GMO Internet Delays Shipments of Two Bitcoin Mining Rig Lines, With Some Refunds Already Issued
GMO Internet in Japan was set to ship out the latest installment of two lines of 7nm bitcoin mining rigs. However, a recent announcement on Monday from the company indicates that this shipment will not be going out right now. A representative recently spoke with Bitcoin.com’s news website, explaining that there have already been numerous refunds issued to consumers.
There are two lines of mining rigs presently produced that were supposed to be shipped – B2 and B3. The first of the two was meant to go out last month, while the second was supposed to be this month. An unnamed representative commented on the delay, saying,
“It is because the parts we need for our mining machines are actually very difficult to acquire right now … It is difficult to acquire some of the electronic components, such as resistors, due to the tight global supply-demand balance.”
Going even further, the rep also said that there is a chance that no miners will ship at all.
The B2 line was only launched in June, while B3 followed the next month. An upgrade was made in August, targeting the cooling mechanism and the operational stability that needed better performance. Both of the models were listed or $1,999, and they sold out quickly.
As a result of the delay, which could lead into next year, the rep added,
“We asked our customers whether they wish us to refund at the time of delay announcement. So far, we have already completed issuing refunds to customers who demanded them.”
Adding to the continued changes, the company has also decided to move the mining operations to another location. Right now, using their subsidiary in Switzerland, there are three business areas that GMO operates in – in-house mining, the development, and sale of mining machines, and cloud mining. During the presentation of their quarterly earnings, the company revealed their intention to become No. 1 in the field of cryptocurrency.
During the third quarter, GMO recorded a loss, despite the progress of their mining facility expansions. However, they said that the loss was
“because of a decline in profitability due to the deteriorated macro environment including stagnant bitcoin price and an increase in hash rate.”
They further noted,
“Cryptocurrency mining business experienced a decline in profitability due to a downturn in the macro environment.”
At a press conference on Monday, the company’s founder and CEO, Masatoshi Kumagai, spoke about the company’s plan to move mining operations. He explained that the purpose was to improve their profit while bringing down the cost of electricity and production. However, the representative mentioned above told Bitcoin.com’s news website that
“we have not decided it yet.”