Kardan Israel Explores AI Infrastructure Venture with US Firm Highrise AI
Translated & summarized from Calcalist by baba
Kardan Israel is in negotiations with Highrise AI, a subsidiary of Hut 8, to establish an AI infrastructure project in Israel. The venture has an indirect link to AI company Anthropic through a US partnership between Hut 8 and Anthropic. The project aims to develop and operate advanced computing infrastructure for AI services. Negotiations are ongoing, and Kardan's stock saw a significant increase following the announcement.
The story in 6 lines · by baba
- Kardan Israel is negotiating an AI infrastructure project with Highrise AI, a subsidiary of Hut 8.
- The venture has an indirect connection to AI giant Anthropic through a US partnership.
- The project will focus on developing and operating advanced computing infrastructure for AI.
- Initial operations are planned for Kardan's server farms in Shoham, Israel.
- Kardan's stock rose over 10% following the announcement of the potential deal.
- No binding agreement has been signed yet, and the project's realization is uncertain.
Real estate company Kardan Israel is in negotiations to establish an AI infrastructure project in Israel, potentially partnering with Highrise AI, a subsidiary of the American company Hut 8. While not a direct agreement with AI giant Anthropic, the venture's indirect connection to Anthropic, which has a partnership with Hut 8 for computing infrastructure in the US, could offer Kardan significant opportunities in the AI sector. The deal is currently in the negotiation phase, with no binding agreement yet signed. The proposed project, expected to be controlled by Highrise, will focus on developing, deploying, and operating advanced computing infrastructure for AI and providing GPU-based computing services globally and in Israel. Initial operations are planned to utilize Kardan's server farms in Shoham. Kardan has stated that a final agreement is contingent on meeting commercial and financial conditions, and there is no certainty the project will proceed. Highrise's parent company, Hut 8, previously a major Bitcoin miner, is collaborating with Anthropic and Fluidstack on a large-scale AI infrastructure project in the US, involving at least 245 megawatts of power capacity. Anthropic, the developer of the Claude AI model, is the end-user of the computing power being built, with Fluidstack managing the operations for Anthropic and Hut 8 responsible for data center development. Kardan Israel, controlled by Avner Schnur, Gil Deutsch, and Roni Biron, manages its server operations through a subsidiary led by CEO Beni Malka. The initial agreement was made in June, but the investor report was released today, causing Kardan's stock to rise over 10%.