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Canaan To Discontinue AI Semiconductor Business

By RTTNews Staff Writer   ✉  | Published:  | Google News Follow Us  | Join Us
rttnewslogo20mar2024

Canaan Inc. (CAN) Monday said that it has decided to discontinue its non-core AI semiconductor business to focus more on the company's core businesses of bitcoin mining machine sales, self-mining operations, and consumer mining products.

Canaan expects its operating costs to decrease significantly with the discontinuation of the unit.

In fiscal year 2024, the company had recorded revenue from the sale of edge computing products of about $0.9 million with operating expenses of nearly 15% of its total operating expenses for the year.

"By focusing our resources and talent on the areas where we have deep expertise and competitive advantage, we aim to drive sustainable growth, unlock long-term shareholder value, and continue playing a central role in the global crypto ecosystem. This realignment will not only enable us to accelerate innovation in our next-generation mining hardware and infrastructure solutions, but also will strengthen our ability to serve customers worldwide and reinforce our leadership in a critical and foundational layer of the digital asset economy," said Nangeng Zhang, chairman and chief executive officer of Canaan.

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