TeraWulf (NASDAQ:WULF) fell 4% to $12.04 even though it disclosed on November 4 that Google, an Alphabet unit, guarantees Anthropic's leases at its Kentucky campus. The 20-year leases cover about 401 megawatts across three buildings, with contracted commitments of about $19 billion, but the guarantee takes effect only once each lease's last data hall reaches commencement, with phased delivery from late 2027 through Q2 2028. Construction-period risk remains with TeraWulf and its lenders. Cipher Digital (NASDAQ:CIFR) dropped 18% and IREN (NASDAQ:IREN) fell 9% amid broader worries about funding AI data center builds, while TeraWulf's Q3 2026 report is scheduled for November 6.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Keywords
TeraWulfAI investmentdata centersAnthropic
Open a keyword to see other news on the same topic.
Related news
- Google backstops TeraWulf’s $19 billion Anthropic leases in Kentucky
TeraWulf said Google can take over Anthropic’s rent or pay a declining termination fee if Anthropic defaults, but this support starts only once the final data hall of each lease begins operating. The excerpt cuts off while discussing a guarantee from Fluor.
- TeraWulf Jumps 8% as CEO Says Power Demand Remains ‘Extremely Strong’; Applied Digital Surges 9%, IREN Climbs 6%
TeraWulf shares rose 8% to $12.95 in afternoon trading after CEO Paul B. Prager wrote on X that demand for power “remains extremely strong,” that the company’s site is “energized” to meet it, and that shareholders would not be diluted. He said customers would likely need outside funding but TeraWulf would not take on that financial risk, and that the next data center building at Lake Mariner, leased to Fluidstack, is on track for delivery this quarter. Applied Digital rose 9% to $21.17 and IREN climbed 6% to $28.11, while the CoinShares Bitcoin Mining and Digital Power ETF gained 3% to $32.43 against a 0.6% rise in the SPDR S&P 500 ETF Trust. The article links the rally to power scarcity, including Elon Musk’s comment on the earnings call that the infrastructure to supply and cool electrical equipment is “somewhat of a limiting factor” for superintelligence. The next test for TeraWulf is whether the Lake Mariner building is delivered on schedule this quarter.
- Anthropic targets doubling computing capacity to 7 gigawatts next year, NYT report
According to the New York Times, Anthropic expects more than 3.5 gigawatts of computing capacity by the end of this year and aims to double that next year, enough electricity to power all the homes in Chicago. The company has accumulated $895.4 billion in commitments for data centers, chips and computing power through 2045, per its updated IPO prospectus, with nearly $70 billion expected to take effect over the next 12 months. It sources computing power from neoclouds Fluidstack, Lambda and Nscale and has major agreements with Google ($121.3 billion), Amazon ($110 billion), Microsoft ($44.9 billion) and SpaceX ($120.5 billion). The company is also taking a more hands-on role in infrastructure, hiring construction and supply-chain specialists and buying equipment such as cooling systems. The article notes that access to electricity and computing infrastructure is becoming a critical competitive advantage, while raising questions about returns on increasingly expensive capacity commitments.
- Anthropic Has Promised $417 Billion For Computing
Anthropic signed about $417 billion of new or expanded computing contracts in the first five months of 2026; by June 30, leases not yet started totaled $321 billion and noncancelable purchase commitments $266 billion, mostly not yet on the balance sheet. The filing calls them 'substantial fixed obligations', while the company held about $132 billion of cash, and the $80.7 billion first-half loss is largely a non-cash charge from convertible notes, with $72.4 billion from that line. The article notes compute cost as a share of revenue fell from about 200% a year earlier to about 55%: if that keeps falling, the commitments look like a growth plan, but if it rises again, they become a weight. It also compares this to telecom companies that borrowed heavily in 2000 to build capacity and went broke when prices fell faster than demand.
- 5 Huge Winners From Anthropic's IPO
Anthropic has filed its S-1 registration ahead of what is slated to be the largest IPO ever, likely debuting at a market cap of around $2 trillion. The filing shows plans to spend around $518 billion on computing infrastructure over the next decade, and since many businesses host Claude on servers leased from external cloud providers, total infrastructure needs could exceed that figure. The author expects Nvidia (NVDA), Broadcom (AVGO) and Taiwan Semiconductor (TSM) to benefit as AI data center build-outs continue, and says all three trade for less than 20 times next year's expected earnings. Amazon (AMZN) and Alphabet (GOOGL, GOOG), which host Anthropic's workloads on AWS and Google Cloud, earn revenue from compute used to train models and each time Claude is used. The author expects these five stocks to outperform the market over the next 5 years, while acknowledging uncertainty about how Anthropic will perform after its IPO.
