I know people are upset there is not rerate yet after the first great deal ? Any thoughts ? It seems to be related to current sector’ depression. Will CLSK become the first one which has no rerate after a large AI lease 😂. People are trying to find out reasons like waiting for financing / more lease but other miners got rerate long before financing / second lease. Maybe the rerate will happen when the sector recovers?
The new Meta Cloud is actually a good news for CLSK. They need a new cash cow besides social media and they have to compete with AWS / Google Cloud / MSFT Azure. Three ways to get more capacity:
(1) Build by itself. Is the slowest route.
(2) Colocation.
(3) NeoCloud. Most expensive.
META will not mainly rely on NeoCloud to offer cloud service due to the cost concern.
Anyway in future META will aggressively invest on self-build / colocation (faster than self-build) to lower overall cost. They probably want all of > 1 GW AI capacity from CLSK and that is why CLSK CEO said a portfolio cooperation with that tenant.
CLSK has a top 10 short interest. Within the top 10, CLSK also has the largest MC. That is probably why we are capped here until further news.
I think DGXX should have at least 1 B MC but right now we are sitting at only 600 MC. Any thoughts?
CLSK posted another position this week for Senior Corporate Counsel - Construction at Atlanta office. So right now two open positions for this role, one in Atlanta and another in Nevada office.
Another progress is that previously Accenture posted 8 positions for various construction managers at Sandersville and now only 6 left. So some of them have been filled. We are making progress.
I just looked at their earning call last month. The mentioned "Sealy has 285 megawatts approved with just over 200 megawatts scheduled to come to energize in the first half of 2027. Substation construction is already underway. We have strong visibility into the energization time line and are running a parallel commercialization process."
If they are discussing with the same tenant, the BOD / Tech could be mostly the same. The construction will take 1-1.5 years so it is reasonable to assume the first 200 MW at Sealy will get a deal soon and start the construction this year.
I heard hyperscalers can save at least 30 % using colocation, compared to buying capacities from neocloud. So they are definitely motivated to finish colocation deals.
I cannot blame shareholders showing anger under CLSK’ X social media posts. Every time they post something like “take their time” or “really executed well in the last four year”, shareholders has the right to be unpleasant. They should learn from other miners like KEEL, even if no deal yet but show progress and transparency, so they can keep the hype in social media. Their post is not professional and it makes people feel that they do not care about shareholders.
They need a better PR person for shareholders !!!
It is funny to read the comments under each CLSK X post. Several accounts attack CLSK non-stop. Shareholders are tired of waiting. Hopefully we will get some news soon.
Most miners will choose neocloud for their first customers for an easier entry. I just checked the last two earning call. After Feb call, the CEO said more updates in coming days and weeks, but in May call he avoids talking about any timeline expectations. My guess is that at the beginning, CLSK was trying to finalize a fast deal with a neocloud. But for some reasons then they decided to turn to a hyperscaler, even if shareholders may not be happy for longer wait.
Edit: I would say it is normal to change potential customers based on deal quality so I am not trying to spread FUD.
DGXX expect 2027 revenue from 90 MW colocation service which means they need to sign another 50 MW deal this year considering construction time. So it should be in the NY site ? Have they mentioned anything in the recent earnings call ?
Two scenarios for the first AI deal:
(1) Sign with a hyperscaler such as META
(2) Sign with a neo-cloud such as NBIS or Fluidstack, which provides services to hyperscalers.
Is there evaluation difference between these two scenarios ? It looks like deals with neo-cloud will be less attractive, right ?
Assume the total deal values are similar under both scenarios.
No matter the rumor is true or not. The BOD was finished in the last quarter (April was also possible). If the tenant is highly motivated as expected, it seems the deal can be signed within 2-5 months after tech aligned. Any thoughts ? If CLSK target 2027 for GPU running, it seems not much time left if you consider the 12-18 months construction time.
Edit: based on X posts, Accenture starts the construction managers hiring for 8 positions since one month ago at Sandersville, which seems to be related to CLSK GA projects.