Hyperscale Data (NYSE American: GPUS) has signed a landmark master services agreement to supply 20 megawatts of AI compute capacity at its Michigan data center campus, a contract that could generate more than $1.2 billion in revenue over its full term and marks a decisive shift away from Bitcoin mining. The deal, announced on June 24, 2026, was executed through the company’s indirect wholly owned subsidiary Alliance Cloud Services with an unnamed California-based neocloud provider.
Deal terms and capacity rollout
The initial term runs 10 years with two five-year renewal options, potentially reaching 20 years and bringing total revenue above $1.2 billion if fully extended. The 20 MW of critical AI compute capacity is expected to come online in the fourth quarter of 2026, with revenue possibly beginning as early as late September. The agreement includes expansion options: the customer can grow to a total of 52 MW, plus an additional 32 MW right exercisable in the first two years, which could push the deal’s total value past $3.0 billion. That 52 MW would represent about 17% of the Michigan campus’s estimated ultimate capacity of more than 300 MW.
Mining exit and Bitcoin treasury
Executive Chairman Milton “Todd” Ault III confirmed the company currently operates about 28 MW of Bitcoin mining capacity at the site but will increasingly allocate power to AI and high‑performance computing as the customer’s deployments progress. Despite the pivot, Hyperscale Data retains a significant Bitcoin treasury: as of June 21, it held 726.94 BTC worth approximately $45.9 million, held through Sentinum and Ault Capital Group. Ault stated the company intends to continue adding to its Bitcoin holdings, treating them as a foundational asset. The news sent GPUS shares up roughly 20%.
Industry‑wide trend
The transition echoes a broader recalibration among crypto miners repurposing energy‑intensive facilities for AI workloads. In recent months, IREN acquired Nostrum Group for grid‑connected power, raised $3 billion via convertible notes, and landed a $9.7 billion GPU cloud deal with Microsoft. Galaxy Digital raised $1.4 billion to convert its Helios mining site in Texas into an AI data center under a CoreWeave lease. The post‑2024 Bitcoin halving and surging demand for generative AI compute have accelerated this shift, with Hyperscale’s move positioning it at the intersection of crypto mining heritage and AI infrastructure growth.
