TeraWulf Secures $3.7B AI Hosting Deal Backed by Google, Pivoting from Bitcoin Mining

TeraWulf secures $3.7B AI hosting deal backed by Google, shares soar

The Bitcoin miner's pivot into AI infrastructure hosting includes a decade-long colocation agreement with Fluidstack, backed by Alphabet's Google. TeraWulf has become the latest cryptocurrency miner to pivot into AI infrastructure hosting, reaching a long-term agreement with Fluidstack that's backstopped by Alphabet's Google -- in a move expected to significantly increase the company's revenue run rate. During its shareholder call on Thursday, the company disclosed that it has signed 10-year colocation lease agreements with Fluidstack, an AI infrastructure provider, worth $3.7 billion in contract revenue. That figure could more than double if five-year extensions are exercised. Google's involvement comes through supporting Fluidstack's $1.8 billion lease obligations with TeraWulf and providing debt financing. In return, Google received warrants for roughly 41 million WULF shares, representing about 8% of the company. The deal will expand TeraWulf's data center capacity in New York by more than 200 megawatts of IT load. "Given the expected improvement in our credit profile, we've refined our financing strategy to focus on a series of capital markets initiatives [...] with the benefit of our new financial support from Google and our updated lease agreements," TerraWulf Chief Financial Officer Patrick Fleury told shareholders. TeraWulf, founded in 2021 as a Bitcoin (BTC) mining company focused on environmentally sustainable operations, has faced mounting challenges in the post-halving environment. In the first quarter, the company reported a net loss of $61.4 million alongside a sharp drop in revenue. Companywide financials improved in the second quarter, as TeraWulf returned to profitability and posted higher revenues compared with the first quarter. Volatile BTC prices and rising infrastructure costs have made Bitcoin mining economics increasingly difficult, prompting more companies to diversify into AI and high-performance computing to stabilize revenue. Related: Jack Dorsey's Block targets 10-year lifecycle for Bitcoin mining rigs TeraWulf's latest business deal sparked a sharp rally in its share price on Thursday. WULF shares jumped as much as 48% intraday to a high of $8.11, with trading volume more than quadrupling the daily average, according to Yahoo Finance data. The stock last traded around $7.50, up 37% on the day, giving the company a market capitalization of nearly $3 billion. The rebound has pushed WULF back into positive territory for the year. While TeraWulf is pivoting into AI infrastructure, it remains, for now, a crypto proxy stock -- a status underscored by its continued mining operations. In the second quarter, the company self-mined 485 BTC, down from 699 in the same period a year earlier. At the end of Q2, TeraWulf held $90 million in cash, cash equivalents and Bitcoin.

Google bets big on Bitcoin: Joins $3.7 billion deal that sends TeraWulf stock soaring 45%

TeraWulf stock news today: TeraWulf is having a moment. The bitcoin mining and high-performance computing (HPC) infrastructure company saw its stock rocket more than 45% this week after locking in a massive 10-year AI hosting agreement and landing a major backer in Google, as per a report. On Thursday, TeraWulf (WULF) announced it had signed two long-term co-location agreements with Fluidstack, an AI cloud platform operator, as per an IBD report. Under the deal, more than 200 megawatts of critical IT load will be deployed at TeraWulf's Lake Mariner data center campus in Western New York, according to the report. The scale of the agreement is enormous: the 10-year contracts represent $3.7 billion in revenue for TeraWulf, with two, five-year extension options that could bring that total up to $8.7 billion, as reported by IBD. ALSO READ: Stranded by the Air Canada strike? Here's what passengers must know about refunds and rights According to the IBD report, Google has revealed its plans to backstop $1.8 billion of Fluidstack's lease obligations, supporting both the buildout and associated debt financing. In return, Google will receive about 41 million shares of TeraWulf stock, which is approximately an 8% stake in the company, as reported by IBD. Following the announcement, WULF stock soared more than 25% on Thursday to its highest level since January, according to the report. The company has now rallied 165% from its April lows, although it remains slightly down for the year through Wednesday, as reported by IBD. For TeraWulf, it's a massive validation of its strategy to combine bitcoin mining with industrial-scale AI infrastructure, according to the report. It expects to deliver 40 MW of IT load in the first half of 2026, with the rest coming online by year's end, as reported by IBD. ALSO READ: As the July jobs report paints a grim picture, 114 companies plan layoffs in August - is yours on the list? Analysts took notice as research firm Clear Street called the Fluidstack agreements "transformative," noting the deal boosts TeraWulf's visibility on future growth and profitability, according to the report. The firm has a "buy" rating on the stock and a $9 price target, as per the IBD. Google, meanwhile, saw its shares dip slightly on Thursday, though it's still up 6% for the year, according to the report. ALSO READ: China's job crisis spurs bizarre trend: Young Chinese pay companies just to pretend they have a job -- here's why Why did TeraWulf stock go up? Because the company signed a major 10-year deal with Fluidstack and got a big investment from Google. What's Google's role in this? Google is backing $1.8 billion of Fluidstack's lease obligations and getting an 8% stake in TeraWulf.

