Why do big miners still add capacity?

[gkahr78]

Ever since BTC price came down end of November I have been waiting for big miners stop or at least reduce their mining. I just cannot understand how they can still be profitable by a price of about 700 usd. They need special facilities - I guess normal data centers won't cope with the heat of hundreds of Th hashing away. Their mining equipement is useless/too-power-hungry after 6-9 months use. There won't be many tech guys to get for the sysadmin jobs. Most of the hardware is not standard data center stuff. All this sounds overly expensive to me.

I do mining as a hobby. Electricity is not that expensive for me and cooling comes free 9 months of the year; I just open the window most of the time. I resell mining equipment after about 3-6 months to buy new stuff. But at the end it will never make the same profit I get from my IT day time job.

What is the thing I don't get? Why do they add and add more mining power although the btc price is about 700 usd?

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[timk225]

Why do they add capacity?  I don't know.  To mine MORE, maybe?

Only a fool believes the hype and buys a BTC ASIC now, the time is here to GPU mine LiteCoin and FeatherCoin.

[gamer4156]

Oct 16th 2013 the difficulty was 267,000,000 and turning a Jupiter on would have generated 31 BTC the first month and 15 BTC the second month. 46 BTC in 2 months. Not a bad return.

Will we see the same kind of returns with this next release, probably not. The march/april batches are going to get fucked. But the early orders delivered in January should return nicely even without considering resale value.

[Fila Ford]

i dont understand why everyone cares so much what other people do with their time and money

i got some presents for christmas and will be popping my mining cherry soon

pretty excited to finally get some bitcoins

[goggles1200]

In 4 months, the difficulty will be so high that only the people with TH/s rigs will see any type of return.

[jamesc760]

That's funny. When a bitcoin was at $100, the miners were adding more and more hashing power, not less. Now, it's almost at $800 per coin, why would those people stop mining? Mining hardware is a SUNK cost, you want to KEEP running until the hardware dies, and when it dies, you replace it with something more powerful and efficient.