CleanSpark Expands Power Capacity by 28%, Secures Texas Site for AI Data Center Push

This marks a 28% increase in the company’s total power capacity and represents one of its largest diversification moves to date.

The October 29 announcement shows CleanSpark is following a growing trend among Bitcoin miners. As mining profits face pressure, companies are leveraging their power infrastructure to serve the booming AI computing market. The Texas site sits on a major fiber backbone with close access to high-capacity natural gas pipelines, which could support future power generation needs.

Strategic Partnership with Cooling Technology Leader

CleanSpark didn’t announce the Texas acquisition alone. The company also revealed a partnership with Submer, a company specializing in liquid-cooled data center solutions. This partnership matters because AI computing hardware generates intense heat and requires advanced cooling systems to operate efficiently.

Under the arrangement, CleanSpark will handle site selection, development, and operations of AI data centers. Submer will provide its liquid-cooling technology and modular data-center systems. The two companies are working together on projects totaling more than 1 gigawatt of current capacity, with a pipeline exceeding 2 gigawatts of potential future development.

Source: @CleanSpark_Inc

CEO Matt Schultz explained the company’s vision: “By combining our energy and land portfolio with Submer’s state-of-the-art AI deployment and liquid cooling expertise, we are positioned to deliver AI capacity at gigawatt scale, faster, cleaner, and more efficiently than traditional approaches.”

New Leadership to Drive AI Expansion

To lead this transformation, CleanSpark hired Jeffrey Thomas as Senior Vice President of AI Data Centers in October 2025. Thomas brings more than 40 years of experience in data center infrastructure. Most recently, he served as President of AI Data Centres at Humain, where he led Saudi Arabia’s multi-billion dollar AI data center program.

Thomas’ experience includes assembling teams, building partnerships with major technology companies, and managing large-scale infrastructure projects. His track record shows he has participated in 19 ventures that created over $12 billion in shareholder value throughout his career.

“The Houston market is emerging as a premier destination for next-generation data center development,” Thomas said in a statement. “This acquisition provides CleanSpark with the footprint and power capacity needed to deliver large-scale, high-density compute solutions to global technology partners.”

Why Bitcoin Miners Are Pivoting to AI

CleanSpark’s move reflects a broader industry pattern. Bitcoin miners face several challenges that make AI infrastructure attractive. The April 2024 Bitcoin “halving” event cut mining rewards in half, reducing profitability. Meanwhile, demand for AI computing continues to surge as companies race to develop and deploy AI applications.

Bitcoin miners have unique advantages for AI infrastructure. They already own large amounts of power capacity and data center facilities. They have expertise in managing energy-intensive operations. Most importantly, they can move faster than traditional data center operators because their infrastructure already exists.

CleanSpark recently beat Microsoft for a 100-megawatt site contract in Cheyenne, Wyoming. The company could deploy the facility in about six months, while building a traditional AI data center would take three to six years. Speed to market has become a critical competitive advantage.

Other major mining companies are making similar moves. MARA Holdings acquired a 64% stake in French AI infrastructure firm Exaion for $168 million in August 2025. IREN signed a five-year, $9.7 billion GPU cloud services contract with Microsoft. TeraWulf secured a deal backed by Google worth $3.7 billion over 10 years.

Texas Site Timeline and Specifications

The Austin County property includes several strategic features. The site has access to strong grid infrastructure and sits near multiple high-capacity natural gas pipelines. CleanSpark is evaluating these pipelines for potential behind-the-meter power generation, which could provide additional energy security and cost savings.

Construction planning is already underway. The company secured long lead-time equipment and has begun substation construction. CleanSpark expects to energize more than 200 megawatts of the site’s capacity in the first half of 2027. The company plans to develop the project in phases, allowing it to scale up gradually based on customer demand.

The payment structure for the land acquisition includes both cash and CleanSpark stock at closing, with additional cash payments tied to specific post-closing milestones.

Bitcoin Mining Operations Continue

Despite the AI push, CleanSpark emphasized it will continue Bitcoin mining operations. In October 2025, the company mined 612 Bitcoin and sold 589.9 BTC for approximately $64.9 million, averaging $110,057 per coin. The company ended the month holding 13,033 Bitcoin in its treasury.

CleanSpark operates a portfolio of more than 1.3 gigawatts of power, land, and data centers across the United States. The company maintains an installed hashrate of 33.7 exahashes per second, making it the second-largest public Bitcoin miner by production capacity behind MARA Holdings.

Chief Financial Officer Gary A. Vecchiarelli explained the integrated approach: “The cash flows from our mining operations, along with the strength of our strategic treasury and the non-dilutive capital it enables, position us to invest confidently in our growing AI capabilities. Our business has been built for this moment.”

The company’s dual-track strategy aims to maximize value from its existing Bitcoin mining operations while building a new revenue stream from AI data center services. This approach provides diversification without abandoning the company’s core business.

Industry Support from Washington

CleanSpark’s expansion comes as the U.S. government shows support for faster power grid access. Energy Secretary Chris Wright sent a letter to federal regulators in October 2025 requesting new rules to cut grid connection times from years down to just 60 days for large power users.

The proposed changes would help both AI data centers and Bitcoin mining operations connect to the grid more quickly. Companies would need to pay for necessary network upgrades themselves but could get approval in 60 days instead of waiting years in the current system.

Schultz called the proposal “a major signal” that the Department of Energy recognizes how flexible power users can strengthen the grid. Bitcoin mining operations can scale their electricity use up or down quickly, helping balance the grid during peak demand times.

The New Computing Landscape

CleanSpark’s Texas expansion represents more than just one company’s strategy. It shows how the lines between Bitcoin mining and AI infrastructure are blurring. Companies with power capacity, technical expertise, and speed to market can serve multiple computing-intensive industries. As AI demand continues growing, expect more Bitcoin miners to follow CleanSpark’s path into this lucrative market.