IREN (IREN) stock continued to rise after the company announced a new multi-year AI cloud services agreement with a leading AI company for the deployment of NVIDIA Blackwell GPUs.
The company expects to generate more than $500 million in annual run rate revenue (ARR) by the end of Q1 2026 from 23,000 GPUs in operation or on order.
A contract covering 11,000 GPUs has already been signed, valued at approximately $225 million in ARR, and is expected to be operational by the end of 2025.
With an average contract length and revenue collection period of two years, IREN is expanding across its campuses in British Columbia and Horizon 1 and 2 data centers in Texas, which together can host more than 100,000 GPUs supported by 2,910 MW of secure power capacity.
IREN co-founder Daniel Roberts said, “Our ability to rapidly migrate from ASICs to GPUs across our British Columbia campus and the speed with which we built Horizon 1 and 2 shows that IREN is uniquely positioned to meet the accelerating demands of AI computing.”
The proliferation of miners continues
The rally in AI and high performance computing (HPC) continued in early US trading, with BitFarms (BITF) rising 12% after rising 15% on Monday and Hive Digital (HIVE) gaining another 10% after rising 25% in the previous session.