MARA expands its AI data center business, stock price rises 17% after hours

Odaily Planet Daily reports that Bitcoin mining company MARA Holdings has announced a partnership with investment firm Starwood Capital Group to build a large-scale data center for AI and cloud computing clients on its existing U.S. mining sites. Following the announcement, the company’s stock price rose about 17% in after-hours trading.

Under the agreement, both parties will convert some of the facilities originally used for Bitcoin mining into AI data centers, with Starwood’s subsidiary Starwood Digital Ventures responsible for design, construction, and client acquisition. The initial phase is expected to provide approximately 1 gigawatt of computing capacity, with plans to expand to over 2.5 gigawatts, jointly funded and operated by both sides.

This partnership marks a significant business transformation for MARA. Given the large-scale power access of its mining farms, such infrastructure has become more valuable amid the rapid growth in AI computing demand. In recent years, under pressure from Bitcoin halving reducing block rewards, rising electricity costs, and increasing competition, many mining companies have shifted toward AI computing infrastructure.

However, MARA states that Bitcoin will remain a core part of its long-term strategy. The management emphasizes that, despite short-term price uncertainties, their confidence in Bitcoin as an asset class remains unchanged.

Financial reports show that the company’s revenue for the fourth quarter was $202.3 million, down about 6% year-over-year, mainly due to a roughly 14% decline in the average Bitcoin mining price.