Google is expanding its footprint in artificial intelligence infrastructure with a 10-year hosting partnership with Fluidstack, which also gives it an equity stake in Cipher Mining (CIFR).
The deal grants Google warrants to purchase approximately 24 million Cipher shares, representing roughly 5.4% ownership. It highlights Cipher’s transition from traditional bitcoin mining toward high-performance computing and AI services.
As part of the agreement, Google will guarantee $1.4 billion of Fluidstack’s lease obligations, supporting project-related debt financing. The contract is valued at around $3 billion over the initial term and could reach $7 billion if two optional five-year extensions are exercised. Cipher plans to provide 168 megawatts of IT capacity at its Lake Barber facility in Colorado City, Texas, by September 2026, while retaining full ownership and using capital markets for additional funding.
Cipher’s stock initially jumped as much as 20% on the announcement before moderating to a 5% premarket gain. Shares have increased nearly sevenfold since April, reflecting investor optimism as bitcoin miners pivot to AI and high-performance computing infrastructure.
