Cipher Mining soars 32% following $5.5 billion data center agreement with Amazon

Cipher Mining's Partnership with Amazon: Cipher Mining's stock surged over 32% after announcing a 15-year, $5.5 billion lease agreement with Amazon Web Services to provide space and power for AI workloads, starting in mid-2024.

Financial Performance: The company reported a narrowed net loss of $3 million and increased adjusted earnings of $41 million for Q3, compared to a net loss of $46 million and adjusted earnings of $30 million in the previous quarter.

Expansion into AI Hosting: Cipher Mining is diversifying its income by shifting energy capacity towards AI and high-performance computing (HPC) hosting services, including a majority stake in a one-gigawatt AI hosting site in West Texas.

Growing Tech Partnerships: The trend of tech giants partnering with Bitcoin miners continues, with companies like Google and Microsoft also engaging in significant deals, highlighting the increasing intersection of cryptocurrency mining and technology sectors.