Bitcoin miner Core Scientific posts $580M Q1 profit but misses revenue estimates

Nasdaq-listed Bitcoin mining firm Core Scientific Inc. posted a net profit of $580 million with its first quarter results, but missed analyst revenue estimates after a drop in its mining profits.

Core Scientific’s Q1 2025 results, shared on May 7, saw it more than double its $210 million net income from the year-ago quarter, while its total revenue reached $79.5 million, missing Zacks analysts’ estimates by 8.11%, and falling from its $179.3 million in revenues for Q1 2024. 

The firm’s primary source of revenue came from $67.2 million in self-mining revenue, $3.8 million in hosted mining revenue, and $8.6 million in colocation, formerly listed as high-performance computing (HPC) hosting.

Bitcoin miner Core Scientific posts $580M Q1 profit but misses revenue estimates
Source: Core Scientific

Core Scientific said its drop in Bitcoin (BTC) mined and revenue was due to the halving on April 20, 2024, when mining rewards were cut from 6.25 BTC to 3.125 BTC, and its operational shift to HPC hosting, primarily used for artificial intelligence.

However, the losses were partially offset by a 74% increase in the average price of Bitcoin and a 33% decrease in power costs due to lower rates and usage. 

As part of its HPC hosting shift, Core Scientific inked a deal in February with AI startup CoreWeave for a $1.2 billion data center expansion. As a result, Core Scientific anticipates entering 2026 with annualized colocation revenue of $360 million.

Inflection point for miners in AI shift

Core Scientific CEO Adam Sullivan said in a statement that its first quarter was an “inflection point,” as the firm positioned itself at the “center of one of the most important shifts in modern computing,” as the demand for high-performance data infrastructure has accelerated.

Related: Robinhood beats Q1 estimates despite revenue, crypto trading dip

Shares in Core Scientific (CORZ) closed May 7 trading down 1%, falling to $8.90, according to Google Finance. However, they jumped over 3% to trade at $9.24 after the bell.

Bitcoin miner Core Scientific posts $580M Q1 profit but misses revenue estimates
Core Scientific’s stock has jumped slightly after the bell, after dropping during the regular session. Source: Google Finance 

In an August report, asset manager VanEck estimated that if publicly traded Bitcoin mining companies shifted 20% of their energy capacity to AI and HPC by 2027, they could increase additional yearly profits by $13.9 billion over 13 years.

Riot Platforms appointed three new directors to its board in February, one of whom has experience converting Bitcoin mining assets toward HPC.

Hive Digital, Hut 8 and Iris Energy converted part of their operations to HPC and AI last year, and TeraWulf sold its stake in a Bitcoin mining facility for $92 million in October, with the proceeds marked for hosting AI and building HPC data centers. 

Magazine: Adam Back says Bitcoin price cycle is ’10x bigger’, has ’empathy’ for ETF buyers

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Arizona governor signs law for state to keep unclaimed crypto

Arizona Governor Katie Hobbs has signed a bill into law allowing the US state to keep unclaimed crypto and establish a “Bitcoin Reserve Fund” that won’t use any taxpayer money or state funds.

Hobbs signed House Bill 2749 into law on May 7, which allows Arizona to claim ownership of abandoned digital assets if the owner fails to respond to communications within three years.

The state’s custodians can stake the crypto to earn rewards or receive airdrops, which can then be deposited into what Arizona has called a Bitcoin and Digital Asset Reserve Fund.

“This law ensures Arizona doesn’t leave value sitting on the table and puts us in a position to lead the country in how we secure, manage, and ultimately benefit from abandoned digital currency,” the bill’s sponsor, Jeff Weninger, said in a May 7 statement.

Arizona governor signs law for state to keep unclaimed crypto
Arizona House Representative Jeff Weninger’s statement on the signing of HB 2749 into law. Source: Jeff Weninger

“We’ve built a structure that protects property rights, respects ownership, and gives the state tools to account for a new category of value in the economy,” Weninger added.

On May 3, Hobbs vetoed a similar Bitcoin (BTC) reserve bill, Senate Bill 1025, which would have allowed the state to invest seized funds into Bitcoin, citing concerns over using public funds for “untested assets.”

