MARA Holdings surged 16% in pre-market trading after announcing a deal with Starwood Capital to convert bitcoin mining facilities into AI data centers. The partnership aims to deliver 1 gigawatt of capacity, with plans to expand significantly. This strategic pivot reflects a trend among crypto miners seeking to leverage power infrastructure for the booming AI compute market.
Block Inc. jumped 20% following news of significant workforce reductions, cutting over 40% of its staff. While management cited AI-driven efficiencies, investors are also considering the long-term impact of stablecoin payment rails on profit margins. The company provided strong Q1 guidance for operating income and gross profit.
In contrast, CoreWeave shares dropped 12% despite reporting revenue that beat expectations. Weaker than forecasted Q1 revenue guidance and increased capital expenditures raised concerns about profitability and cash burn.