TeraWulf Inc. (NASDAQ:WULF) shares continue to fall Wednesday, extending a roughly 14% decline over the past week, as a wave of sector headwinds weigh on AI infrastructure names — even as a landmark $19 billion Anthropic lease helped the stock regain some ground earlier this week.
- TeraWulf stock is trending lower. Why are WULF shares declining?
Broader Sector Headwinds
Samsung‘s preliminary Q2 results disappointed investors and sent shockwaves through the semiconductor sector, raising questions about the pace of the AI infrastructure buildout. Separately, Reuters reported this week that Chinese startup DeepSeek is developing its own AI inference chip — a development that, if successful, could reduce demand for the compute infrastructure that neoclouds like TeraWulf are racing to build. Together, these developments have stoked broader concerns about whether the AI compute buildout can sustain its current trajectory.
Adding to the pressure, cryptocurrency markets have broadly declined today— a meaningful headwind for TeraWulf, which still operates a Bitcoin mining business alongside its AI infrastructure pivot. Bitcoin is down 1.68% to $62,087.
Meta Enters the AI Cloud Market
Another overhang weighing on TeraWulf this week is the Bloomberg report that Meta Platforms Inc. (NASDAQ:META) is developing plans to build a cloud infrastructure business to sell access to AI computing power and models to outside customers. If one of the world’s largest AI spenders begins selling excess compute rather than just consuming it, the competitive landscape for dedicated AI infrastructure providers like TeraWulf changes materially. The fear is straightforward: hyperscalers with virtually unlimited capital entering the AI cloud market could compress pricing and erode the demand tailwind that has driven neocloud stocks sharply higher in 2026.
The Anthropic Deal
On Monday, TeraWulf announced a 20-year lease agreement with Anthropic at its Justified Data campus in Hawesville, Kentucky, expected to generate approximately $19 billion of contracted revenue over the initial lease term. The campus will support about 401 megawatts of critical IT load, with initial capacity expected online in the second half of 2027 and full capacity by early 2028. The announcement helped the stock regain some ground — but wasn’t enough to offset the week’s losses.
TeraWulf Shares Edge Lower
WULF Price Action: At the time of publication, TeraWulf shares are trading 1.53% lower at $19.92, according to data from Benzinga Pro.
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