Hobbs’ move gives hope for future crypto bills

Bitcoin Laws founder Julian Fahrer said on X that Hobbs’ signing of HB 2749 offers more hope that she may also sign Senate Bill 1373, which is currently on her desk.

Related: Bitcoin bros at ‘the club’ may stop US gov’t from buying BTC — Arthur Hayes

SB 1373 would authorize Arizona’s treasurer, currently Kimberly Yee, to allocate up to 10% of Arizona’s Budget Stabilization Fund into Bitcoin. 

The bill’s passage in Arizona follows New Hampshire Governor Kelly Ayotte on May 6 signing House Bill 302 into law, allowing her state’s treasury to use funds to invest in cryptocurrencies with a market capitalization of more than $500 billion.

Bitcoin is currently the only cryptocurrency that meets that threshold.

Magazine: Crypto wanted to overthrow banks, and now it’s becoming them in stablecoin fight

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Binance founder CZ asked Trump to pardon money laundering conviction

Binance founder and convicted felon Changpeng Zhao says that he applied for a pardon from US President Donald Trump shortly after denying reports that he was seeking one.

Zhao, also known as CZ, said on a Farokh Radio podcast episode aired May 6 that he “wouldn’t mind” a pardon and that his lawyers have already filed the paperwork on his behalf

“I got lawyers applying,” Zhao said, adding that he submitted the request after Bloomberg and The Wall Street Journal reported in March that he was seeking a pardon from Trump amid discussions of a business deal between the Trump family and Binance.US.

Zhao denied the reports at the time, but said on the podcast that he thought “if they’re writing this article, I may as well just officially apply.”

He added that Trump’s pardon of three BitMEX founders, including Arthur Hayes, also motivated him to submit an application.

Zhao said the application was submitted about two weeks ago.

Binance founder CZ asked Trump to pardon money laundering conviction
Changpeng Zhao (right) speaking with Farokh Sarmad (left). Source: Farokh Radio

Zhao said at the time of the Bloomberg and Wall Street Journal reports that “no felon would mind a pardon,” and claimed he is the only person in US history to serve prison time for a Bank Secrecy Act charge.

Zhao pleaded guilty to a money laundering charge in November 2023 as part of a deal Binance reached with US authorities, which saw it pay a $4.3 billion fine, to which Zhao contributed $50 million. He was also forced to step down as CEO.

Zhao was later sentenced to four months in prison and was prohibited from working at Binance as part of his plea deal.

Related: VanEck files for BNB ETF, first in US

According to the US Department of Justice, a pardon would not erase Zhao’s money laundering conviction; however, it could potentially allow him to assume a management or operational role at Binance.US.

Zhao has no plans to return as Binance CEO

While Zhao remains a Binance shareholder, he said in November at Binance Blockchain Week that he has “no plans to return to the CEO position.” 

“I feel the team is doing well and doesn’t need me back,” Zhao said.

Since leaving prison, Zhao has commenced advisory roles in Pakistan and Kyrgyzstan, assisting on matters related to crypto regulation and implementing blockchain solutions.

Magazine: Bitcoiner Adam Back on Blockstream conspiracy theories and Satoshi question

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Fintech giant Stripe announced Wednesday a slew of new product launches at its annual Stripe Sessions user event. The highlights include a new AI foundation model for payments; stablecoin-powered accounts; a new Orchestration offering, and a recent migration with chip behemoth Nvidia. Stripe’s payments foundation model has been trained on tens of billions of transactions, […]
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Wednesday, May 21, 2025

Big Tech’s appetite for energy is growing rapidly as adoption of AI accelerates. But just how much energy does even a single AI query use? And what does it mean for the climate? Join editor in chief Mat Honan, senior climate reporter Casey Crownhart, and AI reporter James O’Donnell for a conversation exploring AI’s energy demands now and in the future.

Going live on May 21st at 18:30 GMT / 1:30 PM ET / 10:30 AM PT

Related Content:

Speakers

Mat Honan
Editor in Chief
Casey Crownhart
Climate Reporter
James O'Donnell, AI reporter
James O’Donnell
AI Reporter

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Manufacturing is in a state of flux. From supply chain disruptions to rising costs, tougher environmental regulations, and a changing consumer market, the sector faces a series of competing challenges.

