Massive AI Infrastructure Boost: Microsoft Signs $9.7B Contract with IREN for Nvidia GPUs

Data center specialist IREN has announced a landmark contract with Microsoft valued at nearly $9.7 billion. This five-year cloud services agreement provides Microsoft exclusive access to Nvidia’s powerful GB300 GPUs, boosting AI computing power to support Azure’s expanding AI workloads.

The contract includes a 20% prepayment and runs concurrent with a separate $5.8 billion deal where IREN procures GPUs and ancillary equipment from Dell Technologies. The cutting-edge GB300 processors will be deployed incrementally across IREN’s 750-megawatt liquid-cooled data center campus in Childress, Texas, through 2026.

This collaboration marks a pivotal expansion for both organizations: Microsoft continues to strengthen its cloud AI capabilities while IREN diversifies beyond its origins in bitcoin mining, establishing itself among top new-generation AI cloud providers. Market reaction to the announcement was positive, with IREN’s shares surging approximately 18% in premarket trading.

Key Highlights:

$9.7 billion, five-year AI cloud services contract between Microsoft and IREN

Access granted to Nvidia GB300 GPUs for AI workloads

IREN also signs a $5.8 billion procurement deal with Dell for GPUs and equipment

Deployment planned through 2026 at 750MW Childress, Texas campus

Microsoft’s 20% prepayment signals strong strategic partnership

IREN transitions from bitcoin mining to AI cloud infrastructure leadership

Market reacts positively; IREN shares jump 18% premarket

Sources: Reuters, Bloomberg, Yahoo Finance, Channel News Asia