Hut 8 (HUT) Stock: Surges 14% Following $7 Billion AI Data Center Agreement

TLDR:

• Hut 8 surges 14.67% after $7B AI deal with Fluidstack & Google.
• Hut 8 and Fluidstack team up to build massive AI data center in Louisiana.
• $7B partnership powers Anthropic’s AI, boosts Hut 8’s growth.
• Hut 8 pivots to AI, plans to expand data center capacity to 2.3GW.
• Hut 8’s AI data center will fuel Anthropic’s Claude AI, backed by Google.

Hut 8 Corp. (HUT) experienced a significant rise in stock value, climbing 14.67% to $42.25, after announcing a $7 billion deal.

Hut 8 Corp., HUT

The company has partnered with Fluidstack to develop a large-scale artificial intelligence (AI) data center in Louisiana. The venture, focused on powering AI technologies for the company Anthropic, will include a 15-year lease and substantial financial backing from Google.

AI Infrastructure Deal to Power Anthropic’s Operations

The partnership between Hut 8 and Fluidstack centers on a 245-megawatt data center at Hut 8’s River Bend campus. Fluidstack will oversee operations of the high-performance computing clusters for Anthropic. Google, alongside J.P. Morgan and Goldman Sachs, will finance the project, providing both construction funds and operational security for the 15-year term.

The data center will have an initial 245 megawatts of computing capacity, supported by an additional 330 megawatts of utility power. Hut 8 has committed to powering AI systems used by Anthropic, known for its Claude AI chatbot series. Fluidstack will play a critical role in managing these computing operations, allowing Anthropic to scale its AI models efficiently.

Partnership Could Lead to Expansion of AI Data Capacity

Hut 8’s deal includes provisions for scaling the data center over time. The agreement allows Hut 8 to potentially add another 1,000 megawatts of computing capacity in a second phase. Furthermore, as part of the third tranche, Hut 8 and Anthropic could work together to expand up to 1,050 megawatts at other Hut 8 locations beyond Louisiana.

The agreement is designed for growth, potentially resulting in a total of 2.3 gigawatts of AI-focused infrastructure. This would solidify Hut 8’s position in the expanding AI sector. The deal highlights a key trend in the industry as former cryptocurrency mining firms, like Hut 8, pivot to support high-demand AI infrastructure projects.

Hut 8’s Shift from Crypto Mining to AI Hosting

Hut 8 has recently restructured itself into an energy infrastructure platform. The company’s growing focus on AI hosting is part of a larger industry trend. Firms like Hut 8, CoreWeave, and Applied Digital are repurposing their assets to meet the rising demand for AI data centers.

The increasing demand for power-intensive AI operations is driving this shift. Major cloud providers, including Alphabet (Google), are securing resources to meet AI’s growing power needs. Hut 8’s partnership with Fluidstack and Anthropic is an important move to leverage its established infrastructure for new, high-value markets.

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