Bitdeer secures $400M AI cloud services contract for Malaysian data center
The company anticipates the five-year contract will generate revenue starting early 2027 while expanding to 350 megawatts of AI cloud infrastructure capacity by 2028.
Bitdeer AI, the artificial intelligence (AI) arm of Bitcoin mining firm Bitdeer, has entered into a five-year agreement with a customer that will account for roughly 50% of its A102 Malaysia facility's total capacity, secured prior to the site's activation.
The contract has been finalized with a customer whose identity remains undisclosed but is described as having "high credit quality," and is projected to generate total revenue of approximately $400 million, according to an announcement made by Bitdeer on Wednesday.
Both revenue streams and related expenses are anticipated to kick off during the first quarter of 2027 when service delivery begins. The AI division of Bitdeer has set its sights on achieving 350 megawatts of AI cloud data center infrastructure capacity by the first quarter of 2028.
The company joins a growing list of Bitcoin mining operations that have broadened their business portfolios to include AI infrastructure and high-performance computing capabilities as a means to diversify their income sources. In August of this year, Bitdeer entered into a 16-year lease agreement worth $4.7 billion for 121 megawatts of AI computing infrastructure capacity located in Norway.
Additional Bitcoin mining companies that have ventured into AI infrastructure development include MARA Holdings, TeraWulf, Hut 8 and IREN.
Shares of Bitdeer experienced a 7% increase on Wednesday and climbed nearly 6% during pre-market trading on Thursday, with the stock trading at $10.2 per share as of 12:16 pm UTC, based on data from Yahoo Finance.