Riot Platforms' shares jumped about 8% on Friday after Advanced Micro Devices doubled its capacity at the company's Rockdale, Texas data center. The expansion highlights Riot's pivot from bitcoin mining to AI infrastructure. The deal is expected to generate roughly $636 million over 10 years.
Riot Platforms (RIOT), based in Castle Rock, Colorado, saw its stock rise approximately 8% on Friday following an expansion of its data center agreement with Advanced Micro Devices (AMD). AMD exercised an option to double its contracted capacity to 50 megawatts (MW) at Riot's Rockdale, Texas campus, with potential to increase to 150MW total, according to Riot's Q1 financial results and earnings transcript. The agreement is projected to produce about $636 million in revenue over a 10-year term, underscoring Riot's shift toward high-performance computing and AI hosting. Riot also improved terms on its $200 million bitcoin-backed credit facility with Coinbase, reducing the interest rate to a fixed 6.15% from 8.3% and releasing 1,544 BTC of pledged collateral. This reflects growing lender confidence in Riot's non-mining business, as noted in the company's disclosures. “Market pricing in lower cost of capital as the expanded AMD deal drives lender confidence,” said Matthew Sigel, head of digital assets research at VanEck. For the quarter ended March 31, Riot reported total revenue of $167.2 million, up from $161.4 million a year earlier, with $33.2 million from initial data center operations. Bitcoin mining revenue declined to $111.9 million from $142.9 million due to lower prices and competition. The company sold 3,688 BTC in Q1, ending with 15,679 BTC and $282.5 million in cash. Shares have risen about 147% over the past 12 months, even as bitcoin prices fell nearly 17%.
