TeraWulf Lands $19B, 15-Year AI Lease with Anthropic for 2GW Capacity
WULF•TeraWulf has secured a $19 billion, 15-year lease with Anthropic for two gigawatts of hydroelectric-powered data center capacity to support large-language-model training. The commitment diversifies its revenue backlog beyond Bitcoin mining but triggered a near 8% share decline over capital intensity and execution concerns.
1. Anthropic Lease Agreement
TeraWulf signed a 15-year, $19 billion master lease with AI developer Anthropic covering two gigawatts of hydroelectric-powered data center capacity. The agreement allocates rack space and power specifically for Anthropic’s large-language-model training, securing fixed pricing and usage commitments over the contract term.
2. Revenue Backlog and Recognition
The deal adds a multi-year revenue backlog that will be recognized as capacity comes online and Anthropic draws power, enhancing visibility into top-line growth beyond volatile Bitcoin revenues. Pricing locked in at premium rates reflects demand for clean, stable power for AI workloads, though accounting will follow percentage-of-completion as facilities ramp up.
3. Market Reaction and Concerns
Shares fell nearly 8% on investor worries about the hefty capital expenditures needed to build out two gigawatts of capacity and the extended timeline before full lease monetization. Analysts flagged execution risks including equipment delivery, grid interconnections and regulatory approvals for hydroelectric expansion.
4. Strategic Diversification
This landmark deal marks TeraWulf’s shift from pure Bitcoin mining to an AI infrastructure landlord, aiming to leverage its expertise in large-scale, low-cost power. The move positions the company against established data center providers but introduces new operational complexities and dependency on a single AI tenant.
