Bitcoin miner Hive Blockchain is going through an AI

The company said in February it expects 10x growth in its high-performance computing business over the next year

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Bitcoin miner Hive Blockchain Technologies is set to undergo a name change to reflect its focus on supporting the growth of artificial intelligence, or AI.

The company is set to become Hive Digital Technologies as soon as July 12 as part of “a significant strategic expansion,” the company said in a Thursday news release.

The upcoming rebrand reflects Hive’s use of Nvidia graphics processing unit (GPU) chips, which the company says is “a vital tool” in the world of AI, machine learning and advanced data analysis.

“We feel now is the best time to change its name because the word ‘digital’ means we are riding a bigger wave,” Hive Executive Chair Frank Holmes told Blockworks in an email. “Hive Digital Technologies encompasses a broader scope of our company’s mission, which ranges from not just blockchain technology, but also Web3 investments and AI.”

Holmes added the “enormous adoption of AI across every industry,” citing ChatGPT — a natural language processing tool introduced by OpenAI in November that reached an estimated 100 million users just months after its launch.

“To run efficiently, these metaverse apps will need advanced graphics and AI processors, increasing investments in high-performance AI chips from companies such as Nvidia and in data center operators — and that is where Hive comes in,” Holmes said. “We are rapidly scaling, with new chips coming in every month and moving to servers.”

Hive notched $106 million of revenue during its latest fiscal year, which ended on March 31, the company reported last week.

The Vancouver-based miner grew its bitcoin mining ASIC hashrate by 50% during those 12 months. It held 2,332 bitcoins — worth about $66 million — on its balance sheet at that time.

Holmes said in a statement last week the company has taken “significant steps forward in pivoting into the [high performance computing] business marketplace, with our 38,000 Nvidia GPUs, which have the capability to do AI workload.”

The company said in February it anticipates 10x growth in Hive’s high-performance computing (HPC) segment over the next year, citing demand for ChatGPT, medical research, machine learning and rendering.

Hive is not the only mining company looking to boost its high performance computing business.

Read more: Bitcoin miners are pivoting to new markets and making bank

Toronto-based Hut 8 said while its revenue from bitcoin mining fell 70% in the first quarter of 2023 to $14.5 million, revenue from HPC operations rose 36% to $4.5 million.

Iris Energy, based in Australia, said last month its “previous HPC data center strategy is now a parallel focus” to its mining operations.

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