MARA expands its AI data center business, stock price rises 17% after hours

Odaily Planet Daily reports that Bitcoin mining company MARA Holdings announced a partnership with investment firm Starwood Capital Group to build a large-scale data center for AI and cloud computing clients on existing US mining facilities. Following the announcement, the company’s stock price rose approximately 17% in after-hours trading.

Under the agreement, both parties will convert some of the facilities originally used for Bitcoin mining into AI data centers, with Starwood’s subsidiary Starwood Digital Ventures responsible for design, construction, and client acquisition. The initial phase is expected to provide about 1 gigawatt of computing capacity, with plans to expand to over 2.5 gigawatts, funded and operated jointly by both sides.

This partnership marks a significant business transformation for MARA. Due to the large-scale power access of the mining farms, such infrastructure has become more valuable amid the rapid growth in AI computing demand. In recent years, under the pressures of Bitcoin halving reducing block rewards, rising electricity costs, and increased competition, many mining companies have shifted toward AI computing infrastructure.

However, MARA stated that Bitcoin will remain a core part of the company’s long-term strategy. Management emphasized that despite short-term price volatility, their long-term confidence in Bitcoin assets remains unchanged.

Financial reports show that the company’s revenue for the fourth quarter was $202.3 million, down about 6% year-over-year, mainly due to a roughly 14% decrease in the average Bitcoin mining price.