Why is the Muskie Data Campus important for Terawulf?

The campus significantly expands Terawulf's power-backed infrastructure footprint and supports its strategy of becoming a major AI and high-performance computing operator. Access to large-scale power capacity is increasingly viewed as a competitive advantage in the AI sector.

How large is Terawulf's planned AI infrastructure buildout?

Terawulf plans to develop more than 1 gigawatt of computing capacity at the Kentucky site. The first 500 megawatts are targeted for the second half of 2028, with the remaining 500 megawatts expected by the second half of 2030.

Why did Terawulf shares rise after the announcement?

Investors reacted positively to the expansion plan and the company's growing exposure to AI infrastructure. Terawulf shares rose as much as 13.6% as the market focused on future AI revenue opportunities and long-term growth potential.

How is Terawulf shifting away from bitcoin mining?

Terawulf has been repositioning itself from a pure bitcoin mining company into a digital infrastructure and AI computing business. The transition reflects growing demand for data centres and high-performance computing services.

Has AI become a meaningful business for Terawulf?

Yes. The company reported that AI compute revenue increased 117% in the latest quarter and surpassed bitcoin mining revenue for the first time in the first quarter of 2026. This marks a major shift in the company's revenue mix.

What role does power infrastructure play in Terawulf's strategy?

Management believes power access is now the most important constraint in AI infrastructure development. Securing power, transmission capacity and development-ready sites gives Terawulf an advantage as demand for AI computing grows.

How is Terawulf funding its AI expansion?

The company's broader infrastructure buildout is supported by a $3 billion financing package arranged through Morgan Stanley and backed by Google. This provides capital for large-scale data centre development over multiple years.

Image for illustrative purposes only. Not a real photo.

Terawulf targets 1GW AI campus expansion

Q: What did Terawulf announce?

Terawulf announced the acquisition of the Muskie Data Campus in eastern Kentucky. The site is expected to support more than 1 gigawatt of AI and high-performance computing capacity, making it one of the company's largest infrastructure projects.

Written by Brie CarterPublished May. 29 2026Last Updated May. 29 2026

Terawulf has acquired a major Kentucky data centre development site as the company accelerates its transition from bitcoin mining to artificial intelligence infrastructure.

The Nasdaq-listed company said the Muskie Data Campus in eastern Kentucky is expected to support more than 1 gigawatt of AI and high-performance computing capacity, with the first 500 megawatts targeted for deployment in the second half of 2028.

“The defining constraint in this market is no longer computing hardware; it is power, transmission infrastructure, and execution certainty,”

Said Terawulf chairman and chief executive, Paul Prager.

The acquisition expands Terawulf’s digital infrastructure footprint in Kentucky, where it already operates the 480-megawatt Justified Data campus in Hancock County.

Investors responded positively to the announcement, sending Terawulf shares up as much as 13.6% to their highest level in about three weeks as confidence grew in the company’s AI-focused growth strategy.

The shift toward high-performance computing is already reshaping Terawulf’s business, with AI compute revenue increasing 117% in the latest quarter and surpassing bitcoin mining revenue for the first time in the first quarter of 2026.

Terawulf’s expansion is supported by a $3 billion financing package arranged by Morgan Stanley and backed by Google, placing the company among a growing group of former crypto miners pivoting toward AI infrastructure as demand for computing power accelerates.