TeraWulf stock jumps 78 percent as Google boosts stake to 14 percent

TeraWulf stock experienced a sharp rise in late July and early August 2025 following an increase in Google’s stake in the company to 14 percent. The investment, backed by an additional $1.4 billion in financing, brings Google’s total funding to $3.2 billion, reflecting a long-term commitment to TeraWulf’s business strategy [1]. Unlike traditional equity investments, Google is not assuming TeraWulf’s corporate debt, but instead underwriting a portion of revenue tied to AI hosting and high-performance computing leases, reducing financial risk for the company [2].

This move signals a strategic shift for TeraWulf, which is pivoting from pure bitcoin mining toward AI infrastructure. While the company continues to operate mining facilities for short-term cash flow, its long-term growth is increasingly tied to AI hosting. Two existing agreements with Fluidstack have already secured $3.7 billion in contracted revenue, with potential to expand to $8.7 billion through contract extensions [3]. Google’s involvement provides stability, enabling TeraWulf to accelerate its Lake Mariner project and deliver 200 megawatts of new capacity by 2026 [4].

The stock response was immediate and pronounced, with TeraWulf shares rising over 78 percent in a week, far outpacing broader market indices [5]. Analysts have highlighted that Google’s dual role as both investor and customer strengthens TeraWulf’s position, linking capital with guaranteed demand. Some industry observers suggest that if a significant portion of miners transitioned to AI hosting, the sector could see a meaningful boost in profitability [6].

Meanwhile, TeraWulf is expanding its footprint in New York, with Fluidstack securing an additional 160 megawatts of capacity for its data center operations. This aligns with the company’s vision of becoming a hybrid provider of green energy and AI infrastructure. The development reinforces TeraWulf’s role in the AI infrastructure market, particularly as demand for computing power surges.

The convergence of crypto mining and AI hosting is gaining traction, with companies like TeraWulf demonstrating how facilities originally built for low-cost energy can be repurposed for high-density computing. The strategic backing from Google not only validates this model but also sets a precedent for other mining firms considering a pivot toward AI.

While the opportunity is substantial, risks remain, including the pace of demand growth and the ability to meet aggressive timelines. However, the fact that Google is willing to invest billions underscores the viability of the transition. For now, TeraWulf is emerging as a hybrid player with ambitions in both digital assets and AI infrastructure [7].

Source:

[1] Mitrade

https://www.mitrade.com/insights/news/live-news/article-3-1048832-20250819

[2] Coинфомания

https://coinfomania.com/terawulf-stock-rises-as-google-increases-stake-to-14-percent/

[3] Coинфомания

[4] Coинфомания

[5] FINVIZ.com

https://finviz.com/news/143483/terawulf-wulf-jumps-783-on-google-backing

[6] Coинфомания

[7] Data Center Dynamics

https://www.datacenterdynamics.com/en/news/fluidstack-to-lease-another-160mw-of-capacity-from-terawulf-at-new-york-campus-google-to-increase-stake-in-cryptominer/