Companies that once focused on Bitcoin mining are now shifting their significant computing power towards artificial intelligence. This pivot comes as the value of Bitcoin has fallen sharply from its peak of approximately $124,000 (£91,000) in October 2025, despite a recent rally to around $80,000 in August 2026.
Firms such as TerraWulf, Ionic Digital, and Core Scientific are among those diverting investment and infrastructure. Riot Platforms, for example, signed a $9bn, 20-year compute deal with Anthropic earlier this month. Some companies, like Applied Blockchain, have even changed their names to reflect this new focus, becoming Applied Digital.
Industry analysts suggest that Bitcoin mining companies are well-suited for this transition due to their experience in securing cheap electricity and efficiently managing large data centres. However, refitting these facilities for AI is costly, with some companies reportedly selling Bitcoin holdings to finance the change. While Bitcoin's price has risen recently, analysts predict the industry's pivot to AI will continue, with many public miners expected to wind down Bitcoin mining hardware in the coming quarters.
Some companies, like Bitdeer, are exploring a dual-purpose model, continuing Bitcoin mining while also providing compute for AI. However, once multi-gigawatt power infrastructure is retrofitted for AI or high-performance computing, reversing the change is difficult and expensive.