Starboard urges Riot Blockchain to speed up AI and HPC pivot
Activist investor Starboard Value has pushed Riot Blockchain to accelerate its shift into AI and high-performance computing (HPC). The firm sent a letter to CEO Jason Les and chairman Benjamin Yi, calling for a faster transformation. Starboard believes Riot is well placed to secure better deals in these growing sectors.
The move comes as Riot's stock price has climbed around 150% since its 2023 pivot away from bitcoin mining. Yet, despite this rise, the company still trails behind competitors making similar shifts.
Riot Blockchain announced its strategic move into AI and HPC services in 2023. By February 2026, its share price had jumped from roughly $10 to about $25. This 150% increase outperformed rivals like Core Scientific, which rose 120% in the same period, and Iris Energy, up by 90%.
The surge in Riot's stock reflects strong demand for AI data centres, even as bitcoin mining remains volatile. However, Starboard argues the company could be doing more. In its letter, the investor stressed that Riot must act with greater urgency to capitalize on its position.
So far, Riot has not issued a public response to Starboard's demands. The activist firm insists the company has the potential to strike higher-quality deals in AI and HPC—but only if it moves faster.
Starboard's pressure adds to the growing focus on Riot's transition from crypto mining to AI-driven services. The company's stock performance shows progress, yet competitors have grown at a quicker pace. How Riot responds to these calls for speed could shape its future in the expanding AI and HPC markets.
