Nvidia commits $2.1 billion to IREN in massive AI infrastructure partnership for global expansion

Nvidia to invest up to $2.1 billion in IREN as part of AI data center deal

May 7 (Reuters) - Nvidia (NVDA.O), opens new tab will invest up to $2.1 billion in data center operator IREN (IREN.O), opens new tab, as part of a broader deal to deploy up to 5 gigawatts of infrastructure to keep up with soaring artificial intelligence demand. The tie-up, announced on Thursday, underscores the hunger for computing power amid surging adoption of AI, as frontier model developers and Big Tech firms ⁠funnel billions to secure capacity. Reporting by Zaheer Kachwala in Bengaluru; Editing by Sriraj Kalluvila Our Standards: The Thomson Reuters Trust Principles., opens new tab

IREN shares pop 13% on AI infrastructure deal with Nvidia

IREN shares popped 13% in extended-trading on Thursday after the data center operator announced a partnership with semiconductor giant Nvidia. Nvidia and IREN will deploy up to 5 gigawatts of the chip maker's DSX-branded infrastructure designs intended to power artificial intelligence workloads throughout the Australian firm's data center facilities across the world. IREN will issue Nvidia a five-year right to purchase up to 30 million shares of its ordinary stock at an exercise price of $70 per share, the company said in an announcement. Nvidia will have a right to invest $2.1 billion into the company via the deal. "AI factories are becoming foundational infrastructure for the global economy," Nvidia CEO Jensen Huang said in a statement. "Deploying these systems at scale requires deep integration across the full stack -- compute, networking, software, power and operations."

Bitcoin Miner IREN Secures $3.4 Billion Nvidia AI Deal, With $2.1 Billion Share Option - Decrypt

The partnership centers on deploying Nvidia's DSX architecture across IREN's global data center pipeline, with implementation beginning at the company's 2-gigawatt Sweetwater campus in Texas. As part of the agreement, Nvidia received a five-year option to purchase up to 30 million IREN shares at $70 per share. The deal structure extends beyond equity rights. IREN will provide Nvidia with $3.4 billion in managed GPU cloud services over five years for the chipmaker's internal AI and research workloads. "AI factories are becoming foundational infrastructure for the global economy," Nvidia founder and CEO Jensen Huang said. "Deploying these systems at scale requires deep integration across the full stack -- compute, networking, software, power and operations. IREN brings the scale and infrastructure expertise to help accelerate the buildout of next-generation AI infrastructure globally." IREN co-founder and co-CEO Daniel Roberts said in a statement that the partnership "combines Nvidia's AI systems and architecture leadership with IREN's expertise across power, land, data centers, GPU deployment, and infrastructure operations." IREN is simultaneously expanding its infrastructure footprint to support the massive deployment. The company agreed to acquire Spain-based data center developer Ingenostrum (Nostrum Group), adding 490 megawatts of grid-connected power in Spain. The European acquisition brings IREN's total power portfolio to 5 gigawatts -- matching the scale of the planned Nvidia infrastructure deployment. The expanded capacity positions IREN to deliver on both its Nvidia partnership and existing commitments to other major tech companies. IREN shares surged in after-hours trading Thursday, spiking above the $72 mark after closing at $56.85. The initial after-hours gains faded after IREN released its quarterly earnings report late Thursday, showing a substantial earnings miss in Q1 with a $247.8 million net loss. IREN is currently up about 3% on the day at a recent price of $58.60. Analysts at investment bank Bernstein put a $100 price target on IREN shares following the announcements. Nvidia stock continues to hover near an all-time high, recently trading above $215 per share. NVDA shares have jumped by 83% over the last year, per Yahoo Finance. IREN's deal with Nvidia follows the company's November 2025 agreement with Microsoft for $9.7 billion in GPU cloud infrastructure powered by Nvidia GB300 GPUs at its Childress, Texas data center. That deal included a $5.8 billion purchase agreement with Dell Technologies for computing equipment. The scale of these deals underscores how AI infrastructure providers are becoming critical intermediaries between chip manufacturers and enterprise customers seeking dedicated compute capacity. With commitments now exceeding $15 billion across Nvidia and Microsoft partnerships, IREN has emerged as a major player in AI infrastructure deployment.

