Starboard Value Urges Riot Platforms' AI/HPC Pivot

Activist investor Starboard Value LP has urged Riot Platforms to accelerate its transition from Bitcoin mining to becoming a premier artificial intelligence and high-performance computing (AI/HPC) data center provider. Starboard Value, a significant shareholder, believes Riot Platforms has a 'massive' opportunity due to its 1.7GW of available power across two Texas sites, which are highly attractive given the AI industry's power constraints. They highlighted Riot Platforms' January 2026 deal with AMD as a positive proof of concept, projecting significant revenue and EBITDA from monetizing its remaining capacity. Starboard Value estimates the AI/HPC business alone could contribute between $9 billion and $21 billion in equity value, implying a share price of $23 to $53. Despite recent governance improvements, Starboard Value warned that Riot Platforms has lagged behind peers who moved earlier into AI and emphasized the urgency for execution. They also suggested that if management cannot execute quickly, Riot Platforms could become a candidate for consolidation due to the scarcity of its power assets. Following the letter, Riot Platforms' shares rose nearly 9%.