Coin World Report:
Northern Data Group announced on Monday that it is considering selling its Bitcoin mining company, Peak Mining, to strengthen its artificial intelligence products. The artificial intelligence and high-performance computing (HPC) solution company, majority-owned by stablecoin giant Tether, is exploring the divestment of Peak Mining “to focus on accelerating its artificial intelligence solution business,” Northern Data said in a statement on Monday.
The company stated that this divestment will enable Northern Data to establish its generative artificial intelligence cloud platform and data center portfolio, making it a “pure-play artificial intelligence solution business.”
“Our goal is to provide a seamless artificial intelligence ecosystem where customers can access intelligent, sustainable solutions…and provide them with the tools they need to achieve breakthroughs that could potentially change the course of history,” said Rosanne Kincaid-Smith, Chief Operating Officer of Northern Data, in a statement on Monday.
It is currently unclear when Northern Data plans to sell Peak Mining and the expected price of the sale. Northern Data did not immediately respond to Decrypt’s request for comment.
According to its statement, the company plans to use any proceeds from the potential sale of Peak Mining to invest in the development and growth of its artificial intelligence product platform, including new software tools and a range of hosting services. It is also considering investing in additional data centers and GPUs to power artificial intelligence computing.
According to the company’s financial data, Northern Data reported revenues of €26 million (approximately $28 million) in Q2 2024 and €59 million (nearly $64 million) in Q3 2024, as reported in the recent report. These revenues were not segmented by business vertical and came from the company’s data center, cloud, and Bitcoin mining businesses.
As the company acquires data facilities, global energy consumption is expected to surge, primarily due to the increasing use of artificial intelligence tools. According to a Goldman Sachs research report released in May 2024, power demand derived from data centers may increase by 160% by 2030 due to the use of artificial intelligence. The report states that the electricity required to process ChatGPT queries is approximately 10 times that needed for generating Google searches.
Editor: Andrew Hayward