AI data center firm IREN's stock soars after it strikes $2.1B deal with Nvidia - SiliconANGLE

AI data center firm IREN's stock soars after it strikes $2.1B deal with Nvidia Neocloud company IREN Ltd. has secured a $2.1 billion commitment from the chipmaker Nvidia Corp. as part of a new data center partnership aimed at artificial intelligence workloads. The partners plan to deploy up to five gigawatts of Nvidia's DSX-branded infrastructure in the neocloud company's global network of data centers. Investors reacted positively to the news, with IREN's stock gaining more than 27% at one point today, before settling back to an 8% gain in late trading. New York-based IREN began life in 2018 as an Australian bitcoin mining startup that was originally called Iris Energy. While it cashed in on the original cryptocurrency boom in the early 2020s, it soon realized that there was an even bigger opportunity to be had in the AI market. In 2024, it rebranded itself as IREN and started buying up graphics processing units and other AI accelerators, marketing itself as a GPU-as-a-service provider, following in the footsteps of companies like CoreWeave Inc. Although IREN isn't nearly as well known as its rival, it has made some headlines recently. In November, it notably won a $9.7 billion contract with Microsoft Corp. to provide it with 200 megawatts of AI computing capacity. Then, just three days ago, it announced a deal to buy the data center infrastructure management software firm Mirantis Inc. for $625 million. IREN's cloud platform provides customers with access to bare metal GPU servers, and it allows companies with more advanced needs to set up custom AI data centers. It builds those facilities on its own data center campuses, so they can tap into the existing power infrastructure at those sites. It also manages them on behalf of customers. As part of today's deal, IREN will grant Nvidia a five-year right to purchase up to 30 million shares of ordinary stock at a price of $70 per share, which would generate $2.1 billion if the chipmaker makes good on that agreement. Nvidia Chief Executive Jensen Huang said in a statement that AI factories are rapidly becoming foundational infrastructure for the global economy. "Deploying these systems at scale requires deep integration across the full stack -- compute, networking, software, power and operations," he added. Nvidia has announced a string of multibillion-dollar agreements with data center infrastructure providers in recent weeks, including deals with companies like Corning Inc. and Marvell Technology Inc. In a second announcement, IREN said it has also agreed a five-year deal worth $3.4 billion to give Nvidia access to its managed GPU cloud services for "internal AI and research workloads."

Investors scramble to understand Iren's $4.7b Nvidia deal

Iren, the Nasdaq-listed artificial intelligence data centre operator run by Australian brothers Daniel and Will Roberts, kick-started a sharemarket rollercoaster ride after announcing a multi-billion-dollar partnership with the world's most valuable company, Nvidia. In a deal that highlights the circular economy of the AI infrastructure sector, Iren announced Nvidia would spend $US3.4 billion ($4.7 billion) to use and expand its data centres, which will be filled with thousands of Nvidia's most advanced chips, known as Blackwell processors.

This Bitcoin Miner's Pivot to AI Just Won a Fresh Vote of Confidence From Nvidia

Get personalized, AI-powered answers built on 27+ years of trusted expertise. Iren's stock is rallying Friday after a win for the Bitcoin miner's pivot to being a data center company. Shares of Iren (IREN) were up over 7% in recent trading after announcing a five-year, $3.4 billion deal with chip leader Nvidia (NVDA). As part of the deal, Iren will provide cloud services for Nvidia's internal AI and research use. Nvidia said the companies will also work together to deploy infrastructure aligned with its architecture across Iren's data center pipeline. Nvidia shares were up 2% recently, on a broadly strong day for U.S. stocks. Nvidia also secured a five-year right to purchase up to 30 million shares of Iren at $70 each, with a total value of $2.1 billion. Nvidia has made deals to invest in several AI firms in recent months, which has also raised questions about the sustainability of the seemingly circular financing powering the AI sector. "This partnership combines NVIDIA's AI systems and architecture leadership with IREN's expertise across power, land, data centers, GPU deployment and infrastructure operations," Iren co-CEO Daniel Roberts said in a release. Also on Thursday, Australia-based Iren announced its fiscal third-quarter results, with revenue declining to $144.8 million from $184.7 million the same time last year, as the company transitions to focusing on AI infrastructure. With Friday's gains, Iren shares have added more than 60% since the start of the year.