Why Is TeraWulf Stock Trading Higher Today - TeraWulf (NASDAQ:WULF)

TeraWulf Inc. WULF announced two 10-year high-performance computing (HPC) colocation agreements with Fluidstack on Thursday. TeraWulf develops, owns, and operates industrial-scale data center infrastructure in the U.S., purpose-built for high-performance computing (HPC) hosting and Bitcoin BTC/USD mining. Under the agreements, TeraWulf will deliver more than 200 MW of critical IT load (representing approximately 250 MW of gross capacity) at its Western New York Lake Mariner data center campus. The facility is purpose-built for liquid-cooled AI workloads. Also Read: Bitcoin Touches $122,00 As Total Crypto Market Cap Nears $4.2 Trillion The agreements represent approximately $3.7 billion in contracted revenue over the initial 10-year terms and include two five-year extension options that would bring the total contract revenue to approximately $8.7 billion if exercised. Alphabet Inc's GOOGL GOOG Google will backstop $1.8 billion of Fluidstack's lease obligations to support project-related debt financing. Google will receive warrants to acquire approximately 41 million shares of TeraWulf common stock, equating to an approximately 8% pro forma equity ownership stake -- aligning TeraWulf with one of the most influential global AI partners. TeraWulf also plans to access the capital markets to fund a portion of the project. Get StartedTrade Bitcoin, Ethereum, and More Instantly -- No Wallets, No Hassle Speculate on price movements, claim up to $200 in bonuses, and start with risk-free paper trading with crypto futures on Plus500. Get StartedDisclosure: 82% of retail CFD accounts lose moneyDeployment Schedule Phase one -- approximately 40 MW of critical IT load -- is expected online in the first half of 2026, with the full 200+ MW deployed by year-end 2026, delivering substantial near-term capacity to Fluidstack. The expected site net operating income (NOI) margins of 85% imply around $315 million annually. Total project cost is estimated at $8 million to $10 million per MW of critical IT load. Concurrently, TeraWulf executed a long-term ground lease for approximately 183 acres at the Cayuga site in Lansing, New York. The Cayuga Ground Lease has a term of 80 years and includes reciprocal purchase and sale options exercisable for $100 beginning in year 50. The lease provides TeraWulf with exclusive rights to develop up to 400 MW of digital infrastructure capacity, with 138 MW of low-cost, predominantly zero-carbon power expected to be ready for service in 2026. Located on the site of a former coal-fired power plant, the Cayuga property features robust existing electrical infrastructure, an industrial-scale water intake system and redundant fiber connectivity - critical components for supporting enterprise-scale computing workloads. Cayuga's parent company, Riesling Power, will receive consideration comprised of $95 million in the form of TeraWulf common stock determined based on a 15-day trailing VWAP, and $3 million in cash. Last week, TeraWulf reported a second-quarter loss of 5 cents per share, beating the consensus for a loss of 7 cents, with sales of $47.64 million, better than the consensus of $46.08 million. Price Action: TeraWulf stock was up 32.42% at $7.24 at the time of publication on Thursday, according to Benzinga Pro. Read Next: Producer Inflation Explodes In July And Trump's Tariffs Are To Blame WULFTeraWulf Inc$7.0829.8%Stock Score Locked: Want to See it? Benzinga Rankings give you vital metrics on any stock - anytime. Reveal Full ScoreEdge RankingsMomentum84.77GrowthN/AQualityN/AValue15.47Price TrendShortMediumLongOverview$BTCBitcoin - United States dollar$118551.20-3.90%GOOGAlphabet Inc$203.430.20%GOOGLAlphabet Inc$202.320.18%Market News and Data brought to you by Benzinga APIs