But a new way of operating offers a way to tackle complexities head-on: adaptive production hardwires flexibility and resilience into the enterprise, drawing on powerful tools like artificial intelligence, digital twins, and robotics. Taking automation a step further, adaptive production allows manufacturers to respond in real time to demand fluctuations, adapt to supply chain disruptions, and autonomously optimize operations. It also facilitates an unprecedented level of personalization and customization for regional markets.

Time to adapt

The journey to adaptive production is not just about addressing today’s pressures, like rising costs and supply chain disruptions—it’s about positioning businesses for long-term success in a world of constant change. “In the coming years,” says Jana Kirchheim, director of manufacturing for Microsoft Germany, “I expect that new key technologies like copilots, small language models, high-performance computing, or the adaptive cloud approach will revolutionize the shop floor and accelerate industrial automation by enabling faster adjustments and re-programming for specific tasks.” These capabilities make adaptive production a transformative force, enhancing responsiveness and opening doors to systems with increasing autonomy—designed to complement human ingenuity rather than replace it.

These advances enable more than technical upgrades—they drive fundamental shifts in how manufacturers operate. John Hart, professor of mechanical engineering and director of MIT’s Center for Advanced Production Technologies, explains that automation is “going from a rigid high-volume, low-mix focus”—where factories make large quantities of very few products—“to more flexible high-volume, high-mix, and low-volume, high-mix scenarios”—where many product types can be made in custom quantities. These new capabilities demand a fundamental shift in how value is created and captured.

Download the full report.

This content was produced by Insights, the custom content arm of MIT Technology Review. It was not written by MIT Technology Review’s editorial staff.

This content was researched, designed, and written entirely by human writers, editors, analysts, and illustrators. This includes the writing of surveys and collection of data for surveys. AI tools that may have been used were limited to secondary production processes that passed thorough human review.

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This is today’s edition of The Download, our weekday newsletter that provides a daily dose of what’s going on in the world of technology.

This patient’s Neuralink brain implant gets a boost from generative AI

Last November, Bradford G. Smith got a brain implant from Elon Musk’s company Neuralink. The device, a set of thin wires attached to a miniscule computer that sits in his skull, lets him use his thoughts to move a computer pointer on a screen. And by last week he was ready to reveal it in a post on X.

Smith’s case is drawing interest because he’s not only communicating via a brain implant but also getting help from Grok, Musk’s AI chatbot. The generative AI is speeding up the rate at which he can communicate, but it also raises questions about who is really talking—him or Musk’s software. Read the full story.

—Antonio Regalado

MIT Technology Review Narrated: How Trump’s tariffs could drive up the cost of batteries, EVs, and more

The Trump administration’s hostile trade plans threaten to slow the shift to cleaner industries, boost inflation, and stall the economy.

This is our latest story to be turned into a MIT Technology Review Narrated podcast, which we’re publishing each week on Spotify and Apple Podcasts. Just navigate to MIT Technology Review Narrated on either platform, and follow us to get all our new content as it’s released.

The must-reads

I’ve combed the internet to find you today’s most fun/important/scary/fascinating stories about technology.

1 NSO Group has been ordered to pay Meta $167 million
After the Israeli firm’s spyware was used to hack journalists, activists, and politicians. (NYT $)
+ The firm has been implicated in abusive surveillance before. (Reuters)

2 OpenAI plans to reduce the fraction of its revenue Microsoft receives
It told investors it plans to slash the shared revenue from 20% to 10%. (The Information $)
+ Its for-profit U-turn is not yet a done deal. (Bloomberg $)+ We still don’t know a lot about OpenAI’s structure. (Economist $)

3 The Trump administration is axing the Energy Star program
The project certifies the energy efficiency of home appliances in the US. (WP $)

4 The US Justice Department wants Google to sell its ad businesses
But Google claims it’s not technically feasible. (WSJ $)
+ The judge says he’ll rule on the remedies by August. (The Information $)

5 Grok AI is undressing women on X
That’s what happens when you create AI models without proper guardrails. (404 Media)
+ Text-to-image AI models can be tricked into generating nude images. (MIT Technology Review)