Nvidia to invest up to $2.1 billion in IREN as part of AI data centre deal - The Economic Times

Nvidia is investing up to $2.1 billion in data centre operator IREN to deploy 5 gigawatts of AI infrastructure, addressing the immense demand for computing power. This partnership aims to accelerate AI factory deployment by integrating Nvidia's architecture with IREN's operations, with future focus on IREN's Texas campus.Nvidia will invest up to $2.1 billion in data centre operator IREN, as part of a broader deal to deploy up to 5 gigawatts of infrastructure to keep up with soaring artificial intelligence demand. The tie-up, announced on Thursday, ⁠underscores ⁠the hunger for computing power amid surging adoption of AI, as frontier model developers and Big Tech firms funnel billions to secure a capacity centre Shares of IREN were up around 9% in extended trading. The stock had closed at $56.85 in regular hours. ⁠IREN has issued to Nvidia a five-year right to buy up to 30 million shares ⁠at an exercise price of $70 per share. All four US tech giants reported results last week and signalled AI spending would not slow, with combined outlays set to surpass $700 billion this year. Thursday's partnership is intended to accelerate the deployment of large-scale AI factories by combining Nvidia's factory architecture with IREN's infrastructure operations, the companies said. Future deployments are expected to ⁠focus on IREN's 2-gigawatt Sweetwater campus in Texas. Last year, IREN signed a $9.7 billion cloud deal with Microsoft. The company is a so-called "neocloud" - firms that sell cloud computing services built on Nvidia's processors that allow Big Tech to access computing power without building new data centres.

IREN's Nvidia-Deal-Driven Momentum Slows -- Here's Why Shares Are Under Pressure - IREN (NASDAQ:IREN), NVIDI

IREN (NASDAQ:IREN) has been one of the most hyped AI infrastructure stocks on the market. However, despite the strong performance, the stock fell sharply on Monday morning. This overnight change seemed strange at first look. Because, not too long ago, IREN inked a significant five-year cloud services contract worth $3.4 billion with NVIDIA, one of the leading firms in AI. In addition, NVIDIA (NASDAQ:NVDA) was granted warrants that would enable it to inject up to $2.1 billion into IREN by purchasing its stock at $70 per share. This looked like a strong endorsement for the company. The market seemed to agree. The stock rose 7.7% following the news and rocketed 34% within a week, while over the last month, the price nearly doubled. Since the start of the year, the stock has risen 58%. This makes the former BTC miner one of the best-performing AI infrastructure stocks. But what happened that made the stock fall today? Strong Nvidia Partnership, But Earnings Were Weak While the Nvidia tie-up provided a boost to the stock, IREN's current quarterly report brought back the reality that even the most promising stories can be under financial strain. In its Q3 fiscal, IREN recorded a revenue of $144.8 million, a far cry from Wall Street forecasts of approximately $220 million, while also dropping from its last quarter's $184.7 million. The bottom line was also disappointing. IREN recorded a net loss of $247.8 million, much higher than analysts' estimates of an approximate $52.9 million loss, marking a significant increase from the last quarter's $155.4 million loss. The reasons for this weak showing lay mainly in decreased Bitcoin mining revenues amid weaker prices, as the company continued moving away from its mining activities towards cloud computing in AI. To put it succinctly, while IREN is expected to shine in the future, it currently lacks the performance to back up its prospects. Investors Are Asking: Can IREN Truly Deliver? IREN is no longer being considered as valuable as a Bitcoin mining firm. Instead, it is becoming viewed more like an AI cloud and hyperscale data centers company. That shift creates bigger expectations. The firm plans to reach up to 5 gigawatts worth of AI-ready facilities in its portfolio. The company already has projects underway in Texas, Europe, and APAC markets. IREN has recently acquired Spanish firm Ingenostrum, which will add to its power pipeline a whopping 490 megawatts. However, scaling operations to this level is costly. As announced by the company recently, it is set to offer $2 billion worth of convertible senior notes due 2033. They also plan to offer an extra $300 million as an option for note purchasers. Although this cash injection is good news, investors tend to react negatively to such offers due to possible shareholder dilution effects. JPMorgan's Warning Adds More Caution Despite the progress made by Nvidia, not everyone is completely sold on this move. JPMorgan raised its price target on IREN from $39 to $46 due to improved AI prospects. However, it maintained an Underweight rating. As explained by JPMorgan, there is a lot of risk regarding IREN's complex business structure and doubts about how easy it will be for the firm to get its hands on the premium graphics cards from Nvidia. This means that while Nvidia is certainly a huge positive for IREN, some analysts doubt whether the company can pull things off. Retail Investors Remain Extremely Bullish It is interesting to note that retail traders are much more bullish than institutions. Many platforms put the sentiment as "extremely bullish," with many investors seeing every drop as an opportunity to buy. This optimism is driven by the success story of IREN. At present, it is locked into significant cloud contracts with both Microsoft and Nvidia. This allows the firm to earn more than $3 billion per year in contracted annual run-rate AI cloud revenue. From a bullish perspective, any drops are temporary and not fundamentally based. Any drop in stock price for IREN does not imply that the deal with Nvidia is overhyped. Rather, the drop shows a market balancing tremendous growth opportunities against execution risk. In my opinion, the partnership with Nvidia is indeed transformative. It proves that IREN can become a significant player in one of the most exciting industries today. Benzinga Disclaimer: This article is from an unpaid external contributor. It does not represent Benzinga's reporting and has not been edited for content or accuracy. Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

