Company: BTBT
Filing Date: 2025-03-14
Form Type: 10-K
Source: 0001013762-25-000307
Chunk: 144

Company: Bit Digital, Inc
Filing Date: 2025-03-14
Form: 10-K
Item: Item 1
Chunk 144
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 SuperMicro, Dell, and Hewlett Packard Enterprise. These partnerships
enable us to access and deploy the most advanced computing hardware, ensuring that our clients benefit from cutting-edge technology and
optimized performance. Our collaboration with these industry leaders allows us to stay at the forefront of high-performance computing
and artificial intelligence infrastructure.

In addition, we have a formal
agreement with Lepton to offer on-demand computing services powered by Nvidia B200 GPUs. This partnership enhances our ability
to provide scalable, high-performance AI and HPC solutions to enterprise customers, enabling them to access state-of-the-art compute resources
without the need for upfront infrastructure investment.

Our data center business leverages
a diverse mix of vendors across multiple geographies to source equipment cost-effectively while mitigating supply chain disruptions.
By maintaining a broad supplier network, we reduce reliance on any single vendor and enhance our ability to procure best-in-class solutions
at competitive prices. This approach strengthens our operational resilience and supports our ability to scale efficiently.

Competition

We face significant
competition from various data center and cloud services providers. We compete with several prominent data center providers,
including Digital Realty, Equinix, Inc., NTT, Bitdeer, Riot Platforms and various private operators in the U.S. Our primary
competitors in the cloud service business are Coreweave, Crusoe Energy, Nebius, and Lambda Labs.

6

Many of our competitors offer
locations worldwide and have well-established international operations. Our competitors may also have significant advantages over us,
including greater name recognition, longer operating histories, pre-existing relationships with current or potential customers, the capacity
to provide the same or additional products and services, more significant marketing budgets and other financial and operational resources,
more robust internal controls and systems, and better established, more extensive scale and lower cost suppliers sand supplier relationships.

Materials and Suppliers

Maintaining key supplier relationships
is crucial to our business operations, as we rely on these relationships, such as with Dell, NVIDIA, Hewlett Packard Enterprise, and Super
Micro, to secure essential computing hardware, infrastructure components, and other materials. The complexity of developing cloud service
hardware at scale limits the number of suppliers capable of meeting our requirements. Consequently, we have established purchase orders
with leading hardware manufacturers, which include extended delivery schedules spanning several months before the hardware is delivered
to our facilities. These fluctuations in delivery timelines necessitate careful planning and advanced purchasing strategies to ensure
we can acquire hardware well before their anticipated deployment.

We proactively