6 Private investors are prepared to plow billions into Europe’s defense industry
They’re stepping up to fill gaps that governments can’t fund. (FT $)
+ The US is likely to strike a weapons deal in Riyadh next week. (Semafor)
+ Phase two of military AI has arrived. (MIT Technology Review)

7 Can anyone stop Starlink?
The speed of its total dominance of the satellite sector is unprecedented. (The Atlantic $)
+ The world’s next big environmental problem could come from space. (MIT Technology Review)

8 Amazon’s new robot has a sense of touch
To help it grab items in the e-retail giant’s warehouses. (The Guardian)
+ The Vulcan robot could end up shouldering more manufacturing work in the future. (Wired $)
+ Will we ever trust robots? (MIT Technology Review)

9 Argentina is investing big in nuclear-powered AI data centers
In an effort to attract big tech firms from overseas. (Rest of World)
+ Meanwhile, the Zaporizhzhia nuclear power plant in Ukraine is still not operational. (IEEE Spectrum)
+ China built hundreds of AI data centers to catch the AI boom. Now many stand unused. (MIT Technology Review)

10 RIP prompt engineering
The hottest job of 2023 is quickly fizzling out. (Fast Company $)

Quote of the day

“I think upper class households will be able to have something that makes your Roomba look like a total joke.”

—Reddit cofounder Alexis Ohanian believes that advanced robot domestic helpers are imminent, Insider reports.

One more thing

Is this the end of animal testing?

Animal studies are notoriously bad at identifying human treatments. Around 95% of the drugs developed through animal research fail in people, but until recently there was no other option.

Now organs on chips, also known as microphysiological systems, may offer a truly viable alternative. They’re triumphs of bioengineering, intricate constructions furrowed with tiny channels that are lined with living human tissues that expand and contract with the flow of fluid and air, mimicking key organ functions like breathing, blood flow, and peristalsis, the muscular contractions of the digestive system.

It’s only early days, but if they work as hoped, organs on chips could solve one of the biggest problems in medicine today. Read the full story.

—Harriet Brown

We can still have nice things

A place for comfort, fun and distraction to brighten up your day. (Got any ideas? Drop me a line or skeet ’em at me.)

+ If you enjoyed this year’s Met Gala theme, check out this fascinating history of the Black dandy in art.
+ 2025 is shaping up to be a great year for literature.
+ The good news is that GTA VI finally has a release date—but it’s over a year away.
+ Chocolate pie for breakfast? I could be convinced.

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Last November, Bradford G. Smith got a brain implant from Elon Musk’s company Neuralink. The device, a set of thin wires attached to a computer about the thickness of a few quarters that sits in his skull, lets him use his thoughts to move a computer pointer on a screen. 

And by last week he was ready to reveal it in a post on X.

“I am the 3rd person in the world to receive the @Neuralink brain implant. 1st with ALS. 1st Nonverbal. I am typing this with my brain. It is my primary communication,” he wrote. “Ask me anything! I will answer at least all verified users!”

Smith’s case is drawing interest because he’s not only communicating via a brain implant but also getting help from Grok, Musk’s AI chatbot, which is suggesting how Smith can add to conversations and drafted some of the replies he posted to X. 

The generative AI is speeding up the rate at which he can communicate, but it also raises questions about who is really talking—him or Musk’s software. 

“There is a trade-off between speed and accuracy. The promise of brain-computer interface is that if you can combine it with AI, it can be much faster,” says Eran Klein, a neurologist at the University of Washington who studies the ethics of brain implants. 

Smith is a Mormon with three kids who learned he had ALS after a shoulder injury he sustained in a church dodgeball game wouldn’t heal. As the disease progressed, he lost the ability to move anything except his eyes, and he was no longer able to speak. When his lungs stopped pumping, he made the decision to stay alive with a breathing tube.

Starting in 2024, he began trying to get accepted into Neuralink’s implant study via “a campaign of shameless self-promotion,” he told his local paper in Arizona: “I really wanted this.”

The day before his surgery, Musk himself appeared on a mobile phone screen to wish Smith well. “I hope this is a game changer for you and your family,” Musk said, according to a video of the call.

