Cipher Digital secures $9 billion in total projected revenue for Texas data center

Cipher Digital Inc. has secured a binding commitment for a second ten-year lease at its Barber Lake data center in Texas. Following an initial ten-year term with Fluidstack USA II Inc., an unnamed AI lab has committed to a subsequent ten-year lease.

This extension is expected to generate approximately US$5.2 billion in incremental revenue, bringing the total projected contracted revenue for the site to more than US$9 billion over two decades. The data center's individual halls are expected to be delivered between the fourth quarter of 2026 and the first quarter of 2027.

Cipher Digital CEO Tyler Page defended the decision to lock in these terms now, despite investor questions regarding the timing of the agreement. Addressing concerns that the company might have undersold the property by not waiting for higher spot rates, Page stated that the deal locks in current peak rates for a lease starting a decade from now, citing it as “evidence of a long-term sustained demand environment.”