- Nvidia weighs playing the cosigner for Nscale’s AI data center in West Virginia
According to The Information, later corroborated by Bloomberg, Nvidia is in talks to guarantee billions of dollars in debt financing for Nscale's planned Anthropic data center in West Virginia. Anthropic has signed a $44.6 billion contract for the first building alone, according to Nscale's IPO filing, and the companies are discussing a second deal worth roughly $45 billion. Under a residual value guarantee, Nvidia would step in if Nscale defaulted on construction payments, temporarily take over the facility, and help find a buyer or new tenant. Nscale is seeking a valuation of up to $35 billion in its IPO, but had about 25,000 advanced AI chips running in August, versus a planned nearly 500,000. One investor told The Information that Anthropic's involvement likely explains Nvidia's interest in keeping the project on track.
Related markets
Latest news
- Democrats map out an agenda to address affordability and corruption after midterm sweep
Newly elected Democratic majorities in the Senate and House plan to pass a flurry of bills soon after taking office in January, focusing on affordability, including high costs for gas and groceries, CNBC reports. In their first 100 hours, House Democrats plan to restore expired enhanced health insurance subsidies and reverse Medicaid cuts Trump signed last year, while the party also plans to push a bill undoing his sweeping tariffs and to vote again on ending the Iran war. Democrats are also mapping oversight investigations of Trump, his family, cabinet and business supporters, though Minority Leader Hakeem Jeffries said targets have not yet been evaluated. Sen. Ron Wyden, the top Democrat on the Senate Finance Committee, pledged to make billionaires pay their fair share of taxes and to scrutinize insurers and pharmaceutical CEOs. Some Democrats are also pushing an ethics package that could ban stock trading by officials and limit super PAC spending.
- These stocks have soared the most today after the Democrats trounced Trump
Stanley Black & Decker was the strongest performer in the S&P 500 today. Several tech companies and associated power providers posted sharp declines.
- Is Broadcom Stock a Buy Now?
Broadcom shares are down 31% from their all-time high and 4% since the start of 2026, hit by a semiconductor sell-off after Intel's disappointing fourth-quarter guidance. Yet the author notes fiscal third-quarter AI semiconductor revenue of $16.7 billion beat the $16 billion target, up 221% year over year, and total revenue reached $29.6 billion, up 86%. Management guided to $21.7 billion in AI semiconductor revenue for the fourth quarter, up 236%. Risks remain, including competition from Google's expanded Marvell partnership, and the stock trades at 28.3 times forward earnings. The author still considers the valuation justified by the results and finds the shares attractive below their peak.
- Canton Coin Gets SEC Nod as Wall Street Tokenization Heats Up
The SEC's Division of Corporation Finance said it views Canton Coin as a “digital commodity” and won't recommend enforcement action if validators and application providers mint the token programmatically without registering it. The staff relied on Canton's representations that the token's value comes from network operation and supply and demand, and that the network has no “central party.” Canton launched without an initial coin offering or premine, with tokens earned only by running network infrastructure and applications. The relief arrived a week after DTCC launched a tokenization service on Canton that lets firms convert DTC-held stocks and Treasuries into tokens, and Morgan Stanley said it was among the first banks to use it. The SEC noted the letter reflects only staff's enforcement position, not a legal conclusion, and rests on the facts Canton presented. Digital Asset, which created the Canton Network, raised $355 million earlier this year from Wall Street firms and a sovereign wealth fund.
- Blue Chips Surge Past 2.8% as VIX Drops Below 18 While Oil Sinks Nearly 8%
In a single session, the Dow jumped 2.87% to a record 53,275.11, the S&P 500 gained 1.74% and the Nasdaq Composite rose 1.89%, while the VIX fell to 17.08. WTI crude dropped 7.44% to $88.94 a barrel, while gold rose 3.38% to $4,073.40 an ounce and silver gained 5.16%. In earnings news, Amgen reported third-quarter total revenues up 8% to $10.4 billion, and Thomson Reuters' revenues rose 10% to $1,833 million. Agnico Eagle Mines posted quarterly net income of $1,353 million, or $2.67 per share, and returned $478 million to shareholders.
- Alphabet (GOOGL) Is Spending $15 Billion On Malaysia Data Centers
Alphabet (GOOGL) announced a US$15b investment in 2026 to expand Google data centers and AI infrastructure in Malaysia. The expansion includes new cloud facilities meant to serve regional AI demand from enterprise and public sector clients. In a separate development, an Alphabet shareholder sued senior executives, alleging Google's AI models were trained on copyrighted material without proper authorization. The article notes that if courts require tighter controls on training data or raise compliance costs, the AI services built on this infrastructure could face heavier constraints.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.