“I am so excited to get this in my head,” Smith replied, typing out an answer using a device that tracks his eye movement. This was the technology he’d previously used to communicate, albeit slowly.

Smith was about to get brain surgery, but Musk’s virtual appearance foretold a greater transformation. Smith’s brain was about to be inducted into a much larger technology and media ecosystem—one of whose goals, the billionaire has said, is to achieve a “symbiosis” of humans and AI.

Consider what unfolded on April 27, the day Smith  announced on X that he’d received the brain implant and wanted to take questions. One of the first came from “Adrian Dittmann,” an account often suspected of being Musk’s alter ego.

Dittmann: “Congrats! Can you describe how it feels to type and interact with technology overall using the Neuralink?”

Smith: “Hey Adrian, it’s Brad—typing this straight from my brain! It feels wild, like I’m a cyborg from a sci-fi movie, moving a cursor just by thinking about it. At first, it was a struggle—my cursor acted like a drunk mouse, barely hitting targets, but after weeks of training with imagined hand and jaw movements, it clicked, almost like riding a bike.”

Another user, noting the smooth wording and punctuation (a long dash is a special character, used frequently by AIs but not as often by human posters), asked whether the reply had been written by AI. 

Smith didn’t answer on X. But in a message to MIT Technology Review, he confirmed he’d used Grok to draft answers after he gave the chatbot notes he’d been taking on his progress. “I asked Grok to use that text to give full answers to the questions,” Smith emailed us. “I am responsible for the content, but I used AI to draft.”

The exchange on X in many ways seems like an almost surreal example of cross-marketing. After all, Smith was posting from a Musk implant, with the help of a Musk AI, on a Musk media platform and in reply to a famous Musk fanboy, if not actually the “alt” of the richest person in the world. So it’s fair to ask: Where does Smith end and Musk’s ecosystem begin? 

That’s a question drawing attention from neuro-ethicists, who say Smith’s case highlights key issues about the prospect that brain implants and AI will one day merge.

What’s amazing, of course, is that Smith can steer a pointer with his brain well enough to text with his wife at home and answer our emails. Since he’d only been semi-famous for a few days, he told us, he didn’t want to opine too much on philosophical questions about the authenticity of his AI-assisted posts. “I don’t want to wade in over my head,” he said. “I leave it for experts to argue about that!”

The eye tracker Smith previously used to type required low light and worked only indoors. “I was basically Batman stuck in a dark room,” he explained in a video he posted to X. The implant lets him type in brighter spaces—even outdoors—and quite a bit faster.

The thin wires implanted in his brain listen to neurons. Because their signals are faint, they need to be amplified, filtered, and sampled to extract the most important features—which are sent from his brain to a MacBook via radio and then processed further to let him move the computer pointer.

With control over this pointer, Smith types using an app. But various AI technologies are helping him express himself more naturally and quickly. One is a service from a startup called ElevenLabs, which created a copy of his voice from some recordings he’d made when he was healthy. The “voice clone” can read his written words aloud in a way that sounds like him. (The service is already used by other ALS patients who don’t have implants.) 

Researchers have been studying how ALS patients feel about the idea of aids like language assistants. In 2022, Klein interviewed 51 people with ALS and found a range of different opinions. 

Some people are exacting, like a librarian who felt everything she communicated had to be her words. Others are easygoing—an entertainer felt it would be more important to keep up with a fast-moving conversation. 

In the video Smith posted online, he said Neuralink engineers had started using language models including ChatGPT and Grok to serve up a selection of relevant replies to questions, as well as options for things he could say in conversations going on around him. One example that he outlined: “My friend asked me for ideas for his girlfriend who loves horses. I chose the option that told him in my voice to get her a bouquet of carrots. What a creative and funny idea.” 

These aren’t really his thoughts, but they will do—since brain-clicking once in a menu of choices is much faster than typing out a complete answer, which can take minutes. 

Smith told us he wants to take things a step further. He says he has an idea for a more “personal” large language model that “trains on my past writing and answers with my opinions and style.”  He told MIT Technology Review that he’s looking for someone willing to create it for him: “If you know of anyone who wants to help me, let me know.”

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