TeraWulf Signs $3.7 Billion AI Hosting Agreements with Google Stake
TeraWulf (WULF) has entered into two 10-year colocation agreements with AI cloud platform Fluidstack, securing approximately $3.7 billion in revenue, potentially increasing to $8.7 billion with extensions.
- Google backs the project with $1.8 billion for lease obligations and acquires an 8% equity stake in WULF through warrants.
- The agreements will provide over 200 MW of IT load at TeraWulf’s Lake Mariner data center in New York, designed for liquid-cooled AI workloads.
- Phase one will deliver 40 MW by mid-2026, with full capacity expected by year-end.
- Structured as modified gross leases, these deals may yield $315 million annually with net operating income margins of 85%.
- Total project costs estimated at $8–$10 million per MW.
- Fluidstack has a 30-day exclusivity option for an additional 160 MW.
TeraWulf shares increased by 22% pre-market to $6.68.