Bitcoin Miner Revolve Labs Plans $60M AI Data Center in Minnesota

Bitcoin mining colocation provider Revolve Labs is reportedly planning to build AI data centers in central Minnesota after withdrawing a mining expansion proposal due to community opposition.

As reported by the Minnesota Star Tribune on Saturday, Revolve Labs held meetings with the Glencoe Economic Development Authority in September, planning to expand its facilities in the city to accommodate one or two AI data centers, along with cooling systems and backup generators.

The project is projected to have a 10-megawatt capacity and employ about 10 people, with an estimated cost of $40 million to $60 million. The McLeod County Chronicle reported that as part of Revolve Labs’ proposal, they intend to purchase two parcels of land totaling 6.2 acres and construct a power substation for the expansion.

The convergence of Bitcoin mining and AI data centers appears to be a growing trend, with both public and private operators considering pivots to capitalize on the potential benefits of both revenue streams.

Revolve Labs currently operates a Bitcoin mining facility in Glencoe with a capacity of approximately 20 megawatts, powering 537 PH/s. The company had previously sought to increase its mining capacity in Windom, Minnesota but withdrew the application after community resistance due to noise concerns, as reported last month.

Revolve Labs’ existing mining facility in Glencoe has also faced criticism for its noise levels. Jeff St. Onge, a senior operations manager at the company, reportedly stated that the new site would feature built-in measures to reduce noise concerns, noting that “AI is much quieter than crypto mining.”

Meanwhile, Bitcoin mining has generated notable power revenues for the city, funding streetlight projects and preventing electrical rate hikes over the past five years.

Dave Meyer, general manager of the Glencoe Light and Power Commission, told the Minnesota Star Tribune that the city’s project with Revolve Labs generated more than half a million dollars in net annual revenue. “It’s a revenue stream that goes into our coffers and, quite frankly, keeps everything cheaper,” Meyer was quoted as saying.

A public hearing for Revolve Labs’ zoning application for the AI data center expansion is scheduled for October 29.