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

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.