TeraWulf's Secret Weapon: Beowulf Integration Fuels AI Ambitions, Says CEO - TeraWulf (NASDAQ:WULF)

TeraWulf Inc. WULF stock rocketed over 40% during midday trading on Thursday. The rally was ignited by a $3.7 billion AI data center deal with Fluidstack, backed by Alphabet Inc's GOOGL GOOG Google's $1.8 billion guarantee. The 10-year contract to supply 200 megawatts of high-density power at Lake Mariner has social media buzzing with positive sentiment. Yet, a cryptic reveal from CEO Paul Prager in the second quarter earnings call points to a bigger catalyst: the completed integration of Beowulf Electricity & Data, his former private energy firm. WULF is charging ahead with explosive momentum. Get the scoop here. Get StartedTrade Bitcoin, Ethereum, and More Instantly -- No Wallets, No Hassle Speculate on price movements, claim up to $200 in bonuses, and start with risk-free paper trading with crypto futures on Plus500. Get StartedDisclosure: 82% of retail CFD accounts lose moneyBeowulf's Power Play Unleashed This isn't mere corporate cleanup. Beowulf, TeraWulf's power and infrastructure backbone, was acquired in the second quarter, streamlining operations and slashing costs. Prager, touting "shareholder alignment," said the move consolidates expertise, adding 94 Beowulf employees to TeraWulf's roster. This bolsters TeraWulf's edge in delivering low-cost, zero-carbon power, critical in the AI infrastructure race where energy is the bottleneck. Read Also: TeraWulf Stock Soars After Google Takes 8% Stake, Bitcoin Mining Company Inks Massive $3.7 Billion Infrastructure Deal With Lake Mariner's capacity at 500 megawatts -- and a potential rise to 750 -- plus a new 400-megawatt Cayuga site, TeraWulf is scaling fast. Its Core42 partnership is on track, with WULF Den generating revenue, CB-1 starting soon, and CB-2 set for Q4. Beowulf's integration could trim the $8-10 million per megawatt build cost for Fluidstack, despite higher labor and design tweaks, boosting the projected 85% net operating margins. Prager's Vision: Execution Is Key Prager calls TeraWulf a "show-me story," with skeptics awaiting Core42's buildout completion. But the Beowulf acquisition, shrouded in intrigue, could be the spark that cements TeraWulf's AI dominance. With $300 million in project financing led by Morgan Stanley and a $200 million share repurchase program, TeraWulf is financially nimble. As the Fluidstack deal fuels today's rally, Prager's Beowulf masterstroke -- paired with Google's backing -- positions TeraWulf to outshine rivals, leaving investors eager for the next reveal. Read Next: Buffett's $4.8B Mystery Stock: UPS, FedEx, Caterpillar... Or A Total Curveball? Photo: Piotr Swat/Shutterstock.com WULFTeraWulf Inc$7.8744.1%Stock Score Locked: Edge Members Only Benzinga Rankings give you vital metrics on any stock - anytime. Unlock RankingsEdge RankingsMomentum84.77GrowthN/AQualityN/AValue15.47Price TrendShortMediumLongOverviewGOOGAlphabet Inc$205.131.03%GOOGLAlphabet Inc$204.271.14%Market News and Data brought to you by Benzinga APIs

Stock Market Today: TeraWulf Jumps on $3.7 Billion AI Deal and Google Partnership | The Motley Fool

