Key Takeaways
Bitcoin miner Core Scientific Inc. is acquiring Polaris DS LLC for $421 million, a strategic move to accelerate the transformation of its Oklahoma campus into a 1.5-gigawatt data center for artificial intelligence workloads.
"Our multi-tiered approach in Muskogee demonstrates how we can combine acquisitions, development expertise, and innovative power solutions to unlock gigawatt-scale capacity," Adam Sullivan, Chief Executive Officer of Core Scientific, said. "We are demonstrating the scalability of our model while growing a strategically important campus to support a broad range of high-density compute deployments."
The deal, expected to close in the third quarter of 2026, provides Core Scientific with 440 megawatts of contracted power through an agreement with Oklahoma Gas & Electric. The company's stock (CORZ) rose 10.7% to $24.56 on the news. An additional $40 million payment is included if another 40 MW of power capacity becomes available. Construction has already started on a second, 82.5 MW building at the Muskogee campus, with delivery expected in late 2027.
The acquisition marks a significant step in Core Scientific's pivot from a pure-play Bitcoin miner to a diversified infrastructure provider for the booming AI industry. The market for AI data centers is forecast to grow from about $147 billion in 2025 to over $810 billion by 2033, according to a report by Grand View Research. By securing large-scale power contracts, Core Scientific is positioning itself to capture a piece of this rapidly expanding market.
The Muskogee expansion is the second time Core Scientific has used this strategy, following a similar 1.5 GW project already underway in Pecos, Texas. The model combines acquiring companies with existing power agreements, developing new facilities, and exploring behind-the-meter power solutions to quickly bring capacity online.
To support the full 1.5 GW buildout, the company has secured approximately 250 acres of land and is conducting studies to expand its grid connection. Oklahoma Governor Kevin Stitt highlighted recent state legislation supporting behind-the-meter power generation as a key factor in attracting such investments.
While Core Scientific will continue its digital asset mining business, the company is actively repurposing its facilities to serve the more lucrative high-density colocation market. Its first 70 MW building in Muskogee, designed for Nvidia's GB300 platform, is on track for delivery in the second quarter of 2026.
Companies that can deliver massive amounts of power on compressed timelines hold a significant competitive advantage in the AI race, where electricity has become a primary constraint. Core Scientific is betting that its expertise in building and operating large-scale digital infrastructure for Bitcoin mining gives it an edge in becoming a key landlord for the AI industry.
This article is for informational purposes only and does not constitute investment advice.
