Riot Platforms Pivots to AI with $9.1 Billion Data Center Deal

The contract, which runs through June 2048, outlines a phased rollout of infrastructure, with the first 96 megawatts scheduled for delivery in December 2027 and the remaining 95 megawatts by June 2028. Should the tenant exercise two five-year extension options, total revenue from the agreement could climb to $16.1 billion. While Riot officially described the client in an August 10 SEC filing only as a leading frontier AI lab, Bloomberg has identified the partner as Anthropic, the developer behind the Claude model series. Neither company has formally confirmed the identity of the tenant.

To facilitate the project, Morgan Stanley has provided a $573 million interim financing facility. Riot estimates that construction will cost between $2.1 billion and $2.3 billion, with the company aiming to fund up to 90% of these expenses through debt. The expansion builds on Riot’s existing data center business, which includes a 50-megawatt commitment from AMD. Following the news, Riot shares rose approximately 25% in after-hours trading, reflecting investor optimism regarding the company's efforts to monetize its massive power portfolio in Texas. Despite the pivot, the firm maintains its Bitcoin mining operations, using its existing cryptocurrency reserves to help capitalize the transition into the AI infrastructure market.