Nvidia's IREN Deal Looks Increasingly Like A CoreWeave Repeat - CoreWeave (NASDAQ:CRWV), IREN (NASDAQ:IRE

The sequence immediately drew comparisons to CoreWeave, another Nvidia-aligned AI infrastructure company that became one of the biggest beneficiaries of Wall Street's AI spending frenzy. The CoreWeave Pattern That financing spree followed years of aggressive capital raises tied to Nvidia-powered AI compute deployments, including a $2.3 billion debt facility in 2023 collateralized by Nvidia GPUs. Now investors are seeing a remarkably similar pattern emerge with IREN. Nvidia: Beyond Selling Chips The bigger implication is that Nvidia may no longer be acting solely as a semiconductor supplier. Instead, the company increasingly appears to be helping shape the broader AI infrastructure ecosystem needed to sustain long-term GPU demand. That matters because AI infrastructure has become extraordinarily capital-intensive. Building large-scale GPU clusters now requires billions of dollars in financing, massive power access, and long-duration compute commitments. In that environment, Nvidia-backed infrastructure players may find it easier to attract institutional capital eager to gain exposure to the AI buildout beyond simply buying chip stocks. For investors, the IREN-CoreWeave comparison may signal that Nvidia's AI strategy is evolving into something much larger than hardware alone. Image created using AI via ChatGPT Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

IREN Shares Slide On Proposed $2 Billion Convertible Notes Offering - IREN (NASDAQ:IREN)

IREN stock is among today's weakest performers. What's behind IREN decline? What Investors Need To Know About IREN's $2B Offering IREN intends to use a portion of the proceeds to fund capped call transactions, which are designed to reduce potential equity dilution for existing shareholders upon any future conversion of the notes. The remaining funds are earmarked for general corporate purposes and working capital. This capital raise follows a period of significant momentum for the firm. Last week, IREN secured a landmark five-year, $3.4 billion AI infrastructure cloud services contract with Nvidia. Despite the company's recent third-quarter FY26 results highlighting an aggressive expansion toward 1.2GW of AI cloud capacity by 2027, the immediate prospect of new debt and potential share issuance has prompted a cautious reaction from the market today. IREN says the company maintains the flexibility to settle note conversions via cash, ordinary shares, or a combination of both. IREN Shares Slide Monday Morning IREN Price Action: Iren shares were down 9.11% at $55.63 during premarket trading on Monday, according to Benzinga Pro data. Image: Shutterstock This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

IREN stock surges 27% on Nvidia partnership for AI infrastructure By Investing.com

Investing.com -- IREN Limited (NASDAQ:IREN) shares surged 27% following the announcement of a strategic partnership with NVIDIA (NASDAQ:NVDA) to deploy up to 5 gigawatts of AI infrastructure and a separate agreement to acquire Spain-based data center developer Nostrum Group. Under the partnership, NVIDIA and IREN will collaborate on deploying NVIDIA accelerated compute in DSX AI factories to expand access to AI-native, startup and enterprise customers. IREN issued NVIDIA a five-year right to purchase up to 30 million shares at $70 per share, representing a potential $2.1 billion investment, subject to certain conditions including regulatory approval. Future deployments are expected to focus on IREN's 2-gigawatt Sweetwater campus in Texas, which the companies expect to serve as a flagship deployment for NVIDIA's DSX architecture. "AI factories are becoming foundational infrastructure for the global economy," said Jensen Huang, founder and CEO of NVIDIA. "Deploying these systems at scale requires deep integration across the full stack -- compute, networking, software, power and operations. IREN brings the scale and infrastructure expertise to help accelerate the buildout of next-generation AI infrastructure globally." Separately, IREN announced an agreement to acquire Ingenostrum, S.L., marking its entry into the European market. The acquisition adds approximately 490 megawatts of secured, grid-connected power in Spain and increases IREN's total power portfolio to 5 gigawatts. The acquisition remains subject to customary closing conditions. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

