TeraWulf, IREN Accelerate Shift to AI Infrastructure as Bitcoin Mining Revenue Plunges

U.S. Bitcoin miners TeraWulf and IREN are rapidly shifting their focus to artificial intelligence infrastructure. With mining revenue plunging, AI cloud and data-center businesses are driving performance.

Bitcoin.com reported on November 6 that TeraWulf posted third-quarter revenue of $76.2 million. That was sharply higher than a year earlier. Revenue from leasing high-performance computing, or HPC, data centers reached $63 million, accounting for about 83% of the total.

Operating loss widened to $88.2 million from $24.7 million a year earlier as selling, general and administrative expenses, labor costs and interest expense on convertible notes surged. Total costs rose to $164.5 million, more than double the $75.3 million recorded a year earlier.

TeraWulf is also stepping up its AI infrastructure expansion after recently signing a 20-year lease agreement with Anthropic, securing about $19 billion in contracted revenue.

Nasdaq-listed miner IREN posted quarterly Bitcoin mining revenue of $28 million as of the end of September, down 88% from $233 million a year earlier. Bitcoin production over the same period fell to 402 BTC from 2,039 BTC. IREN plans to all but complete its shift from Bitcoin mining to AI cloud operations by the end of this year and minimize mining exposure by 2027.

As the company pivots to AI infrastructure, IREN's third-quarter total revenue rose 66% from the previous quarter to $228 million. AI cloud revenue climbed 182% from the prior quarter. The stock closed at $18.03 on November 5, down 17%, as a broader selloff in AI and technology shares weighed on the sector.