacity rose to about 1.1 GW, representing $24 billion in potential contracted revenue, with 437 MW billing $635 million annualized colocation revenue as of mid-July.
Core Scientific terminated a Block chip purchase agreement, recorded a $41.9 million charge, and CORZ shares rose 5.6% pre-market while AMD shares fell 4%.

Lease structure and expansion terms

As reported by CoinDesk, citing Core Scientific in its quarterly filing, the company has signed an infrastructure partnership with Advanced Micro Devices anchored by 15-year leases for 529 megawatts of U.S. AI capacity, which it says could generate more than $14 billion in base contracted revenue. The capacity is expected to support AMD customer deployments beginning in 2027, and the agreements give AMD, under certain conditions, the right to reserve another 1,925 MW through Dec. 28, 2028.

AMD directly leased 377 MW across Core Scientific sites in Pecos and Hunt County, Texas, and Muskogee, Oklahoma. An unnamed cloud provider leased another 152 MW in Auburn, Alabama, and Dalton, Georgia, under agreements supported by AMD.

Core Scientific and AMD are also working together on data center design and deployment of AMD Instinct graphics processing units, EPYC processors and ROCm software. AMD received warrants to purchase up to 30 million Core Scientific shares at $23.47 per share, with about 6.5 million vesting when the initial leases were signed and additional warrants vesting as more capacity is contracted.

Revenue mix shifts toward colocation

The new agreements raise Core Scientific's leased customer capacity to about 1.1 GW, representing more than $24 billion in potential contracted revenue. The company says it was billing customers for 437 MW as of mid-July, equivalent to about $635 million in annualized colocation revenue.

The partnership deepens the company's move away from bitcoin mining. Colocation generates $136.7 million, or 83% of Core Scientific's $164.2 million in second-quarter revenue, while self-mining revenue falls 66% to $21.5 million.

Core Scientific also terminated an agreement to buy Block's bitcoin-mining chips and recorded a $41.9 million charge as a result. That 2024 agreement covered 3-nanometer chips representing about 15 EH/s of hashrate. The company held 848 BTC worth $49.7 million on June 30, up from 547 BTC three months earlier, and sold 2,385 BTC for $208.2 million in the first quarter of the year.

CORZ shares are up 5.6% in pre-market trading, while AMD is down 4% as chip stocks continue to sell off.

Nvidia’s plans to lease a Texas data center highlighted how chipmakers are increasingly locking in large infrastructure footprints to deploy advanced AI chips at scale. Our earlier coverage noted that this kind of expansion is aimed at boosting data storage and processing capacity as cloud and AI workloads surge, strengthening competitive positioning in the data center market.

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