IREN's Next Stop Could Be $100 Thanks To Nvidia Partnership: Bernstein - IREN (NASDAQ:IREN)

The new target, with a reaffirmed outperform rating, implies roughly 76% upside from IREN's May 7 closing price of $56.85. NVIDIA Partnership Changes The Story Bernstein analysts said the long-term strategic agreement gives IREN both critical AI infrastructure credibility and stronger access to next-generation GPU supply, The Block reported on Friday. The deal also includes an equity option allowing NVIDIA to invest $2.1 billion into IREN at $70 per share. According to Bernstein, NVIDIA's involvement materially strengthens IREN's positioning around its flagship 2GW Sweetwater AI data center project. IREN still needs to secure anchor enterprise customers for the Sweetwater site, but Bernstein says the NVIDIA relationship substantially improves execution credibility. Microsoft Project Still On Track Bernstein also noted IREN remains on schedule for its 200MW Horizon data center buildout tied to Microsoft Corp (NASDAQ:MSFT). The first 50MW facility is expected to come online in the third quarter. The analysts added that IREN's recent $625 million Mirantis acquisition strengthens the company's software and cloud orchestration capabilities. That deal helps move IREN beyond basic infrastructure leasing toward becoming a vertically integrated AI cloud operator capable of offering managed GPU services. Why It Matters The AI infrastructure race continues expanding beyond hyperscalers into power-rich data center operators with GPU access. Bernstein expects IREN to scale deployments across British Columbia and Childress, Texas, under existing Microsoft and NVIDIA agreements. The firm projects total AI cloud annual recurring revenue could reach $3.7 billion by calendar year 2026. Image: Shutterstock Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

Nvidia to invest up to $2.1 billion in IREN as part of AI data center deal

May 7 (Reuters) - Nvidia will invest up to $2.1 billion in data center operator IREN, as part of a broader deal to deploy up to 5 gigawatts of infrastructure to keep up with soaring artificial intelligence demand. The tie-up, announced on Thursday, underscores the hunger for computing power amid surging adoption of AI, as frontier model developers and Big Tech firms funnel billions to secure capacity. o Shares of IREN were up around 9% in extended trading. The stock had closed at $56.85 in regular hours. o IREN has issued to Nvidia a five-year right to buy up to 30 million shares at an exercise price of $70 per share. o All four U.S. tech giants reported results last week and signaled AI spending would not slow, with combined outlays set to surpass $700 billion this year. o Thursday's partnership is intended to accelerate the deployment of large-scale AI factories by combining Nvidia's factory architecture with IREN's infrastructure operations, the companies said. o Future deployments are expected to focus on IREN's 2-gigawatt Sweetwater campus in Texas. o IREN last year signed a $9.7 billion cloud deal with Microsoft. o The company is a so-called "neocloud" - firms that sell cloud computing services built on Nvidia's processors that allow Big Tech to access computing power without building new data centers. (Reporting by Zaheer Kachwala in Bengaluru; Editing by Sriraj Kalluvila)

CoreWeave CEO Says Nvidia Must Expand AI Capacity Or Risk Losing Customers To AMD As IREN Deal Boosts Inf

Nvidia Expands AI Infrastructure To Defend Market Leadership He noted that Nvidia, now valued at around $5 trillion, must ensure it delivers sufficient AI computing capacity across the entire technology stack, warning that failure to do so could push customers toward rivals such as AMD. Intrator added that Nvidia is "covering their bases" through strategic partnerships designed to secure long-term infrastructure leadership. IREN Partnership Adds 5GW Of AI Data Center Capacity IREN announced Thursday that it will work with Nvidia to deploy up to 5 gigawatts of Nvidia's DSX-branded AI infrastructure across its global data center footprint. As part of the agreement, Nvidia secured the right to purchase up to 30 million IREN shares at $70 each over five years, a deal that could translate to a $2.1 billion investment. The move positions IREN as a rising AI cloud and hyperscale infrastructure player while giving Nvidia expanded deployment channels for its hardware. Wall Street Sees Broader AI Ecosystem Strategy Futurum Group Chief Market Strategist Shay Boloor said the partnership could accelerate IREN's evolution into "a real AI cloud platform." Price Action: Nvidia closed at $211.50, up 1.85% and rose further in pre-market trading to $213.70, gaining an additional 1.04%, according to Benzinga Pro. According to Benzinga Edge Rankings, NVIDIA is placed in the 98th percentile for growth, indicating a strong trend across short, medium and long-term time horizons. Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Photo courtesy: PJ McDonnell / Shutterstock Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.