Russian Bitcoin mining supplier to spend over $130m on AI data centers: report

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As a seasoned crypto investor with a keen interest in the latest developments within the industry, I’m always on the lookout for promising news that could potentially impact my investments. The recent report about Intelion’s plans to invest over $130 million in AI data centers has piqued my curiosity.

According to reports, Intelion, a leading supplier of crypto mining equipment in Russia, is contemplating investing approximately $130 million for establishing AI data centers.

According to Russian media RBC, Intelion – a Moscow-based crypto mining supplier – intends to invest approximately 12 billion Russian rubles (over $130 million) in procuring server equipment for setting up AI data centers. This information was shared by Maxim Vyaznikov, the head of Intelion Cloud.

According to the findings, Intelion, including its Dubai division, currently uses Nvidia’s A100 chips in their servers. This is noteworthy given that, as of 2022, the U.S. Department of Commerce has prohibited the sale of these specific chips to China and Russia.

Intelion is set to establish its new computing infrastructure at a data center now being built in the Samara region, with the initial operation of this data center projected for Q4 2024. The firm intends to inject over 4 billion Russian rubles (around $44.7 million) into the project during the next 2.5 years.

As a researcher, I’ve observed that Intelion, which previously concentrated on importing mining rigs, seems to be pivoting its business strategy. Instead of continuing with the mining equipment imports, it is now positioning itself to offer AI-related cloud services. Leveraging its existing resources, Intelion aims to join other Russian companies in tapping into the growing potential of the AI industry.

Around the beginning of 2024, crypto.news announced that BitRiver, a Bitcoin mining firm under OFAC sanctions, intends to debut an AI-centric data center in Russia by the latter half of 2024. As mentioned by Sergey Bezdelov, the head of the Industrial Mining Association, this data center is projected to boast a power capacity of 100 megawatts.

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2024-06-12 15:57