Nvidia and IREN Limited, a prominent player transitioning from Bitcoin mining to artificial intelligence (AI) compute services, have unveiled a significant partnership aimed at deploying up to 5 gigawatts of cutting-edge AI infrastructure. This collaboration focuses on integrating Nvidia’s advanced DSX architecture within IREN’s extensive global data center network, kicking off with the implementation at their expansive 2-gigawatt Sweetwater campus located in Texas.
As part of this strategic agreement, Nvidia has secured a five-year option to acquire up to 30 million shares of IREN at a price of $70 each. Beyond equity, IREN has committed to delivering $3.4 billion worth of managed GPU cloud services over five years, specifically intended for Nvidia’s internal AI applications and research initiatives.
Nvidia’s founder and CEO, Jensen Huang, emphasized the growing importance of AI factories as essential infrastructure for the global economy. He noted the necessity for a comprehensive integration of computing, networking, software, power, and operational capabilities to effectively deploy these systems at scale. Huang praised IREN for their substantial scale and expertise in infrastructure, which will be crucial in accelerating the global rollout of next-generation AI technologies.
Co-founder and co-CEO of IREN, Daniel Roberts, echoed Huang’s sentiments, stating that the partnership signifies a powerful combination of Nvidia’s innovative AI architecture and IREN’s knowledge in power management, land development, data center operations, and GPU deployment.
To bolster its infrastructure in support of this expansive partnership, IREN has also announced its acquisition of Ingenostrum, a Spain-based data center developer, which will contribute an additional 490 megawatts of grid-connected power. This recent European acquisition will enable IREN to elevate its total power capacity to 5 gigawatts, matching the magnitude of the Nvidia infrastructure endeavor and positioning IREN to fulfill both this partnership and its commitments to other leading technology firms.
Following the announcement, IREN’s stock experienced a substantial surge in after-hours trading, briefly exceeding the $72 mark after closing at $56.85. However, these gains subsided after the company released its quarterly earnings report, revealing a significant net loss of $247.8 million for the first quarter. Currently, IREN shares are up approximately 3%, trading around $58.60. Investment bank Bernstein has set a $100 price target for IREN shares based on the latest developments.
Meanwhile, Nvidia’s stock remains close to an all-time high, recently trading above $215 per share, marking an impressive 83% increase over the past year. IREN’s agreement with Nvidia builds on a prior contract made in November 2025 with Microsoft for $9.7 billion, which involved GPU cloud infrastructure supported by Nvidia GB300 GPUs at their Childress, Texas data center, and included an additional $5.8 billion purchase agreement with Dell Technologies.
These substantial contracts highlight the pivotal role AI infrastructure providers are playing as essential connectors between chip manufacturers and enterprise clients in need of dedicated computing resources. With commitments exceeding $15 billion linked to partnerships involving Nvidia and Microsoft, IREN has carved out a major niche in the rapidly evolving landscape of AI infrastructure.
The competitive landscape for AI compute infrastructure is intensifying, with notable players like Hut 8 recently securing a $9.8 billion AI data center lease, driving their stock to record highs. Similarly, companies such as Core Scientific and Terawulf have entered into substantial multi-billion-dollar agreements, further underscoring the shift toward dedicated AI computing solutions.
