Anthropic takes 20-year lease at TeraWulf’s Kentucky data center

Anthropic signed a 20-year lease on Monday to use a TeraWulf data center in Kentucky, CNBC reported, in a deal expected at the outset to produce about $19 billion in revenue. The site will have roughly 400 megawatts of capacity, with first power delivery anticipated in the second half of 2027, according to CNBC.

The facility is located about an hour southwest of Louisville, CNBC reported. The agreement links one of the artificial intelligence sector’s infrastructure buyers with a company that has been shifting its business from cryptocurrency mining toward AI data center infrastructure.

TeraWulf’s shares have risen more than 80% this year, according to CNBC. The stock move reflects investor attention on companies that can provide powered data center capacity, a constraint for AI developers as they expand compute-intensive services.

Power capacity at the center of the deal

Data center leases of this type are tied to access to physical infrastructure and power capacity rather than software alone. A megawatt figure measures the electrical load a facility can support. For AI workloads, that capacity is a central input because advanced models require large clusters of chips, cooling systems and reliable power delivery.

CNBC reported that the Kentucky data center will have capacity of around 400 megawatts. The expected first power delivery in the second half of 2027 means the economics of the lease will depend in part on the buildout and energization schedule for the site.

The reported $19 billion in initial expected revenue indicates the lease is a long-duration infrastructure commitment. A 20-year term gives the data center operator visibility on contracted demand, while the customer secures access to capacity in a market where power availability and site readiness can limit deployment timelines.

TeraWulf’s pivot from crypto to AI infrastructure

CNBC described TeraWulf as a cryptocurrency mining company that has pivoted to AI data center infrastructure. The two businesses share some operational requirements, including large power connections and facilities built to run energy-intensive computing equipment, though the end markets differ.

Cryptocurrency mining facilities use computing power to support blockchain networks. AI data centers are designed to host the servers and chips used to train or run artificial intelligence systems. For companies with existing power access and data center expertise, AI demand has created an adjacent market for infrastructure services.

Anthropic, known for its Claude AI systems, is among the companies competing for the computing capacity needed to develop and operate large AI models. CNBC’s report did not disclose additional financial terms beyond the expected initial revenue figure, nor did it detail the specific AI workloads planned for the Kentucky site.

The agreement adds to a broader pattern of large technology and AI companies securing long-term access to energy-backed data center capacity. For operators and investors, the key variables remain power delivery, construction execution and the durability of demand from AI customers over the contract period.

This story draws on original reporting from CNBC.