Riot has signed a $9.8 billion AI Data Center Leasing Agreement with two tech companies

BlockBeats News, August 20th, Riot Platforms has signed AI data center leasing agreements with two major tech clients, involving 241MW of critical IT capacity, corresponding to approximately $9.8 billion in long-term contract revenue. This move will accelerate the company's transition from a primarily Bitcoin mining-focused business model to a large-scale data center developer.

One of the larger agreements is a 191MW custom build-to-suit lease agreement that Riot Platforms signed with a leading cutting-edge AI lab, located at Riot's Rockdale campus. The agreement has an initial lease term of 20 years, expiring in June 2048, and is expected to generate approximately $9.1 billion in contract revenue.

If the client continues to lease after the base lease term, the revenue potential of the agreement may further expand. The agreement includes two 5-year renewal options, and if both options are exercised, the potential total contract value will increase to approximately $16.1 billion.

Riot expects to generate a cumulative net operating revenue of approximately $7.3 billion to $8.2 billion during the initial lease term alone, equivalent to an average annual contribution of approximately $365 million to $411 million. The first phase of 96MW is expected to be delivered by December 2027, with the full 191MW planned for deployment completion by June 2028.