• Bitcoin miner Riot stock jumps nearly 9% as activist Starboard urges AI data center expansion The activist investor said Riot’s 1.7 GW power capacity can drive premium AI hosting deals at Texas sites. • What to know: Activist investor Starboard Value is urging Riot Platforms to speed up its shift from bitcoin mining to higher-margin artificial intelligence and high-performance computing infrastructure. • Starboard argues that Riot’s 1.7 gigawatts of available power capacity at its Texas sites could support “premier” data centers and potentially generate more than $1.6 billion in annual EBITDA if effectively monetized. • Despite a recent AMD deal, Riot has lagged rivals that moved earlier into AI, prompting Starboard to press executives to act with urgency to reposition the company as a long-term AI infrastructure provider. • Shares of Riot Platforms (RIOT) rose nearly 9% Wednesday after activist investor Starboard Value LPreleased a letter pressingthe company to accelerate its transition from bitcoin mining to AI infrastructure provider. • The aim is for Riot to pursue high-margin artificial intelligence and high-performance computing (AI/HPC) hosting deals.
Article Summaries:
- Bitcoin miner Riot stock jumps nearly 9% as activist Starboard urges AI data center expansion The activist investor said Riot’s 1.7 GW power capacity can drive premium AI hosting deals at Texas sites. What to know: - Activist investor Starboard Value is urging Riot Platforms to speed up its shift from bitcoin mining to higher-margin artificial intelligence and high-performance computing infrastructure. - Starboard argues that Riot’s 1.7 gigawatts of available power capacity at its Texas sites could support “premier” data centers and potentially generate more than $1.6 billion in annual EBITDA
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