Public Bitcoin mining companies have reduced their network share by 21 percent over the past six months—a trend that is not coincidental, but a direct result of electricity and computing power now generating higher profits in artificial intelligence data centers.
Not long ago, following China's mining ban in 2021, American public companies were actively expanding their capacity by acquiring sites and ordering ASIC chips. The Bitcoin network's hash rate surpassed one zettahash per second. However, after the 2024 halving, mining economics deteriorated, while demand for AI computing power skyrocketed.
According to TheEnergyMag, the cumulative hash rate of public miners dropped from 368 EH/s in Q4 2025 to 319 EH/s in Q2 2026. Excluding Bitdeer, which continues to expand, the decrease was 21.2 percent. The Bitcoin network itself experienced a more modest reduction of 10.6 percent.
Core Scientific and TeraWulf are already generating more revenue from colocation and HPC than from Bitcoin mining. Core Scientific's revenue from hosting AI equipment reached $136.7 million, compared to $27.5 million from mining. TeraWulf has shifted 71 percent of its revenue to high-performance computing. Other companies—Riot, MARA, Bitdeer—are currently sticking with crypto, but they too are exploring new ventures.
This represents more than just a business shift. Capital and electricity are flowing to where margins are higher. Mining necessitated substantial investment in rapidly depreciating hardware, whereas AI computing offers long-term contracts and consistent demand. Companies such as Cango and Keel Infrastructure are already dismantling their American facilities to prepare sites for new data centers.
For investors and everyday cryptocurrency holders, the lesson is clear: Bitcoin's hash rate now hinges not just on the coin's price, but also on alternative methods of monetizing energy. When AI offers a superior return, miners dedicate their computing power accordingly.