TeraWulf surged today after unveiling a multi-billion-dollar AI infrastructure deal with Fluidstack, backed by Google's financial muscle and equity investment. TeraWulf (WULF 59.89%) soared 60% on Thursday to close at $8.71, driven by staggering volume -- over 286 million shares traded, more than six times its 3-month average. The jump followed news that the company signed two 10-year AI hosting agreements with Fluidstack, establishing itself as a serious player in hyperscale digital infrastructure. The contracts, valued at $3.7 billion with potential to reach $8.7 billion, will support over 200 megawatts of liquid-cooled IT load at its Lake Mariner data center. The broader market traded flat by comparison. The S&P 500 inched up 0.03%, while the Nasdaq Composite slipped by 0.01%. Investors showed modest appetite for risk across tech and AI sectors, while TeraWulf bucked the trend with its sector-defining announcement. Crypto mining peers posted mixed results. MARA Holdings (MARA -0.69%) dipped 0.7% to $15.75, while Riot Platforms (RIOT 5.70%) gained 5.7% to close at $12.25. Still, neither matched the intensity of TeraWulf's rally, which reflected the company's strategic pivot beyond mining. The game-changing news: Alphabet's Google will backstop $1.8 billion of Fluidstack's lease obligations in support of the project and receive warrants for roughly 8% equity in TeraWulf. With AI infrastructure demand surging, this partnership aligns WULF with a Tier 1 hyperscaler and signals major institutional confidence. The move could fundamentally reshape TeraWulf's long-term trajectory -- and investors took notice.

Why TeraWulf Stock Is Skyrocketing Today | The Motley Fool

Along with releasing its second-quarter earnings, TeraWulf announced a major co-location deal with Fluidstack, an artificial intelligence (AI) cloud provider that will see the company provide 200 megawatts of compute power at its data center in New York. The 10-year, $3.7 billion deal has the option to be extended twice for up to a total of $8.7 billion. Google will guarantee up to $1.8 billion if Fluidstack fails to make good on its lease obligations. In exchange, Google will be awarded warrants for 41 million shares of TeraWulf, about an 8% stake. The guarantee will allow TeraWulf to access the financing it needs to provide the 200 megawatts of compute power. This is the latest major data center deal as big tech races to build enough capacity to meet current and projected future demands. It's hard to overstate just the scale of the efforts. Google, Amazon, Microsoft, and Meta Platforms alone are expected to spend roughly $400 billion next year and are on track to spend more than $350 billion this year. That's not total capital expenditures (capex), that is specifically data center capex. While this presents an enormous opportunity for data center providers, it also presents an enormous risk. I believe that the big tech companies are very purposefully making deals such as this one to offload the risk onto third parties. TeraWulf and other infrastructure companies like it are taking on enormous amounts of debt at very high interest rates. If there is an overbuild or AI demand sags, TeraWulf could find itself in a pretty precarious position.

Terawulf Inc. Signs 200+ Mw, 10-Year Ai Hosting Agreements with Fluidstack

TeraWulf Inc. announced two 10-year high-performance computing (HPC) colocation agreements with Fluidstack, a premier AI cloud platform that builds and operates HPC clusters for some of the world?s largest companies. Under the agreements, TeraWulf will deliver more than 200 MW of critical IT load (representing ~250 MW of gross capacity) at its Lake Mariner data center campus in Western New York. Purpose-built for liquid-cooled AI workloads, the facility is engineered to meet the scale, density and resiliency required for next-generation compute. The agreements represent approximately $3.7 billion in contracted revenue over the initial 10-year terms and include two five-year extension options which, if exercised, would bring the total contract revenue to approximately $8.7 billion. To support the buildout, Google will backstop $1.8 billion of Fluidstack?s lease obligations to support project-related debt financing and will receive warrants to acquire approximately 41 million shares of TeraWulf common stock, equating to an approximately 8% pro forma equity ownership stake?aligning TeraWulf with one of the most influential global AI partners. TeraWulf also plans to access the capital markets to fund a portion of the project. Phase one?approximately 40 MW of critical IT load?is expected online in the first half of 2026, with the full 200+ MW deployed by year-end 2026, delivering substantial near-term capacity to Fluidstack. Contract Value: ~$3.7 billion across the initial 10-year terms, Lease Extensions: Two five-year options could increase total revenue to ~$8.7 billion, Lease Structure: Modified gross lease with annual escalators, escalatorsExpected Site Net Operating Income (NOI) Margins: 85% (implies ~$315 million annually), Total Project Cost: $8-$10 million per MW of critical IT load, Google Participation: $1.8 billion backstop of Fluidstack lease obligations in support of project-related debt; ~8% equity stake via 41 million warrants and Growth Potential: 30-day exclusivity for CB-5 at Lake Mariner (160 MW).